The upcoming election represents a great opportunity to rethink the role of business in society, according to Chris Turner, director of the Better Business Law Campaign.
Speaking to a Barbican audience during a panel discussion to mark the third Better Business Day, Turner highlighted the potential for the Better Business Act to radically change how businesses engage with their stakeholders.
The Better Business Act seeks to amend Section 172 of the Companies Act, which currently sets out the responsibilities of company directors. The proposed changes aim to enable managers to make decisions that take into account the interests of people, planet and profits, rather than focusing solely on profit.
Holly Branson, Virgin's Chief Purpose Officer and long-standing supporter of Better Business, spoke about the positive impact of incorporating Purpose on her multi-billion pound business. She highlighted the implementation of a “purpose filter” at Virgin, ensuring that only decisions that align with its purpose are made.
Joining Branson on the panel were ethical consumer and fashion activist Safiya Minni, and Josephine Phillips, founder and CEO of Sojo – a company that provides easy repair solutions for used items. Phillips pointed out that changes in corporate law would contribute to a cultural shift in companies, reflecting the global challenges they face today.
New research by B Lab UK, the organization behind the B Corp movement and the Better Business Act, shows strong public support for the proposed changes. According to the data, 76% of the UK public believe that corporation law should be amended to give companies a legal responsibility to prioritize people and planet alongside making profit.
The Better Business Act also has strong support from the business community, with nearly 3,000 organizations supporting the initiative, including Tony's Chocolonely, Iceland, the Institute of Directors, and Lucky Saint.
