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Cable calls for corporate law review

Business secretary Vince Cable announced today that corporate legal services may alter, as the government will begin a full review into corporate governance and economic short-termism, with Cable describing the latter as "an increasing problem".
The government will commence the comprehensive review in the autumn season and potential areas of interest include the motivation behind short-termism and how boards set out their long-term objectives.
Mr Cable discussed the move, saying: "Short-termism and shareholder disengagement are an increasing problem for our economy."
He also welcomed the exploration of "takeover rules", which will form part of the review.
Furthermore, Mr Cable then added: "We aim to put responsible shareholders back in the driving seat of our economy."
Last month, the government also began potential corporate law amendments, after they launched a consultation into corporate narrative reporting.
After launching the consultation, business minister Edward Davey said:“Effective corporate governance is crucial to the long term success of UK companies and the wider economy."
Posted by Gaby Hamerton
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