LONDON’S BUSINESS NEWSPAPER
SCOTTISH STRAMASH SNP IN CRISIS AS BIG QUESTIONS REMAIN FOR THE PARTY P10
SAM TORRANCE WHY MCILROY IS A GOOD BET FOR AN AUGUST AUGUSTA ROUND P27
CBI IN CRISIS FIRMS MULL BAILING OUT
THURSDAY 6 APRIL 2023
ISSUE 3,962
CITYAM.COM
FREE
TREASURY BREAKS OFF RELATIONS WITH TRADE BODY CITY A.M. REPORTERS THE CBI, Britain’s biggest business trade body, has become persona non grata on Whitehall after a string of sexual misconduct allegations. The Treasury and the business department have ‘paused’ engagement with a body that on its website claims to “proactively” talk with government to give policy a “business steer”. Last night the Labour party confirmed to City A.M. that it, too, had broken off relations with the group. On Monday, the Guardian published allegations that as many as twelve women within the organisation felt they had been victims of sexual misconduct. Those allegations came just two
months after the organisation’s director general, Tony Danker, stepped aside after allegations about his own behaviour which triggered an investigation by the law firm Fox Williams. Danker said it was “mortifying to hear that I have caused offence or anxiety to any colleague” and it is understood that none of the further allegations relate to his conduct. Last night, a host of corporate members of the CBI, all of whom pay substantial fees to the representative body, expressed concern about the allegations. Big 4 outfit EY said the “allegations about the CBI are extremely concerning” but that they would wait for the inquiry to report before commenting further. City A.M. also understands at least
one large British business has written to the acting director general to seek reassurances that the allegations are being taken seriously and that those making them are being supported. A senior figure at a separate business body said “as industry bodies and trade associations, it is imperative that our own conduct reflects the positive conduct we expect of our members and the wider industry”. And a spokesman for Rolls-Royce told The Times that it expected “the CBI to thoroughly investigate and take real action on any findings from that investigation. We will await the outcome of the investigation before considering our membership.” The CBI said it treats any allegation of misconduct “with the utmost seriousness”. The body hopes to receive initial findings, and actions, from the investigation soon after Easter. “We will not hesitate to take any necessary action” in due course, a spokesman said.
EATEN UP London-listed Franco Manca owner latest to sell up LAURA MCGUIRE THE OWNER of Franco Manca has been snapped up by a Japanese food franchiser in a £93m deal – the latest in a long line of London-listed firms to be taken private by foreign raiders. Fulham Shore, which also owns The Real Greek franchise, announced that it was offloading the business to Toridoll, a Tokyo-listed business which owns fast food chains Wok to Walk and Marugame Udon in London.
The offer represents around a 38 per cent premium on the firm’s closing price on Tuesday. The company described the offer as a “significant opportunity” to grow the business, with plans for expansion from its 97 restaurants now on the table. A note to investors read: “Fulham Shore is well positioned to continue to benefit from favourable market trends, particularly an anticipated growth in demand for Italian cuisine.”
Had enough of experts? New poll says the public wants the technocrats in charge JESSICA FRANK-KEYES RECORD levels of Britons now want experts to run the country, a King’s College London survey has found. Almost two thirds of the British public (61 per cent) in 2022 said having experts, not politicians, make decisions according to what
they think best was a good way of governing. The finding comes six years after cabinet minister Michael Gove famously claimed during the 2016 Brexit campaign: “People in this country have had enough of experts.” It marked a significant rise over
the last two decades, with just 41 per cent backing the same question in 1999. The UK also has the highest level of support of any Western nation, of the two dozen surveyed, beating Australia (at 59 per cent) and Spain (on 57 per cent). Professor Bobby Duffy said that
“increasing support for expert roles in national decision-making” is now at “record levels” in the UK and shows Brits “recognise the importance of expertise”. Researchers also found the UK had low levels of satisfaction with politics – with just 17 per cent of people saying they were “highly
satisfied”, among the lowest of the 23 nations asked. It put Britain on par with Russia (16 per cent), Mexico (17 per cent) and Nigeria (15 per cent). The UK also ranks far behind Norway (41 per cent) and Canada (36 per cent), but beat France (13 per cent) and the US (12 per cent).
INSIDE FCA SETS OUT ITS STALL TO ATTRACT UK COMPANIES BACK P3 UK CAR SALES GROW P6 MARKETS P15 OPINION P18 OUT AND ABOUT P20 EASTER IN THE CAPITAL P22