(Bloomberg) -- London-listed companies should have at least 40% women and one non-White director in their boardroom, under the most detailed plans yet from British financial regulators to increase diversity in corporate life.
The Financial Conduct Authority’s proposals, published Wednesday, said at least one senior board position should be also held by a woman. While these goals aren’t binding, companies will be required to explain if they fall short, and all firms must publish data on the diversity of senior management.
“Over time, we expect enhanced transparency may strengthen incentives for companies towards greater diversity on their boards and encourage a more strategic approach to diversity in their pipeline of talent,” Clare Cole, the FCA’s director of market oversight, said in a statement.
The FCA is planning to complete the rules by the end of the year. The changes would apply to about 1,100 companies with shares listed on either the ordinary or premium segments in London.
It’s the latest attempt by the regulator to push firms on improving representation, after saying earlier this month it was considering linking senior banking bonuses to diversity goals. Several government and industry campaigns have boosted the number of women on boards in recent years to about 34% of posts at FTSE 350 companies.
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