Reed Smith Client Alerts

The UK Financial Reporting Council (FRC) has now completed its consultation on a series of wide-ranging changes to the UK Corporate Governance Code. The changes proposed in the consultation paper envisage a re-write of the majority of the Code, as well as significant amendments in the areas of stakeholder engagement, board composition, diversity and executive remuneration. The FRC has also proposed removing a number of concessions previously available to companies below the FTSE 350. The FRC intends to finalise its changes by early summer, with the new Code applying to financial years beginning in 2019.

Authors: Delphine Currie Fiona McFarlane Ed Tyler

The FRC's consultation followed on from a renewed focus on corporate governance reform by the UK government, beginning with a Green Paper consultation published by the Department for Business, Energy & Industrial Strategy in November 2016. The outcome of this consultation has driven many of the FRC's proposed changes to the Code.