UK business lobby 'confident' of recovery from scandal

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Britain's main business lobby, the CBI, is "confident" of recovery after allegations of sexual misconduct threw it into crisis, the group's boss told MPs Tuesday.

The Confederation of British Industry suffered an exodus of member companies over the last two months following the allegations, but last week won a key vote of confidence from remaining members.

"We are very confident we can recover from the crisis our organization has gone through," director-general Rain Newton-Smith told a cross-party committee of UK lawmakers, after the government also distanced itself from the organization.

"It has been a difficult time for us as an organization, but we have really responded to it and set out a program of change -- that's what our members voted on last week," she added.

Members voted by an overwhelming 93 percent in favor of a reset under her new leadership to overhaul the CBI's culture, governance and purpose.

However, Newton-Smith declined to comment Tuesday on how many member firms had left over the scandal.

The CBI has faced claims that more than a dozen women were sexually harassed at the organization and two others had been raped.

Police have launched an investigation following the allegations reported this year by The Guardian newspaper.

The CBI's own investigation is being handled by an external law firm.

"Of the most serious allegations which were raised in The Guardian, some of those such as the two instances of rape, we have no information on that has been shared with us," Newton-Smith told MPs on the business and trade committee.

"We have not been able investigate those allegations."

But she said it had "looked into the issue of whether or not women felt supported in raising their concerns and how we ensure that every single person when they raise concerns, that they are supported and we have the right process in place".

Newton-Smith took over in April from Tony Danker, who departed over a separate misconduct allegation.

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