Tributes for the man who shook up UK boardrooms

Apr 30 2008 By John Duckers, Business Editor

Sir Derek Higgs, author of the 2002 report on the make-up of company boardrooms, has died suddenly aged 64.

Hugely influential in the City, Sir Derek developed the code of corporate governance which rules FTSE companies.

He described the composition of many boards as largely "pale and male".

The report called for the curbing of British boardroom excess and led to the strengthening of the role of non-executive directors.

Born in Coventry, he was a big supporter of Coventry City and played a major role in the development of the club's new ground at the Ricoh Arena.

He was chairman of Alliance & Leicester and died in a London hospital after being taken ill.

The bank's deputy chairman, Roy Brown, acting chairman, said: "It was with shock and sadness we learned of Derek's sudden and unexpected death and our thoughts are with his family. Derek made an outstanding contribution to British business and was a well-known figure in the City. He was a pleasure to work with."

Sir Derek graduated from Bristol University with a degree in economics and trained as an accountant before getting his first job in the City at Barings - from a job advertisement saying "no experience required". A few years later, he joined Warburgs, where he stayed 24 years.

A corporate financier, he was a big deal maker. He joined the insurance company Prudential, leading its work on corporate governance, before another stint at UBS, the Swiss bank which took over Warburg.

His father made millions as a property developer but instead of inheriting his fortune, Sir Derek became chairman of the charity that took on his name. The Alan Edwards Higgs Charity continues to give £750,000 a year to causes within 25 miles of Coventry - the terms of reference laid out in his father's will.

The death of Sir Derek leaves Alliance & Leicester without a chairman and, temporarily, without a chief executive.

CEO David Bennett went on sick leave in late January but A&L said yesterday he was "fully fit" and would return next Tuesday, when he will resume full-time duties.

Halifax Bank of Scotland chairman Dennis Stevenson told the group's annual meeting Sir Derek was "one of the leading and one of the most wonderful people in the financial world".

Peter Montagnon, director of investment affairs at the Association of British Insurers, said Sir Derek had forced companies and investors to address "some pretty difficult issues". He added: "It was not an easy process, especially at the beginning, but it has largely worked and British companies are almost certainly better off as a result. His passing is a sad loss."

David Allvey, chairman of Arena Coventry Limited, said: "Everybody from ACL and at the Ricoh Arena is greatly shocked and saddened by the news of Sir Derek's death.

"Derek played a key part in the creation of the Ricoh Arena and cared passionately about it, not only as a great venue but as a driver for economic regeneration in the north of Coventry.

"As everyone is aware his father and the Alan Edward Higgs Charity has dedicated a massive amount of money and time for the well being of the city and surrounding areas. The Ricoh Arena is testament to that.

"Having known Derek for over 20 years, the creation of the Ricoh was the pinnacle of his passion for Coventry.

"Derek was not only a brilliant and extremely prominent businessman but he was also an extremely personable and pleasant man and it was a pleasure to deal with him. We will clearly miss his enthusiasm and wise counsel."

Coventry City director Joe Elliott said until recently Sir Derek had been a very active member of CCFC and had attended last Saturday's 1-1 draw against Wolves.

Sir Derek is survived by wife Julia, two sons and a daughter.