Gender Diversity in CSR Governance and Sustainability Performance: Evidence From UK ‐Listed Firms

ABSTRACT

This study examines the relationship between CSR board gender diversity and sustainability performance among nonfinancial firms listed on the London Stock Exchange. It also investigates whether institutional ownership, managerial ownership, and slack resources moderate this relationship. Using data from the Bloomberg database, the study employs purposive sampling to identify 288 nonfinancial firms with 14 years of observations covering 2012–2025. The hypotheses are tested using the augmented mean group (AMG), common correlated effects mean group (CCEMG), and two‐step difference generalized method of moments (GMM) estimators. The results show that CSR board gender diversity is positively associated with sustainability performance. Institutional ownership, managerial ownership, and slack resources also significantly and positively moderate the relationship between CSR board gender diversity and sustainability performance. The study extends the CSR governance literature by demonstrating how board gender diversity can contribute to sustainability performance and how ownership structures and available financial resources can strengthen this relationship. The findings suggest that firms should strengthen gender diversity within CSR governance structures and consider ownership arrangements and resource availability when designing governance mechanisms aimed at improving sustainability performance. Such measures can support more inclusive decision‐making, stronger accountability, and improved sustainability outcomes.