The Board Diversity Policy (the ”Policy”) sets out the Board of Lloyds Banking Group’s (the “Board”) approach to diversity and provides a high level indication of the Board’s approach to inclusion and diversity in senior management roles which is governed in greater detail, through the Group’s policies.
The Board places great emphasis on ensuring that its membership reflects diversity in its broadest sense. Consideration is given to the combination of demographics, skills, experience, race, age, gender, educational and professional background and other relevant personal attributes on the Board to provide the range of perspectives, insights and challenge needed to support good decision making.
New appointments are made on merit, taking account of the specific skills and experience, independence and knowledge needed to ensure a rounded Board and the diverse benefits each candidate can bring to the overall Board composition.
Objectives for achieving Board diversity may be set on a regular basis. On gender diversity, the Board is committed to maintaining at least three female Board members and over time will aim to reach 50% male and female representation on the Board to match the 50% ambition that the Group has set for female senior executives. Reflecting these aspirations, the Board will aim to continue to meet the Hampton-Alexander objective of 33% female representation. The Group has also set a target of 13% of senior roles to be held by Black, Asian and Minority Ethnic executives by 2025, and so, the Board will aim to continue to meet the objectives of the Parker review for at least one Black, Asian or Minority Ethnic Board member.
As noted, the Board places high emphasis on ensuring the development of diversity in the senior management roles within the Group and supports and oversees the Group’s ambition of achieving 50% of senior roles held by female executives by 2025, and of 13% of senior roles held by Black, Asian and Minority Ethnic executives by 2025 (including a minimum of 3% of senior roles being held by black colleagues). This is underpinned by a range of policies within the Group to help provide mentoring and development opportunities for female and Black, Asian and Minority Ethnic executives and to ensure unbiased career progression opportunities. Progress on this objective is monitored by the Board and built into its assessment of executive performance.