IBE welcomes the revised UK Corporate Governance Code from the FRC

IBE news
22 January 2024

Tags: Corporate governance

Today the Financial Reporting Council has released the revised UK Corporate Governance Code.

The 2024 revision of the Code is a limited revision which in particular addresses the issue of internal controls. The 2024 Code will apply to financial years beginning on or after 1 January 2025. The 2024 Code is supported by revised guidance which will be published on 29 January 2024.

Ian Peters, Director of the IBE, says:

“We welcome the revised code and particularly the greater emphasis on the need for companies to embed a positive ‘ethical’ culture. This means that boards should go further than just assessing and monitoring culture, taking concrete steps to ensure the desired culture is implemented effectively and that people across the organisation embrace ethical values and live by them.

"The move is part of a global regulatory trend towards the explanation and evidence of ethical practice, with incoming laws such as the European Corporate Due Diligence Directive also now mandating evidence of compliance. It is however disappointing that the UK government remains unwilling to legislate to put the Financial Reporting Council on a statutory footing, a move that has been due since the government announced plans in 2019.”