London Daily

Focus on the big picture.
Thursday, Dec 04, 2025

New CBI boss 'really confident' business lobby group can survive scandal

New CBI boss 'really confident' business lobby group can survive scandal

Rain Newton-Smith tells Sky News there is much work to do to regain trust but argues UK firms and government ultimately need its broad range of expertise.
The new boss of business lobby group the CBI says she is confident it will win back the trust of ministers and members within six months, but will have to "completely change" to survive allegations of sexual misconduct and a toxic culture.

Rain Newton-Smith started work as CBI director general this week with its future in doubt following allegations that two employees were raped by colleagues.

The claims prompted government and opposition parties to pause engagement with the organisation, and scores of major companies to end or suspend their membership, including Tesco, NatWest and John Lewis.

Speaking on her first day Ms Newton-Smith told Sky News: "I am really confident the CBI can survive. It's not going to be the same CBI that we've seen over the past few weeks for sure, it's not going to be the same organisation. We have to completely change and we will.

"I'm determined we'll definitely be at that table in six months' time and we need to be, because that's what our members want from us, and we have to be able to have those conversations with government," she said.

Ms Newton-Smith was appointed from a role at Barclays to replace former director general Tony Danker, who was sacked earlier this month following separate misconduct allegations.

She previously served as the CBI's chief economist for seven years, including the period when the most serious misconduct is alleged to have happened, but rejected concerns that made her unable to pursue reform.

"I think if I've ever seen wrongdoing, I've always addressed it. And if anyone's come to me with any issues, I've always let their voice been heard, and I've acted on it."

"When I was here, if people raised issues with me, I supported them.

"This is really challenging, the stories we have heard are so harrowing and everyone feels them really deeply. They're shocking and they're painful," she said.

"There are many things [that] happened at some time while I was here, but I am determined that we don't allow those things to happen again, and that voices and stories are heard and acted on."

Following an external investigation by employment lawyers the CBI will adopt 35 recommendations to improve its employment culture.

Ms Newton-Smith said she would canvas members to hear what they wanted from the organisation in future to try to win back their trust.

She also said the organisation was "too hierarchical" and would work to address the structure to improve the culture for more staff, who she said, had been "broken" by the allegations.

"I think it starts with listening, right, and I think it starts with humility. What's really hard coming into this job, as a leader, is I have to come into this job and I've got a staff who are broken, who've gone through a really, really terrible time."

The crisis at the CBI has led some to question the viability of a group that represents 190,000 companies with disparate agendas.

This week the prime minister convened a meeting with 200 business leaders in London at which Chancellor Jeremy Hunt said that engaging with a voice for business was helpful, but added there was "no point" in talking to the CBI in its current turmoil.

Ms Newton-Smith pointed to the CBI's role in facilitating the furlough scheme during COVID, and recent lobbying for business-friendly measures in the recent budget, as signs of its value, particularly going into an election.

"What we are focused on is, what does a brilliant business organisation look like that can stand toe-to-toe with the chancellor, the leader of the opposition, with the prime minister and tackle the big issues of the day?

"We have got a general election next year and business wants a strong voice to set out the case for what they want to see in those manifestos.

"And I haven't seen another organisation that has over 100 economists, policy specialists across the whole spectrum, and knowledge that goes deep across the regions and the devolved nations in the UK.

"So I think the government will need us, I think they have acknowledged that in the past, and I think they will going forward."
Newsletter

