Source · Select Committees · Public Administration and Constitutional Affairs Committee
Recommendation 23
23
Accepted in Part
Publish updated Governance Code, board terms of reference, minutes, and Lead NED reports
Recommendation
In chapter two in this Report, we recommend that the Government publishes an updated Corporate Governance Code and terms of reference for each departmental board to provide greater transparency on the individual responsibilities of NEDs. In addition to this, we recommend routine publishing of board minutes on GOV.UK after each quarterly meeting, with a standing agenda item on the work of NEDs in departments. Furthermore, the Government Lead Non-Executive reports should be published routinely within four months of the reporting year ending at the end of March. We therefore expect the report covering 2022–23 to be published by August
Government Response Summary
The government agrees to publish terms of reference for departmental boards and the responsibilities of NEBMs. However, they reject the routine publishing of board minutes and will only consider improvements to the Corporate Governance Code, while indicating an October deadline for the Government Lead Non-Executive report rather than the recommended August.
Government Response
Accepted in Part
HM Government
Accepted in Part
We will consider whether improvements should be made to the Corporate Governance Code, taking into account the recommendations of the Committee, Lord Maude’s report and the Government’s response to the CSPL Standards Matter 2 report in the round. We agree that terms of reference for departmental boards and the responsibilities of NEBMs should be published on the website of the respective departments. We do not support the recommendation that board minutes should be routinely published. We would not wish for any board member to feel that details of a discussion and subsequent decision should be fettered as a consequence of minutes being placed in the public domain. This has the potential to diminish the added value the board brings to the effective operation of a department. Furthermore, the Government Lead Non-Executive report synchronises some of its data with the governance sections of departmental reports. As a result, it is right and necessary that departments should publish their Annual Report and Accounts ahead of the Government Lead Non-Executive’s report. This will also ensure that the National Audit Office can complete its work on annual reports to ensure their accuracy. The report should then be published after the departmental annual report and accounts have been laid before Parliament. As a result, a reporting deadline of October is more likely to be feasible.