Earnings for FTSE 100 directors rose on average by more than a quarter this year, despite basic pay only matching inflation and reduced bonuses awarded- suggesting the 'shareholder spring' did have an effect.

The report by Incomes Data Services (IDS) found that the average total earned by directors at the UK's top companies was now £4m, a 27% increase from 2011, largely due to the value of vested long term incentive plans (LTIPs) increasing dramatically by 81%, with chief executives seeing a median LTIP of £1.6m.

Salaries for all directors rose on average by 3.5% though bonuses actually declined 4.9% .

Steve Tatton, editor of IDS Directors Pay Report 2012/13 said: 'Whether a reaction to government pressure, shareholder concerns or a worse than expected business environment, it seems the brakes have been applied to the basic pay growth for FTSE-100 bosses.

'However while shareholders will be pleased to see more traditional elements of pay seemingly slowing, these figures show that directors earnings can still grow significantly as a result of a complex mix of incentives.'

According to the findings of the report, LTIPs are now being used by more than 90% of the FTSE-100 in an effort to motivate directors over the long-term, typically granted in the form of shares and closely linked to shareholder returns, with directors usually required to reach a minimum target before any shares are granted.