The British Council in Italy is facing a severe crisis as it plans to cut about 80% of its workforce due to a funding crisis. This move will affect 108 out of 130 teaching staff across Rome, Milan, and Naples. The British Council, a leading institution of soft power founded in 1934, has been forced to restructure due to a £197m government loan that dates back to the Covid pandemic.
The loan, agreed under Boris Johnson's Conservative government, has a reported annual interest of about £14m and must be repaid by September. The British Council's chief executive, Scott McDonald, has previously said that the organisation could disappear within a decade, harming the UK's global status and leaving an international vacuum to be filled by Russia and China, unless the government acts to save it.
The council's three main income streams – teaching, exams, and development contracts – which make up 85% of turnover, have all come under pressure during and since Covid. The UK spends less on development, and with US development aid gone, there are fewer development projects to win, MPs were told.
The British Council in Italy is about to lay off 108 out of 130 employees and masks this political choice of the British government behind an alleged corporate crisis, the Italian General Confederation of Labour (CGIL) said in a post on Instagram. It added that the council was a cultural institution, not a corporation, set up to promote cultural and educational cooperation between the two countries.
Firing more than 80% of the workforce deprives Italy of this opportunity. Staff will protest next on Thursday to the British embassy in Rome, with another strike planned for 4 June. The British Council has been approached for comment.
Key Facts
- 108 out of 130 teaching staff in Italy will be cut
- The British Council has a £197m government loan
- The loan has a reported annual interest of about £14m
- The British Council's chief executive, Scott McDonald, has previously warned that the organisation could disappear within a decade
The British Council conducts English language tuition for adults and children as well as corporate and business classes. It's understood that its exams division would continue under partners and cultural events would remain.
The British Council's presence in Italy has been extremely badly hit, according to a source. Everybody is very shocked, very upset, very sad, obviously also very angry as well. Because our presence will be so small at the end of all this, it's a very strong political message that Italy isn't important.
The British Council isn't just facing challenges in Italy; it's facing similar challenges across Europe. Consultations are also understood to be taking place in France, Spain, and Portugal. An internal consultation document lists 784 jobs in scope across the UK and Europe, with at least 404 roles expected to be displaced, which accounts for 15% of staff.
So, what happens next? The British Council will have to find a way to repay the loan and make up for the lost income. This could involve cutting more staff, reducing services, or finding new sources of funding. The UK government may also need to step in to provide more support.
But for now, the future of the British Council in Italy is uncertain. The strikes and protests will likely continue, and the organisation will have to find a way to balance its finances with its mission to promote British culture and education abroad.
It's not all doom and gloom, though. The British Council has been around for over 80 years, and it has a strong reputation for promoting cultural exchange and understanding. With the right support and funding, it's possible that the organisation can bounce back and continue to thrive.
The British Council has a long history of promoting British culture and education abroad. It was founded in 1934, and it has been operating in Italy for over 80 years. The organisation has a strong reputation for providing high-quality English language tuition and cultural events.
In October, Scott McDonald told the foreign affairs select committee that the organisation was nearly insolvent. He said that despite 16 months of negotiation with the Foreign, Commonwealth and Development Office (FCDO), things had stalled, and the organisation remained in real financial peril.
The council also receives grant-in-aid funding from the FCDO, which last year was £162m, making up about 15% of total income. But this funding isn't enough to cover the organisation's costs, and the British Council is having to find other ways to make up for the shortfall.
It's not just the British Council that's affected; the cuts will also have an impact on the people who use the organisation's services. The British Council provides English language tuition for adults and children, as well as corporate and business classes. These services will be reduced or discontinued, which could have a negative impact on the people who rely on them.
The British Council's exams division will continue to operate under partners, and cultural events will remain. But the organisation's presence in Italy will be significantly reduced, which could have a negative impact on cultural exchange and understanding between the two countries.
The British government's decision to cut funding to the British Council has been widely criticised. The organisation is seen as an important tool for promoting British culture and education abroad, and the cuts could have a negative impact on the UK's reputation and influence.
The future of the British Council in Italy is uncertain, and it's unclear what the long-term impact of the cuts will be. The organisation will have to find a way to adapt to the new reality and find a way to continue promoting British culture and education abroad.
The British Council's funding crisis is a complex issue with no easy solutions. The organisation will have to find a way to balance its finances with its mission, and the UK government will have to decide whether to provide more support. The outcome is uncertain, but it's clear that the British Council's presence in Italy will be significantly reduced, and the organisation's future is at risk. The UK government's decision will have a significant impact on the organisation's ability to promote British culture and education abroad.