Church criticism of sports chain revealed

MIKE ASHLEY’S Sports Direct has been chastised by the Church of England over the treatment of factory workers and governance failings at the retailer, it can be revealed.

The Church Commissioners – which manage the Church’s £7.9 bn investment fund – criticised the sportswear giant amid a string of controversies at the high street chain.

In a series of letters delivered to the company, the Church is thought to have touched on issues including executive pay and working conditions at the retailer. The correspondence came at a time when Sports Direct was dealing with serious operational, governance and risk oversight problems.

These included what unions described as “Victorian” working conditions at the high street chain’s Shirebrook factory in Derbyshire, and the retention of Keith Hellawell as chairman against the wishes of key shareholders. The Church’s investment arm, which has a minority holding in Sports Direct, made its disapproval clear at the group’s AGM, voting against the re-election of both chairman Mr Hellawell and Mr Ashley, inset, in 2017. It is understood the Church still holds its stake in the business but continues to engage over key areas of concern. A spokesman for Sports Direct said: “The board received backing from a majority of independent shareholders at the AGM in September 2017, at which many of these historic issues were addressed.”