UK firms make progress on diversity targets, but major improvements still needed

UK firms are making progress on diversity targets, but significant improvement is still needed, according to the Parker Review. The government-backed assessment found ethnic diversity broadly improved across FTSE 350 boards and senior leadership in 2025, signaling a positive shift in corporate governance.

However, progress is uneven for the private sector. The latest figures show that only 42 per cent of the UK’s 50 largest private companies currently meet the 2027 target for board representation, underscoring that more work remains to bring inclusive leadership to all sectors.

Industry voices say momentum must continue with clearer targets, better pipelines, and stronger accountability. The Parker Review has spurred ongoing efforts to widen recruitment, mentoring, and sponsorship to improve ethnic representation at the top.

Analysts caution that progress is not a finish line, and sustained action is required to close remaining gaps and sustain change across both public and private companies.

#DiversityInLeadership #ParkerReview #UKBoards