The UK corporate governance code is getting a facelift, with ESG considerations playing a more prominent role going forward.

In this episode of the Let’s Talk About ESG podcast, we speak to Mark Babington, executive director of regulatory standards at Financial Reporting Council, who explains the recent proposed changes.

Since the latest revision of the code in 2018, ESG data has become a much bigger part of companies’ reporting, with large UK listed companies having to report on under the Task Force on Climate-Related Financial Disclosures (TCFD).

Many companies have dual listings in the UK and elsewhere, which makes it key to find a way for companies to report once and meet its obligations across various jurisdictions.

‘We can’t just tell stakeholders we are giving you more information, it has got to be useable and support decision making,’ Babington said. 

Also in this podcast, Babington explains how the current consultation on the changes to the code will cover effectiveness of internal controls and why it is not just a light version of the Sarbanes-Oxley (SOX) Act in the US.