Huge fines will be imposed on irresponsible company bosses who “line their own pockets”, Theresa May has said.

The Prime Minister will outline plans in the coming weeks to crack down on “abuse” of the system by business chiefs following the Carillion scandal.

Proposals include giving the pensions regulator specific powers to issue punitive fines on company directors in cases of clear wrongdoing, according to The Observer.

Mrs May revived the pledge she made on taking power to prioritise “ordinary working people” rather than the “privileged few”.

Graffiti at the site of the new £355m Royal Liverpool Hospital, which was being built by Carillion, as their construction workers will continue to be paid, while bonus payments to directors and former executives have been stopped.Graffiti at the site of the new £355 million Royal Liverpool Hospital, which was being built by Carillion (Pat Hurst/PA)

Several former executives at failed outsourcing giant Carillion received significant pay and perks packages before it collapsed.

The PM told the newspaper “tough new rules” will be introduced to tackle the behaviour of “executives who try to line their own pockets by putting their workers’ pensions at risk – an unacceptable abuse that we will end”.

She added: “Too often we’ve seen top executives reaping big bonuses for recklessly putting short-term profit ahead of long-term success. Our best businesses know that is not a responsible way to run a business and those who do so will be forced to explain themselves.”

It comes after a Tory former minister accused Mrs May of timidity and a lack of ambition in a devastating attack on her leadership.

Nick Boles warned the Prime Minister it was “time to raise your game” and claimed her government “constantly disappoints”.

He tweeted: “There is a timidity and lack of ambition about Mrs May’s Government which means it constantly disappoints. Time to raise your game, Prime Minister. #worboys #HousingCrisis #NHSfunding #etcetc”