The London Stock Exchange has responded to the DTI’s consultation on Directive proposals on company reporting, capital maintenance and transfer of the registered office of a company. These measures form part of the European Commission’s Company Law and Corporate Governance Action Plan.
We believe good corporate governance is valuable to both the performance of a company and the strength of the economy. We view the UK as a market leader in corporate governance, and strongly support the ‘comply or explain’ approach as this has worked extremely well in the UK for many years. We therefore take a keen interest in the Government’s views on these three proposals and are pleased to provide our comments.