Support for the UK Stewardship Code has continued to grow, as the Financial Reporting Council (FRC) has confirmed that there are now 299 signatories to the code following the latest round of applications, representing £56trn in assets under management.

This includes 199 asset managers, 21 service providers, and 79 asset owners, two of whom are new additions.

The UK Stewardship Code, as part of a comprehensive regulatory framework, is an established global benchmark for best practice in stewardship, driving transparency and accountability in the investment chain.

Whilst the code was recently updated, providing a new set of principles that were intended to "significantly" reduce the reporting burden for signatories, the FRC confirmed that the current 299 signatories have joined under the current 2020 code framework.

Indeed, the FRC previously confirmed that it would be using 2026 as a transitional reporting year, with no existing signatories to be removed from the signatory list during this period.

This is intended to allow current signatories to familiarise themselves with the new format and use it as a platform to explain their individual approach to stewardship.

FRC executive director of regulatory standards, Mark Babington, said: "The continued steady growth in the number of signatories, including pension fund signatories, shows the value of the UK Stewardship Code throughout the investment chain, as a tool to drive transparency and help signatories to meet their regulatory obligations.

"I believe the code's current signatories are well positioned to report against the revised 2026 framework, and we were pleased to hear from our recent consultation on the new code the overwhelming support from stakeholders for the code and how it has driven high standards of stewardship globally.

"The FRC will continue to support signatories during the transition year as they consider reporting against the new code.”

Key features of the UK Stewardship Code 2026 include an enhanced definition of stewardship, which focuses on the principle of stewardship as the creation of long-term sustainable value for clients and beneficiaries.

However, industry experts have raised concerns over the updated definition of stewardship in the updated code, expressing particular disappointment around the removal of direct reference to the environment and society.

Hymans Robertson stewardship lead and investment associate consultant, Chris O’Bryen, also warned that whilst the changes to the code are expected to make the reporting process simpler, these changes come at a time when sustainability-related risks are continuing to evolve, and the investment industry faces "ever-increasing scrutiny".

"This will require those working to deliver a more sustainable future need to remain steadfast in their efforts and we remain committed to helping investors create better financial outcomes and supporting them in driving change," he added.

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