Building future ready boards: why socio-economic insight matters

Across UK boardrooms, conversations about diversity have broadened significantly in recent years. There can be no doubt that significant progress has been made across a number of key demographics. Yet one dimension remains largely overlooked when thoughts turn to diversity issues: socio‑economic background (SEB).

We know from our previous reports that board level discussions on SEB are not as prevalent as those on gender and ethnicity. Findings from this year’s research follow the same theme - 85% of board survey respondents said their board does not have open conversations about SEB, while 59% believe boards should discuss it

For our third report examining socio-economic inclusion at board level in collaboration with The Bridge Group, "Embedding socio-economic insight – opportunities to enhance board performance", we highlight why this matters now - and offer a proportionate, practical framework for boards ready to make progress.

Are boards missing an opportunity?

While many FTSE 100 companies reference diversity and inclusion (55%) in their annual reports and a majority comment on social mobility or socio-economic inclusion in general terms (64%), almost none make any link to SEB at board level. Only 6% mention SEB in relation to board appointments or board composition, a stark indication that SEB remains almost entirely absent from formal board reporting. The boardroom has not kept pace, leaving a gap in insight that could affect governance, decision making and long‑term performance.

The Diversity in Sport Governance report, commissioned by Sport England and UK Sport and published in November 2024, highlighted the issue for our sector. The first notable point was that this was the first time that the research had gathered data on socio-economic background. On the on hand, this underlines that SEB may have been missing from the conversation in the past. On the other hand, however, we should recognise it as a positive development that SEB representation is now being measured.

Of board members responding to the survey conducted by Perrett Laver, 23.3% identified as being from a lower socio-economic background. A similar proportion of chairs (22.5%) responded the same. In fact, the figures across all the roles surveyed are remarkably consistent. 22% of senior leadership team members identified as coming from a lower SEB, though with an interesting uptick at the top of SLTs with almost 30% of CEOs responding as such. The research also indicated a notably higher percentage of respondents in Active Partnerships identifying as being from a lower SEB than in NGBs or other funded partnerships.

For a sense of how the sport and physical activity sector compares with others in our report, compare the figures above with this table:

Representation among those from a lower SEB in the UK workforce and at senior levels in different sectors

Source: KPMG and the Bridge Group, "Embedding socio-economic insight – opportunities to enhance board performance", p.6.

Clearly, boardrooms and leadership teams do not match workforces, nor the general population.

Why socio-economic inclusion belongs on the board agenda

Socio‑economic inclusion is not simply an HR concern; it is integral to how boards understand talent, culture, risk and stakeholder expectations. As evidence grows about the impact of SEB on workforce progression, it becomes harder to justify its absence from board‑level reporting and oversight.

Boards that are knowledgeable about SEB gain a deeper appreciation of the lived experiences shaping their organisations – understanding large sections of communities and memberships. Active Lives data shows each year significant disparities in access to physical activity between different socio-economic groups, with those from less affluent backgrounds facing structural barriers to engaging with sport. It makes sense to understand those impediments.

Diversity in all its forms strengthens the quality of challenge, brings new perspectives to bear on board discussions and enriches strategic debate. Socio-economic inclusion is no different. Insights from our report suggest that boards which embrace it are more responsive to stakeholders, better able to oversee culture and customer insight, better placed to tackle intersectional barriers to talent development and also enhance their organisations’ licence to operate.

The report surfaces five key insights that illuminate both the opportunity and the path forward:

A pragmatic path forward

Progress does not require wholesale overhaul. Our report outlines a proportionate approach that boards can adopt today, from foundational steps to strengthening socio-economic representation in board governance and sustaining progress in board practice.

Simple steps that organisations can take immediately include:

Boards that understand how background shapes experience and opportunity gain sharper insight into culture, risk and organisational resilience. Bringing SEB into board conversations strengthens decision making, improves the quality of challenge and helps build leadership that reflects the society we serve. It’s a practical step toward better performance – and more credible, accountable governance.

"Embedding socio-economic insight – opportunities to enhance board performance" is available to download via the link below:

Read the full report

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 Krishna Grenville-Goble is the Director in KPMG’s Board Leadership Centre.