EU wants 40 per cent female boards

Major companies that do not reserve 40 per cent of their boardroom positions for women would face fines under proposals being examined at the European Union.

The legislation is to be put forward by the EU's Justice Commissioner, Viviane Reding, who wants it introduced by 2018 for publicly owned firms and 2020 for private companies with 250 or more staff or a turnover of £40m.

Yesterday, a spokesman for the Department for Business said that Britain – which cannot veto the move – would oppose it in the European Parliament.