Currys' closure of ESG committee sparks debate on UK corporate governance priorities

"Currys, the UK's largest electricals retailer, has scrapped its board-level ESG committee, effectively ending formal oversight of environmental, social and governance issues at the highest level of the company. The decision comes as regulation and investor expectations on sustainability tighten across the UK and Europe, raising questions about the message it sends on corporate governance priorities. Although Currys has stressed that it remains committed to its ESG objectives, critics argue the move is poorly timed."

"Ciarán Bollard, CEO of The Corporate Governance Institute, warned that dissolving the committee could undermine confidence in Currys' approach: "Statements of this kind are becoming more common. We hear companies say: 'we are stepping back from formal ESG structures, but our commitment remains.' In the United States, this has often been driven by political hostility towards ESG. The UK, however, is a very different environment.""

"He added that while governance models vary, the absence of a dedicated board-level committee risks diluting focus: "A board-level committee ensures focus, visibility and responsibility. Without that, ESG risks becoming fragmented and treated as a peripheral issue rather than embedded in strategy. That can create challenges for compliance, investor relations and reputation over time." The closure of Currys' ESG committee highlights a tension for UK boards: how best to integrate ESG into governance structures at a time of rising regulatory demands."

Currys has disbanded its board-level ESG committee, removing formal top-level oversight of environmental, social and governance matters while asserting continued commitment to ESG objectives. Critics say the timing is poor as UK and EU regulations, including the Sustainability Disclosure Requirements and the Corporate Sustainability Reporting Directive, increase demand for clear board accountability. Ciarán Bollard warned that stepping back from formal oversight risks undermining confidence, fragmenting responsibility and making ESG a peripheral issue. The absence of a dedicated committee could create challenges for compliance, investor relations and reputation and highlights tensions for boards integrating ESG amid rising regulatory demands.

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