CBI postpones crunch AGM amid ‘short term cash flow’ issues and race to raise £3m
The Confederation of British Industry (CBI)’s annual meeting meant to take place Wednesday has been postponed, prompting more concerns about the finances of the crisis-hit lobby group.
Following a race to raise £3m within days of its scheduled annual meeting, the CBI announced its postponement in a message to members on Tuesday afternoon.
“At the CBI, we’re serious about our commitment to you, to be more accountable and transparent in our decision-making and work”, it said.
“As has been reported, the CBI has experienced some short term cashflow challenges.
“To reassure members, we are in positive dialogue over finalising financing options and are confident that we will be able to resolve this short-term issue and secure the footing of an organisation that remains in a strong medium to long term position.
“But given the significant interest in the CBI right now, we are opening-up and refocusing our previously planned AGM.”
Members are currently awaiting further information.
The CBI was meant to present its annual report and accounts to detail its financial position as well as hold certain resolutions during the Wednesday meeting.
This comes after the CBI was hit by a major scandal over the summer, with claims of sexual misconduct in the organisation. This led to an exodus of top names, led by Aviva, and the departure of its boss Tony Danker.
Rain Newton-Smith, the new director-general, since apologised to the women who made allegations of sexual harassment, assault and rape.
Though the CBI previously secured its future at an emergency general meeting, with director general Rain Newton-Smith securing a vote in favour of a new strategy, the cash crunch still followed.
More to follow.