The Pensions and Lifetime Savings Association (PLSA) has published its Stewardship & Voting Guidelines 2025, which set out the PLSA’s views on corporate governance and its voting recommendations on key issues.
Key additional guidance given by the PLSA in the 2025 guidelines includes:
- Auditor tenure – Investors should consider voting against the re-election of the Audit Committee chair and the reappointment of the auditor if the auditor has been in place for more than 15 years (down from 20 years). This is different to the auditor rotation regime for public-interest entities, which permits an auditor to be appointed for up to 20 years where there has been a public tender and reappointment after 10 years.
- AI – Investors should consider the economic viability of AI and return on investment given the potential up-front costs, and the risks resulting from the time lag between the development of AI and the development of new regulation on AI, especially in light of the speed at which AI is evolving.
- Nature & biodiversity – Measures to tackle nature and biodiversity loss are not as advanced as efforts in relation to climate change in many companies. The guidelines set out the actions which the PLSA believes are currently appropriate to address investor concerns.
The PLSA has also published a summary of the guidelines and its voting recommendations.
The guidelines, summary and voting recommendations are available for members to download from the PLSA website. Non-PLSA members can contact the PLSA to ask for access.
Key contacts
Disclaimer
The articles published on this website, current at the dates of publication set out above, are for reference purposes only. They do not constitute legal advice and should not be relied upon as such. Specific legal advice about your specific circumstances should always be sought separately before taking any action.