The Financial Reporting Council (FRC) has today published revisions to its Corporate Governance Code to support the growth and competitiveness of the UK.
Mark Turner, Managing Director of Regulator Consulting at Kroll, the global financial advisory firm, commented on the changes to the code:
“The revisions made by the FRC today are sensible and reflect industry feedback, and support the UK’s vision of increasing and maintaining competitiveness in the marketplace within a strong and internationally trusted framework. FRC Chief Richard Moriarty’s comments, that companies should not face a ‘one way ratchet’ of increasing regulation, will be welcomed by UK plc; however, boards and senior management will need to reflect carefully on how they will support these new statements on the effectiveness of their internal controls.
“Financial services leaders will perhaps breathe a sigh of relief that the revisions will take effect a year later than expected, but it is important to note that most UK banks and listed entities will be caught under these new provisions – another regulatory milestone for compliance teams to put in diaries alongside the Consumer Duty requirements introduced last year, which are still being embedded.”
