Corporate Governance Reform in the UK

We discussed the fall of Enron, and the case for reforming corporate governance. While
Enron has implemented new changes to British corporate governance, a cycle of transition
has been going on for a decade. Yet the United Kingdom is commonly viewed as a world
pioneer in strengthening corporate governance. It was not a preset approach but the result
of increasing interest in corporate governance issues within the boardroom, the global
business sector and government. So that the core corporate governance problems aren't
present in the UK sector This was partially a reaction to controversy, such as the Maxwell
case, and partly a product of board and shareholder introspection after the early 1990's
economic downturn. The publishing of the Cadbury Report (1992) was the first step in a
written paper to formalize best practice in corporate governance, and to make clear the
system of corporate governance that is prevalent in many UK businesses.