Article by Will Paxton, B Lab UK

A growing coalition of 3,000 UK businesses is backing the Better Business Act, a campaign led by B Lab UK calling for reform to Section 172 of the Companies Act. The proposed change would shift company responsibilities from focusing solely on shareholder profits to considering the interests of employees, communities, and the environment, promoting long-term, sustainable growth.

This push comes amid public distrust in business following corporate governance scandals and increasing inequality. Support spans all sectors and regions, including major names like Virgin Group, The Guardian, and Danone, as well as many SMEs and non-profits. With the UK now home to the world’s largest B Corp community—outperforming traditional businesses—supporters argue that stakeholder governance is both ethical and economically smart.

Public sentiment is also aligned, with 76% of people wanting companies to be legally responsible for people and the planet as well as profit. As the government considers corporate governance reform, campaign leaders see this as a vital moment to embed purpose into British business and build a more resilient economy.

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