Reports to reveal senior women in post

Companies quoted on the London Stock Exchange will in future be required to report on the number of women and men within the organisation, both overall and in senior executive positions as a result of measures announced by the Department for Business, Innovation and Skills.

The change in the regulations will allow investors to identify gender imbalances and help companies address talent blockages, following recommendations from Lord Davies’ review of Women on Boards.

Business minister Jo Swinson said introducing the disclosure requirement of women will “persuade companies to pursue greater diversity and develop the pipeline of talent, helping drive a long-term culture change at the heart of business".

The draft regulations also include measures to help increase corporate transparency and make it easier for shareholders to hold companies to account.

A concise, stand-alone report focused on strategy and an organisation’s business model will replace the existing business review. This will mean that shareholders can easily find out about a company’s strategy, the risks it faces, how it is performing and the direction in which it is heading.

The legislation will come into force in October 2013 at the same time as changes to voting and reporting on pay.

www.bis.gov.uk/Consultations/future-of-narrative-reporting-further-consultation

http://news.bis.gov.uk/Press-Releases/Simpler-company-reporting-to-focus-on-transparency-and-gender-balance-681d5.aspx