Marks & Spencer is to launch new incentive schemes for 400 key staff aimed at boosting short-term growth.

The retailer is introducing a new bonus scheme and a revamped performance share plan for senior executives and is looking to tone down its long term focus for a short term plan.

The bonus scheme is based on profit before tax and offers up to 150% of base salary, up from 100% previously, provided the firm hits strict undisclosed targets.

Under the scheme, the company's top 100 staff have to defer 50% of any bonus into shares for three years. In addition, a performance share plan offers rewards of up to 200% of salary to 100 senior executives, dependent on earnings per share growth as long as it is at least 8% in excess of inflation.