BRITAIN'S main business lobby, the CBI, won a survival vote on Tuesday (6) as members backed a cultural reset under new leadership after allegations of sexual misconduct threw the group into crisis.
Ninety-three per cent of voting members backed a resolution to put their confidence in the Confederation of British Industry to reform its "governance, culture, and purpose", a statement said.
Ahead of the vote, the CBI had warned that the result would determine the fate of the nearly 60-year-old institution which has seen prominent corporate members quit in the wake of the allegations.
"After an incredibly tough period, I'm deeply grateful for the faith shown in us by our members," said new CBI director general Rain Newton-Smith following the vote held at an extraordinary general meeting in London and online.
"We've made real progress in implementing the top-to-bottom programme of change promised by the board and, while there remains work to do, today's result represents an important milestone on that journey."
The CBI has faced claims that more than a dozen women were sexually harassed at the organisation and two others had been raped.
Police have launched an investigation following the allegations reported this year by The Guardian newspaper, triggering a shake-up at the organisation and the extraordinary vote on its future.
The allegations, described as "absolutely devastating" by Newton-Smith, caused an exodus of member companies - and the launch Monday of a rival body by the British Chambers of Commerce (BCC).
'We have listened'
"Let me be clear, we have listened, we have acted, and we will leave no stone unturned to be the best voice for business inside and out," Newton-Smith added following the result of the vote.
The scandal comes as UK businesses look for leadership during a cost-of-living crisis, with the country's elevated inflation cooling more slowly than expected.
Under Newton-Smith, the CBI has proposed the creation of a People & Culture Committee plus an external expert-led Culture Advisory Committee.
And it has created the role of chief people officer.
At the same time it is cutting jobs as the reduction in members slashes revenue.
In a move seen as taking advantage of the crisis, the BCC has launched the rival Business Council.
Founding partners include British energy group BP and Heathrow airport.
The BCC said it welcomed the result of Tuesday's vote, seeing itself as a peer rather than rival to the CBI.
"Given the challenges facing the UK economy, it is vital for the business community to have a diverse range of voices representing their concerns and priorities into government," BCC director general Shevaun Haviland said in a statement.
Newton-Smith on Tuesday said a revamped CBI could still be a powerful driving force, with its depth of expertise and practical business insights over decades.
"Even our competitor groups have admitted they can't match all that," she told delegates.
Local councils now face four “nationally significant” cyber attacks weekly, putting essential services at risk.
Cyber-attacks cost UK SMEs £3.4 billion annually, with the North West particularly affected.
Experts recommend proactive measures including supplier monitoring, threat intelligence, and an “assume breach” mindset.
Cyber threats escalate
Britain’s local authorities are facing an unprecedented surge in cyber threats, with the National Cyber Security Centre reporting that councils confront four “nationally significant” cyber attacks every week. The escalation comes as organisations are urged to take concrete action, with new toolkits and free cyber insurance through the NCSC Cyber Essentials scheme to help secure their foundations.
Recent attacks on major retailers including Marks & Spencer, Co-op and Jaguar Land Rover have demonstrated the devastating impact of cyber threats on critical operations. Yet councils remain equally vulnerable, with a single successful attack capable of rendering essential public services inaccessible to millions of citizens.
The stakes are extraordinarily high. When councils fall victim to cyber attacks, citizens cannot access housing benefits, pay council tax or retrieve crucial information. Simultaneously, staff are locked out of email systems and case management tools, halting service delivery across social care, police liaison and NHS coordination.
Call for cyber resilience
According to Vodafone and WPI Strategy’s Securing Success: The Role of Cybersecurity in SME Growth report, cyber-attacks are costing UK small and medium-sized enterprises an estimated £3.4 billion annually in lost revenue. Over a quarter of SMEs surveyed stated that a single attack averaging £6,940 could force them out of business entirely. This financial impact is particularly acute in the North West, where attacks cost businesses nearly £5,000 more than the national average.
Renata Vincoletto, CISO at Civica, emphasises that councils need not wait for legislation to strengthen their cyber resilience. She outlines five immediate priorities: employing third-party continuous monitoring tools to track supplier security compliance; subscribing to threat intelligence feeds from the NCSC and sector experts; engaging with regional cyber clusters supported by the Department for Digital, Culture, Media and Sport and the UK Cyber Cluster Collaboration ( UKC3) establishing standardised incident reporting processes aligned with NCSC frameworks; and adopting an “assume breach” mindset to stay vigilant against inevitable threats.
“Cyber resilience is not a single project or policy it’s a culture of preparedness,” Vincoletto states. “Every small step taken today reduces the impact of tomorrow’s inevitable attack.”
By clicking the 'Subscribe’, you agree to receive our newsletter, marketing communications and industry
partners/sponsors sharing promotional product information via email and print communication from Garavi Gujarat
Publications Ltd and subsidiaries. You have the right to withdraw your consent at any time by clicking the
unsubscribe link in our emails. We will use your email address to personalize our communications and send you
relevant offers. Your data will be stored up to 30 days after unsubscribing.
Contact us at data@amg.biz to see how we manage and store your data.