A new Corporate Governance Code for UK listed companies
The FRC has published the final form of its new UK Corporate Governance Code and guidance on board effectiveness, which will apply to all companies with a premium listing of equity shares (whether or not UK incorporated) for reporting years starting on or after 1 January 2019.
Much of the Code is the same as the version on which the FRC consulted at the end of 2017 - see here for our briefing on that draft. This update focuses on the changes from the draft Code that have become incorporated into the final Code.
The most notable changes relate to:
- the independence and length of tenure of NEDs and the chair; and
- the role of the remuneration committee.
See our briefing (below) for more detail on the changes, together with a checklist of points to consider in your preparations for compliance with the new Code (as well as the new statutory reporting requirements that will also apply for reporting years starting on or after 1 January 2019).