Study looks at impact of ageing company bosses

The study, by industry analysts Plimsoll Publishing, looks at the impact these aging directors may have on the UK's top 364 companies in the sector.

"Collectively the UK top 364 burglar and intruder alarm systems companies are led by only 724 directors," the study says. "They vary in age from the youngest at 22, to the oldest aged 91. Yet overall they are ageing; over 15 per cent of them will be aged over 60 by the end of the year. Over the next five years, if they stay, 33 per cent of them will have turned 60. So is the market as appealing as it was ten years ago? " it asks. Delving into the current financial position of the 364 companies studied, the analysis uncovers many reasons to leave the industry: "29 per cent of the companies are in clear financial difficulties and 21 per cent of companies failed to make any profit at all last year,"it says.

Plimsoll's David Pattison said: "It's debatable how many of the directors can afford to retire. If they are thinking of selling up then the business needs to command a good price if it's going to finance the winters in the Caribbean and not all - believe it or not - are ready for this anyway.

"For these reasons, the analysis points to strong evidence that directors are hanging on well into retirement. The myth that your enthusiasm and motivation fails with age is completely unfounded, as 42 companies run by directors over 60 increased both sales and profits in the last year."

The study says the average directors salary last year was £37,835, compared to the UK average of £67,500, and claims that average directors' fees actually fell by seven per cent last year. The typical time in office for directors is now over seven years, compared to the UK average of just over five years.