Walker Review - formal challenge frameworks

Document: 

FSA DP18.pdf

The Walker Review brings forward sensible reforms for corporate governance in the finance sector, although the focus is top down and could benefit from a stronger emphasis on developing ethical culture across organisations and the sector. Some of these recommendations exist in the Singapore Code of Governace for Banks, issued by MAS in 2005. It will be interesting to see how the 39 steps integrate with the Combined Code and the FRC 'Principles of Stewardship'.

Recommendations 4, 6 and 25 call for a more formalised challenge process - a challenge framework for boards and management was set out by Professor David Jackman of The Ethical Space in his 2002 FSA Discussion Paper 18 'An Ethical Framework for Financial Services' - attached.

Recommendations 9, 10 and 26 encourage board training, evaluation and use of external experience and advice.

• FSA DP18.pdf