At the end of November 2005, Chancellor Gordon Brown announced that the requirement for Companies to disclose environmental, social and governance information in an Operating and Financial Review should be dispensed with for listed companies. The Chancellor argued that this requirement was in excess of what was necessary under EU Regulations.
This move was the subject of much discussion through December 2005. At the beginning of the New Year, Friends of the Earth applied for a judicial review of the Chancellor's decision to make the amendment. The environmental pressure group argued that the decision had been taken without proper consultation and was irrational.
Now, on the back of that legal challenge, the government has announced its intention to hold a full consultation on the policy change. This announcement, which was made on 1 February, has received a mixed response.