To whom does the UK Corporate Governance Code (UK GCG) apply?

The UK Corporate Governance Code (UK GCG) specifically applies to companies with a premium listing of equity shares on the London Stock Exchange. This includes larger firms that are publicly traded and adhere to high standards of governance. The code is designed to promote transparency, accountability, and a higher level of trust in the management of these companies, ensuring they follow best practices in governance.

Companies with a premium listing are expected to comply with the provisions of the code or explain why they do not. This flexibility allows companies to tailor their governance arrangements to their specific circumstances while maintaining accountability to investors and stakeholders.

Other types of companies, such as those with standard listings, private limited companies, and small and medium enterprises, are generally not required to comply with the UK GCG, as their governance structures may not need as stringent regulation due to differences in size, complexity, and investor expectations.