UK Corporate Governance Code
Throughout the year ended 31 December 2015 the Company has been in compliance with the relevant provisions of the September 2014 version of the UK Corporate Governance Code (the 'Code') which applies to the 2015 financial year, with the exception of the annual bonus plan which does not include malus and clawback provisions. The Remuneration Committee has made a decision to introduce malus and clawback into the annual bonus plan in respect of bonus earned for the 2016 financial year which, subject to the performance measures being met, is due to be paid in March 2017.
As reported in the Report of the Audit Committee on pages 60 - 63 of the 2015 Annual Report and Accounts, the Group has not put the external audit contract out to tender during the last 10 years in accordance with provision C.3.7 of the Code. The external auditor was last appointed in 2001. The Board has decided to take advantage of the Financial Reporting Council (FRC)'s current guidance on transitional arrangements which allow the Group to defer a formal third-party tender process until at least the end of the current external audit engagement partner's tenure in 2018. Further information on the timing of a competitive tender process is set out on page 63 of the Reportof the Audit Committee in the 2015 Annual Report and Accounts.
The Corporate Governance section of the Annual Report can be accessed from this page.