EY UK report highlights role of DEI in boosting productivity and talent

• New research highlights the diversity, equity, and inclusion (DE&I) strategies that can help to foster an inclusive culture and improve workplace equity
• Report includes input from 11 leading UK diversity campaign groups

A new report by EY UK underlines the critical importance of diversity, equity, and inclusion (DE&I) in improving productivity and workforce innovation in UK companies amid an unpredictable macroeconomic environment.

Drawing on extensive research, industry collaborations, and data-driven insights, the report highlights how strategic DE&I interventions can create measurable impact and foster a culture of belonging for all employees.

In partnership with leading diversity campaigns and DE&I specialists - including the Parker Review, FTSE Women Leaders, Change the Race Ratio, and Progress Together¹ - the report identifies DE&I interventions that can have the most significant impact in improving workplace equity and inclusion across multiple characteristics such as gender, ethnicity, disability, LGBTQ+ identities, and socio-economic backgrounds.

Creating an inclusive culture

The report highlights the importance of fostering a culture of inclusivity at all levels of UK business and ensuring that managers and leaders have the necessary understanding and support to implement inclusive policies, address poor behaviours, and promote inclusive practices within their teams.

To achieve this, business leaders are encouraged to assess their organisational culture to understand the lived experience of their teams and to provide training for managers and business leaders on inclusive behaviours, focusing on practical knowledge to build confidence when discussing sensitive topics.

Anna Anthony, EY UK & Ireland Regional Managing Partner, commented: “Diversity, equity and inclusion are not just ethical values - they are critical drivers of innovation, productivity, and economic growth. By fostering inclusive workplace cultures that value differences and amplify the voices of underrepresented groups, we can all help to create a UK business environment where creativity flourishes, individuals thrive, and everyone benefits.

“The strategies highlighted in the report will provide a useful source of insight to many UK companies, including our own organisation. We are committed to learning from these best practice examples as we continue to foster a workplace culture where all our people feel safe and empowered to succeed.”

A holistic approach to DE&I 

The report provides practical recommendations for businesses of all sizes and sectors across the UK, focusing on DE&I interventions that work across multiple characteristics and can assist businesses to adopt a holistic DE&I strategy that benefits many individuals. These key recommendations include:

• Measurement: taking a data-driven approach to DE&I including robust data collection and analysis and target setting.
• Recruitment: implement targeted recruitment strategies that attract diverse candidates and, where needed, offer appropriate support to accurately assess their competences and suitability for a role.
• Retention: providing flexibility on when and how roles are performed.
• Progression: offering structured development programmes to mentor and/or sponsor individuals to close gaps in access to career progression opportunities.

Sir Trevor Phillips, Chair of Change the Race Ratio, commented: “The fact that there are questions being asked about the value of diversity and inclusion programmes is a sign, not that we should do less, but that we should do more - and do better. 

“Both workforces and customers are more diverse, and more aware of their differences than ever. That means studying what has been done, dropping approaches that failed to deliver, and doubling down on programmes that boost corporate success. That’s why this work from EY is central to any leader who wants to be judged by their results.”

Vincent Keaveny, Chair of Progress Together, commented: “In today’s volatile business environment, where competing priorities make attracting and retaining diverse talent challenging, it is more important than ever for organisations to focus on proven strategies. By leveraging evidence-based approaches and fostering collaboration, businesses can help build workplaces that reflect the communities they serve while driving long-term success.”

¹The report includes input from the following campaigns and diversity specialists: The Parker Review; FTSE Women Leaders; Change the Race Ratio; Progress Together; Business Disability Forum; 30% Club; Moving Ahead; Women in Banking and Finance, 25x25; LGBT Great; and The Bridge Group, with additional input from Kings College London, New Financial, Business In the Community, and Fimatix.