THE pay gap between the boardroom and other workers has widened further after company directors enjoyed an average rise of 16 per cent last year, a survey revealed yesterday.

Top executives in the UK's leading companies now earn more than £1m a year in basic pay and bonuses, the research showed.

Incomes Data Services said its study found that finance directors in the country's top 100 companies were paid nearly £700,000. Other directors had average earnings of £623,000.

The pay gap has grown steadily since just after Labour came to power in 1997.

The TUC said the report proved it was the same old story of inflation-busting pay increases for directors, only weakly-linked to performance, while employees were left further and further behind.