Tesco CEO bags £9.2m pay packet

Tesco chief executive Ken Murphy took home more than £9m last year after the grocery giant’s pre-tax profits topped £2.2bn.

The supermarket boss was paid £9.23m during the period, down £1m from the year before due to lower slightly lower bonus levels and performance share plan (PSP).

Murphy received an annual salary of £1.65m, an annual bonus of £2.88m and £4.79m from his performance share plan (PSP).

The PSP payment is based off the grocer’s performance since 2021 and is set to be paid in Tesco’s shares.

The supermarket’s chief financial officer Imran Nawaz took home £4.81m last year, slightly lower than the £5.1m payout he received the year before.

Murphy and Nawaz will receive base salary increases of 2% and 4% respectively, effective 25 May 2025.

Tesco warned last month that its profits would take a hit this year as it ramped up investment amid increasing competition in the UK grocery sector.

It expects group adjusted operating profit to fall between £2.7bn and £3bn, down from the £3.1bn it reported last year.

Murphy said at the time: “We are committed to ensuring that customers get the best value in the market by shopping at Tesco and we see further opportunities to protect and strengthen our competitiveness.

“We are therefore providing guidance that gives us flexibility and firepower to be able to respond to current market conditions.”

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