FRC statement following the publication of the Business, Innovation and Skills Committee’s Report on The Kay Review of UK Equity Markets and Long-Term Decision Making
News types: Statements
Published: 25 July 2013
"The FRC welcomes the recognition the Business, Innovation and Skills (BIS) Committee’s Report on The Kay Review of UK Equity Markets and Long-Term Decision Making has brought to the concept of stewardship, and we are pleased the committee continues to focus on the importance of investor engagement.
"The recommendations propose that the Code be developed to take account of issues of strategic importance to the development of business as well as those around corporate governance. We support the Committee's focus on this and will consult on how the Code might be strengthened.
"In particular we welcome the emphasis placed in the report on the resourcing of stewardship activities, and the commitment from the Parliamentary Contributory Pension Fund that they intend to become a signatory to the UK Stewardship Code.
"The FRC supports high quality, relevant and concise narrative reporting and will consult shortly on guidance based on the new narrative reporting regulations from BIS.
"We will consider the recommendations of the BIS Select Committee report in depth before responding in detail."
Notes to Editors
The FRC is responsible for promoting high quality corporate governance and reporting to foster investment. We set the UK Corporate Governance and Stewardship Codes as well as UK standards for accounting, auditing and actuarial work. We represent UK interests in international standard-setting. We also monitor and take action to promote the quality of corporate reporting and auditing. We operate independent disciplinary arrangements for accountants and actuaries; and oversee the regulatory activities of the accountancy and actuarial professional bodies.