Assessing UKFI’s performance


We plan to measure our performance against a full range of indicators and benchmarks which can be used to measure progress on these conditions. We are still considering what would be the most robust qualitative and quantitative indicators to use, and will need to discuss these with a range of stakeholders before committing to them. However, the type of indicators we are considering include:
  • in relation to the banks’ financial performance:
– share price;
– profitability; and
– capital adequacy ratios;
  • in relation to strategy in our investee banks:
– credible evidence of reform in their approach to managing risk;
– meaningful reform in their approach to remuneration, allowing them to attract the best talent available but linking incentives to long-term sustainable value creation;
– world-class board appointments, and highly effective boards; and
– a strong track record for UKFI on engaging with our investee banks, including through exercise of our voting rights;
  • in relation to investor perceptions, both of UKFI’s effectiveness and of the attractiveness of our investee companies as investments, we intend to explore the scope for systematically assessing the market perceptions of:
– UKFI’s effectiveness as an active, engaged, commercial shareholder, operating at arm’s-length from Government;
– the quality of UKFI’s engagement with other investors; and
– our impact on the investee companies as investments.

We would welcome any views on this approach, which should be addressed to enquiries@ukfi.co.uk
QUICK LINKS
PRESS RELEASE
11th January 2012

UKFI Management Changes
UKFI today announces that Sir David Cooksey is retiring as Chairman. Robin Budenberg will become Chairman in his place and Jim O'Neil (currently responsible for UKFI's investments in Lloyds and RBS) will become Chief Executive. download [18,8 KB]

PRESS RELEASE
1st January 2012

UKFI confirms completion of Northern Rock sale to Virgin Money
UK Financial Investments Ltd (UKFI) today confirms the completion of the sale of 100% of the share capital of Northern Rock plc (Northern Rock) by HM Treasury to Virgin Money Holdings (UK) Limited (Virgin Money) download [15,5 KB]