Hewitt to give some ground on Higgs
UK plc has been successful in its attempt to persuade the government to tone down the implications of some aspects of the Higgs report.
Link: Higgs special report
Although most of the business community’s complaints will fall on deaf ears, Patricia Hewitt, trade and industry secretary, is likely to give ground over the proposal that senior non-executives should hold regular meetings with shareholders, according to the Financial Times.
The Confederation of British Industry welcomed the news, telling the FT that it is ‘good news that the government is already indicating a willingness to be flexible’.
How flexible is debatable, however, as the government will stand firm on the other proposals. Non-executive directors will not be allowed to serve for more than six years, and a company’s chairman will not be allowed to chair its appointment and remuneration committee.