Board of directors

[sonianagdev]

I am confused on the composition of the “unitary board” because various sources provide different information. Am I correct in saying that the Unitary board should have a Chair and a CEO and 4 committees reporting into them? Being the following:

1. Nominations committee: Formed by NED´s only
2. Audit committee: formed by NED’s and ED´s (50/50 split)
3. Remunerations committee: formed by NED’s only
4. Risk committee: not compulsory to have this one but if yes, it is only formed by NED’s

Could any of you please advise if I am correct in this? If not, what is the correct form of the “unitary board”?

Many thanks in advance,
Sonia.

[Kim Smith]

In a unitary board structure, all directors (both exec and non-exec) share legal responsibility for company activities and all are accountable to the shareholders. The board is headed by a chair.

Only a public/listed company would be expected to have any or all of the committees. In particular, if there is no separate risk committee, the functions of the risk committee may be carried out by the audit committee.

[sonianagdev]

Makes sense, thank you!

[Author]

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