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Board committees

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Role of the Board committees

The Board delegates specific powers to Board committees to assist it in carrying out its responsibilities. Terms of reference for each committee set out the authority, role, responsibilities, composition and meeting procedures of the committee. The outputs from each committee meeting are reported to the Board regularly, ensuring the Board maintains the necessary oversight.

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Board Nomination Committee

Periodically reviews the composition and effectiveness of the Board of Handelsbanken plc, prepares descriptions of roles, capabilities and time commitments required for Board appointments, and makes recommendations to the Board and to the shareholder for new Board members, and members of Board Committees. 

The Nomination Committee is also responsible for formulating and keeping a current succession plan for executive and non-executive directors.

Members: Agneta Lilja (Chair), Tanya Castell and Maureen Laurie.

All members of the committee are non-executive directors.


Board Risk and Compliance Committee

Undertakes oversight of the Bank’s risk management, risk governance and internal control systems (other than internal financial control systems). It also has responsibility for oversight of matters related to financial crime and system abuse, in particular relating to anti-money laundering, sanctions, terrorist financing, proliferation financing, anti-bribery and corruption.

Members: Tanya Castell (Chair), John Ellacott and Agneta Lilja.

All members of the committee are non-executive directors.


Board Remuneration Committee

Sets the overarching principles, parameters and governance framework of the Bank’s remuneration policy and the remuneration of executive directors and senior employees. It regularly reviews the effectiveness of the remuneration policy in the context of effective risk management taking into account prevailing market terms; and ensures that it is consistent with the Bank’s culture and risk tolerance in accordance with legal and regulatory requirements. The committee also makes recommendations to the Board on remuneration and other terms of employment for members of the Bank’s executive management.

Members: Maureen Laurie (Chair), Mikael Hallåker and John Ellacott. 

All members of the committee are non-executive directors.


Board Audit Committee 

Reviews matters relating to financial reporting and the effectiveness of internal financial control systems. It also safeguards the independence of the Bank’s internal audit function and oversees its performance. It also monitors the effectiveness of the external auditor. It is responsible for overseeing the Bank’s whistleblowing policy.

Members: John Ellacott (Chair), Tanya Castell.

All members of the committee are independent non-executive directors.


Board IT Strategy Committee

Responsible for oversight of IT strategy by reviewing, recommending and implementing IT-related issues, providing support and guidance to the chief information officer, and escalating any matters it deems appropriate to the Board for information or approval.

Members: Agneta Lilja (Chair), Mikael Hallåker and Maureen Laurie.

All members of the committee are non-executive directors.


Board performance and accountability

The Handelsbanken plc Board and its committees are subject to regular, evaluation of their effectiveness and all Board members also undergo regular performance reviews. In 2019 the Bank undertook an externally-evaluated effectiveness review which provided confirmation on the effective functioning of the Board.

All directors are subject to re-election at each Annual General Meeting.


Relationship between the Board and the senior executive team

The roles of the chairman and the chief executive officer are separate, with a clear division of responsibilities between the running of the Board by the chairman and executive responsibility for running the Handelsbanken plc business by the chief executive officer. 

The Board delegates day-to-day management of the business and implementation of strategy to the chief executive officer. To assist the chief executive officer in his day-to-day management of the Bank, he is supported by recommendations and advice from the Executive Committee, an executive forum comprising of senior management, which he chairs. 

There are number of management committee meetings that takes place and provide a regular oversight of risk matters to the Bank’s Executive Committee.