Good corporate governance is about effectively supervising the management of a company to uphold the company’s integrity, achieve more open and rigorous procedures and ensure legal compliance. Ultimately it should also promote good relations with stakeholders. Since the UK Corporate Governance Code was created, corporate governance has evolved to reflect the changing nature of stakeholder priorities. Most recently, concerns around corporate governance have centred around executive remuneration and gender representation on boards.
This factsheet explores the purpose of corporate governance, and best practice as specified by the UK Corporate Governance Code. It also looks at the roles and responsibilities of the board members as well as the audit, nomination and remuneration committees.