The boss of Burberry has become the first woman to top Britain’s notoriously male-dominated boardroom pay league.

Angela Ahrendts, chief executive of the British luxury group, took home a pay and rewards package worth £16.9 million last year.

This makes the 53-year-old mother of three easily the highest paid FTSE-100 boss last year, according to a survey of top businesses by corporate governance body Manifest and pay consultancy MM&K.

Ms Ahrendts was paid almost £5 million more than second placed Angus Russell, of pharmaceuticals group Shire. A spokesman for Burberry said she had earned such a huge amount because she has “delivered record revenue and profit” for shareholders.

The historic achievement caps a remarkable rise for the Diet Coke-drinking workaholic from small town Middle America, although she is still one of only three female chef executives in the Footsie. In her seven years at the helm of Burberry, she has helped to turn it into one of the world’s most powerful luxury giants — worth more than £6 billion — and one of Britain’s most successful global brands.

Ms Ahrendts is credited with “de-chavving” the 157-year-old label after its distinctive trademark checks became closely associated with cheap counterfeit products.

She also helped Burberry navigate the stormy waters that followed the collapse of Lehman Brothers in 2008, which triggered a collapse in the shares of luxury fashion labels.

Ms Ahrendts, who lives with her childhood sweetheart husband Gregg in a house west of London, grew up as one of six siblings in New Palestine, Indiana.

The daughter of a local businessman and a part-time model, she dreamed of a fashion career and went on to work for labels such as Donna Karan International and Liz Claiborne before joining Burberry in 2006.

Toppling previous title holder Bob Diamond of Barclays, Ms Ahrendts was paid a basic salary of £990,000. She also collected a £2 million bonus, but most of her remuneration came from £11.9 million of shares sold from maturing long-term incentive plans.

Her rise to the top of the pay list was welcomed as a breakthrough for female executive pay, which has lagged behind that for men.

However, Frances O’Grady, general secretary of the TUC, said: “The majority of Britain’s boardrooms and senior positions remain closed to women.”

The Manifest/MM&K survey showed that the average pay packet for a FTSE-100 chief executive rose by 10 per cent to £4.25 million last year.