Companies: Directors
(asked on 15th June 2026) - View Source
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, whether the Government has plans to review Section 172 of the Companies Act 2006.
Answered by
Blair McDougall
Parliamentary Under-Secretary of State (Department for Business, Innovation, Science and Trade) (Jointly with the Department for Energy Security and Net Zero)
This question was answered on 22nd June 2026
Section 172 of the Companies Act 2006 places a legal duty on directors to have regard in their decision-making to the interests of employees, and to the impact of the company’s operations on the community and the environment. It also requires directors to consider a range of other factors, including the long term consequences of any decision.. The government has no plans to review this important legal duty.