Related Articles

0:00
0:00
Close
UK Inquiry Finds Putin ‘Morally Responsible’ for 2018 Novichok Death — London Imposes Broad Sanctions on GRU
India backs down on plan to mandate government “Sanchar Saathi” app on all smartphones
King Charles Welcomes German President Steinmeier to UK in First State Visit by Berlin in 27 Years
UK Plans Major Cutback to Jury Trials as Crown Court Backlog Nears 80,000
UK Government to Significantly Limit Jury Trials in England and Wales
U.S. and U.K. Seal Drug-Pricing Deal: Britain Agrees to Pay More, U.S. Lifts Tariffs
UK Postpones Decision Yet Again on China’s Proposed Mega-Embassy in London
Head of UK Budget Watchdog Resigns After Premature Leak of Reeves’ Budget Report
Car-sharing giant Zipcar to exit UK market by end of 2025
Reports of Widespread Drone Deployment Raise Privacy and Security Questions in the UK
UK Signals Security Concerns Over China While Pursuing Stronger Trade Links
Google warns of AI “irrationality” just as Gemini 3 launch rattles markets
Top Consultancies Freeze Starting Salaries as AI Threatens ‘Pyramid’ Model
Macron Says Washington Pressuring EU to Delay Enforcement of Digital-Regulation Probes Against Meta, TikTok and X
UK’s DragonFire Laser Downs High-Speed Drones as £316m Deal Speeds Naval Deployment
UK Chancellor Rejects Claims She Misled Public on Fiscal Outlook Ahead of Budget
Starmer Defends Autumn Budget as Finance Chief Faces Accusations of Misleading Public Finances
EU Firms Struggle with 3,000-Hour Paperwork Load — While Automakers Fear De Facto 2030 Petrol Car Ban
White House launches ‘Hall of Shame’ site to publicly condemn media outlets for alleged bias
UK Budget’s New EV Mileage Tax Undercuts Case for Plug-In Hybrids
UK Government Launches National Inquiry into ‘Grooming Gangs’ After US Warning and Rising Public Outcry
Taylor Swift Extends U.K. Chart Reign as ‘The Fate of Ophelia’ Hits Six Weeks at No. 1
250 Still Missing in the Massive Fire, 94 Killed. One Day After the Disaster: Survivor Rescued on the 16th Floor
Trump: National Guard Soldier Who Was Shot in Washington Has Died; Second Soldier Fighting for His Life
UK Chancellor Reeves Defends Tax Rises as Essential to Reduce Child Poverty and Stabilise Public Finances
No Evidence Found for Claim That UK Schools Are Shifting to Teaching American English
European Powers Urge Israel to Halt West Bank Settler Violence Amid Surge in Attacks
"I Would Have Given Her a Kidney": She Lent Bezos’s Ex-Wife $1,000 — and Received Millions in Return
European States Approve First-ever Military-Grade Surveillance Network via ESA
UK to Slash Key Pension Tax Perk, Targeting High Earners Under New Budget
UK Government Announces £150 Annual Cut to Household Energy Bills Through Levy Reforms
UK Court Hears Challenge to Ban on Palestine Action as Critics Decry Heavy-Handed Measures
Investors Rush Into UK Gilts and Sterling After Budget Eases Fiscal Concerns
UK to Raise Online Betting Taxes by £1.1 Billion Under New Budget — Firms Warn of Fallout
Lamine Yamal? The ‘Heir to Messi’ Lost to Barcelona — and the Kingdom Is in a Frenzy
Warner Music Group Drops Suit Against Suno, Launches Licensed AI-Music Deal
HP to Cut up to 6,000 Jobs Globally as It Ramps Up AI Integration
MediaWorld Sold iPad Air for €15 — Then Asked Customers to Return Them or Pay More
UK Prime Minister Sir Keir Starmer Promises ‘Full-Time’ Education for All Children as School Attendance Slips
UK Extends Sugar Tax to Sweetened Milkshakes and Lattes in 2028 Health Push
UK Government Backs £49 Billion Plan for Heathrow Third Runway and Expansion
UK Gambling Firms Report £1bn Surge in Annual Profits as Pressure Mounts for Higher Betting Taxes
UK Shares Advance Ahead of Budget as Financials and Consumer Staples Lead Gains
Domino’s UK CEO Andrew Rennie Steps Down Amid Strategic Reset
UK Economy Stalls as Reeves Faces First Budget Test
UK Economy’s Weak Start Adds Pressure on Prime Minister Starmer
UK Government Acknowledges Billionaire Exodus Amid Tax Rise Concerns
UK Budget 2025: Markets Brace as Chancellor Faces Fiscal Tightrope
UK Unveils Strategic Plan to Secure Critical Mineral Supply Chains
UK Taskforce Calls for Radical Reset of Nuclear Regulation to Cut Costs and Accelerate Build
×