CBI hired 'toxic' staff and failed to sack offenders

The UK's biggest business group has admitted it hired "culturally toxic" staff and failed to fire people who sexually harassed female colleagues.

The CBI said a failure to act allowed a "very small minority" of staff to believe they could get away with harassment or violence against women.

The embattled group was responding to an independent report by a law firm after two rape allegations at the CBI.

It said it "made mistakes" "that led to terrible consequences".

The future of the CBI is hanging in the balance.

In early April, a number of claims of misconduct and harassment against CBI staff emerged including one allegation of rape at the lobby group's summer party in 2019.

The City of London Police began an investigation and the CBI asked the law firm Fox Williams to look into the claims.

While the government decided to pause any activity with the lobby group, most companies decided to wait until the investigations had concluded.

But last week, a second rape allegation prompted an avalanche of firms to cancel their membership or suspend activity with the lobby giant which claims to represent 190,000 firms.

The CBI subsequently announced it would suspend its operations until June while it decided on its future.

In a letter responding to recommendations by Fox Williams, the CBI admitted to its members:

Brian McBride, president of the CBI, said he wanted to give members a reasons to consider trusting the lobby group again.

But said: "Whether that is possible, I simply don't know."

On Monday, Chancellor Jeremy Hunt said there was "no point" engaging with the CBI when its own members had deserted them.

"We want to engage with a body that speaks or business. It is incredibly important for me when I'm constructing budgets to have someone that I can turn to who speaks for British business."