The Department for Business, Energy and Industrial Strategy has published the Government’s response to the Green Paper consultation on corporate governance reform.
This contains proposals for changes in the areas of executive pay; strengthening the employee, customer and supplier voice; and corporate governance in large privately-held businesses. However, none of the proposals will require primary legislation, and many will be left to the Financial Reporting Council (FRC) and other key organisations to implement. Most of the reforms are expected to come into force by June 2018.
Key proposals include: