Media Information

Statement by CIPR President Kevin Taylor regarding Institute’s projected financial outturn for 2009 (28 October 2009)

This has been a challenging year for the Institute. Our move to Russell Square and the economic situation has had a detrimental impact on our finances and we are expected to make a loss of around £700k in 2009.

More than £500k of this is due to significant but exceptional one-off property costs relating to our move from St James’s Square – a move which was forced when our landlord, Mr Kallakis, applied for planning permission to redevelop the property as his private house and served us notice to quit. Commitments to the Institute made by Mr Kallakis were then not honoured when the building was re-possessed and sold while Mr Kallakis became the subject of a Serious Fraud Office investigation.

The remainder of the loss is the result of a downturn in trading income in the last quarter because of the recession.

The Executive Board met last week and agreed a programme of immediate cost savings, along with a three-year strategy that focuses on the needs of our membership and the profession.

Our cash flow position remains positive, and we are committed to turn round the finances in the next year. We believe our new base at Russell Square, with its improved training, conference and office facilities, will help in that turnaround. Services to our members will remain our priority.

Editor’s notes

ENDS
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