As with all businesses, we face a wide range of risks and uncertainties on a daily basis.
The Board has determined the most significant risks to achieving the business objectives, including those that would threaten its business model, future performance, solvency or liquidity.
How we manage risk
Principal risks and uncertainties
Principal risks and how they are managed or mitigated are set out in our annual report. The risks reported on do not comprise all those associated with the Group and are not set out in any order of priority. There could be additional risks and uncertainties that are not presently known to management or currently deemed to be less material, which may also have an adverse effect on the business.
Read more about our risk management framework on pages 31-33 of the annual report 2021.
Our risk management framework
- Leadership of risk management, sets strategic objectives and risk appetite and monitors performance
- Accountable for the effectiveness of the Group’s internal control and risk management processes
- Delegated responsibility from the Board to oversee risk management and internal controls
- Oversees the effectiveness of the Group’s internal control and risk management processes
- Monitors the independence and expertise of the external auditor
- Communicate and disseminate risk policies
- Support and help operating companies to assess risk
- Encourage open communication on risk matters
- Assess materiality of risks in the context of the whole Group and monitor mitigation and controls
- Defines risk management roles at operational and project level
- Uses approach to risk as an explicit part of decision making and management of external relationships
- Continuous identification of risk, assurance and self-assessment