FTSE companies finally hit 33% target for women on boards

Mission accomplished, but more needs to be done

More than one-third of board positions at FTSE 350 companies are now held by women, according to the final Hampton-Alexander Review report, following a 50% increase during the past five years.

The number of women now sitting on FTSE 350 boards has risen from 682 at end-2015 to 1,026 as of last year, representing some 34.3% of board positions.

The Hampton-Alexander Review – set up by the government in 2016 to encourage UK-listed companies to appoint more women to boards and senior leadership positions – found that while men continue to dominate at a senior level, more women are now represented.

Currently, women represent 36.2% of FTSE 100 boards and two companies where there are more women than men: Diageo Plc (60%) and Severn Trent Plc (55.6%).

In addition, there are no longer any all-male boards and the number of so-called ‘one and done’ boards with just one woman has fallen from 116 to 16 over the past five years.

Nevertheless, the Hampton-Alexander Review found that significant progress remains to be made on the highest executive roles, such as chief executive. It found there were just four companies in the FTSE 350 with a woman in both the chief executive and chair roles.

Hampton-Alexander Review chief executive Denise Wilson said: “The lack of women in the boardroom is where it all started a decade ago, and it’s the area where we have seen the greatest progress.

“But now, we need to achieve the same – if not more – gains for women in leadership. The supply of capable, experienced women is full-to-over-flowing.”

She added: “It is now for business to fully-utilise a talent pool of educated, experienced women, to their own benefit and that of the UK economy.”

Minister for Women Baroness Berridge said: “Getting women into senior positions can be vital for a company’s success, and we want to see more of it as part of the UK’s Covid-19 recovery.

“It also makes good business sense, with companies in the top 25% for gender diversity on their executive teams also 25% more likely to have above-average profitability.”