Governance in focus
A deeper dive
Our Governance in focus series provides a deeper dive, guidance and views on key aspects of the latest developments.
Board briefing on the new Section 172(1) statement
Annual reports of listed and large companies with December 2019 year ends onwards will have to include in their strategic report a Section 172(1) Statement for the first time. The objective of this statement is to describe how the directors have performed their duty under section 172.
This is a real opportunity for companies to bring alive the values of the company and the dilemmas of a conscientious board. The statement can bring alive the key messages in the strategy, business model, engagement with the company’s eco-system of stakeholders and the environment. It will convey the complexity of business decision-making and the thoughtfulness of business leaders as they balance sometimes conflicting interests in the exercise of their duties.
This briefing is intended to provide boards with practical support in developing a meaningful depiction of their section 172 activities in an already busy annual report. In this briefing we:
- Look at what relevant information is likely to already exist in the annual report and how that can be enhanced.
- Provide a suggested structure for the content of the statement which highlights the board’s approach to section 172, how the licence to operate is maintained and examples of section 172 in action through descriptions of key decisions made in the year.
- Set out some key matters to consider in relation to each stakeholder group.
Our governance library
Explore our governance library to find recent editions of our governance publications and updates. Directors may register to receive updates by email and can become members of the Deloitte Academy to attend briefings and debate topics in a private setting. For further details contact email@example.com
The Global Center collaborates with Deloitte member firms to promote dialogue and activity on the critical topic of corporate governance and its impact on corporations and their boards, investors, and others.
Governance in brief
Our Governance in brief series give you a summary of the latest corporate governance developments, incorporating details of the source, relevant dates and links to further information.