Charity Watchdog Launches Probe into City & Guilds' Lavish Privatization
The Charity Commission has embarked on a statutory inquiry into the £180m sale of City & Guilds' qualifications awards business to private company PeopleCert last year. The inquiry follows reports that the charity's executives were showered with multi-million pound bonuses following the deal, which also saw the business embark on a £22m cost-cutting drive and significantly reduce its UK workforce.
At the heart of the controversy is City & Guilds' outgoing chief executive Kirstie Donnelly, who received a £1.7m award, as well as finance director Abid Ismail, who earned £1.2m. Both executives also saw significant increases in their salaries: Donnelly's pay packet was boosted by £100,000 to around £430,000, while Ismail's salary rose by 30% to approximately £300,000.
The Charity Commission stated its intention to investigate a range of concerns, including the sale and bonuses awarded to executives. The inquiry will also review information provided to the commission regarding the sale, as well as the decision-making process behind it. This includes whether the charity's trustees were adequately informed about the proposed deal and how they navigated regulatory requirements.
Critics have questioned the transparency surrounding the sale and its impact on the charity's charitable objectives. The Charity Commission has acknowledged the concerns raised by public reports and is committed to maintaining public trust. However, with the private business arm of City & Guilds boasting significant profits following the privatization, critics argue that accountability must be maintained to ensure these vast sums are being used for the greater good.
As part of its investigation, the Charity Commission may expand the scope of its inquiry if additional regulatory issues emerge. The commission previously received assurances from the charity about its decision-making process but ultimately deemed the sale not to require its regulatory consent.
The Charity Commission has embarked on a statutory inquiry into the £180m sale of City & Guilds' qualifications awards business to private company PeopleCert last year. The inquiry follows reports that the charity's executives were showered with multi-million pound bonuses following the deal, which also saw the business embark on a £22m cost-cutting drive and significantly reduce its UK workforce.
At the heart of the controversy is City & Guilds' outgoing chief executive Kirstie Donnelly, who received a £1.7m award, as well as finance director Abid Ismail, who earned £1.2m. Both executives also saw significant increases in their salaries: Donnelly's pay packet was boosted by £100,000 to around £430,000, while Ismail's salary rose by 30% to approximately £300,000.
The Charity Commission stated its intention to investigate a range of concerns, including the sale and bonuses awarded to executives. The inquiry will also review information provided to the commission regarding the sale, as well as the decision-making process behind it. This includes whether the charity's trustees were adequately informed about the proposed deal and how they navigated regulatory requirements.
Critics have questioned the transparency surrounding the sale and its impact on the charity's charitable objectives. The Charity Commission has acknowledged the concerns raised by public reports and is committed to maintaining public trust. However, with the private business arm of City & Guilds boasting significant profits following the privatization, critics argue that accountability must be maintained to ensure these vast sums are being used for the greater good.
As part of its investigation, the Charity Commission may expand the scope of its inquiry if additional regulatory issues emerge. The commission previously received assurances from the charity about its decision-making process but ultimately deemed the sale not to require its regulatory consent.
they r making execs get multi million pound bonuses while the UK workforce gets reduced by 22 million and yet they still dont seem to care about their charitable objectives 
its like they r more interested in lining their pockets than helping ppl gain skills and qualifications 
if the charity commission cant do anything, maybe someone else should take a closer look at what's going on 
... £180m for a business and the execs are getting multi-million pound bonuses? It just doesn't sit right with me 
. I mean, I get that charity execs should be fairly compensated, but £1.7m and £1.2m is just steep 
. And what about the impact on the workforce? 22 million pounds in cost cuts? That's a lot of jobs lost 
. Can't we just have more transparency around these deals so we can make sure they align with the charity's goals? Transparency is key, right? 
. The Charity Commission needs to dig deeper and make sure everyone's playing by the rules, especially when it comes to transparency 
. This privatization thing is just a recipe for disaster 
And what does this say about our values as a society if we're okay with this kind of deal-making in the name of charity? 
city & guilds is supposed to be a charity, but it sounds like those in charge are more worried about lining their own pockets than doing any actual good 
. The Charity Commission needs to dig deep into this one and figure out what really went down. Transparency is key here, and if there's even a whiff of something fishy, they need to take action 
It looks like the executives were more interested in lining their own pockets than helping out the charity they were supposed to be working for. I mean, what's the point of even having a Charity Commission if they can't keep tabs on these kinds of things?! 
They're just raking it in while people's livelihoods are being cut and costs are dropping left and right 
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