Fisher explained the CII’s attempt to cut costs saw operating expenditure fall to £40.9m, £2m lower than 2019. As a result, its operating result before tax was a deficit of £4m.
“This is clearly not where we want to be but we are addressing this and to date in 2021 we are ahead of our revenue figure at this time in 2020, which is an encouraging sign of our ability to recover post pandemic,” she said.
“The CII board supports our plan to fully restore our finances over the next three years, while finishing what we have started with our modernisation programme.
“It remains crucial that we complete the move to our updated technology systems. These will future proof our services, including new delivery platforms for exams, learning, events and membership, while also benefiting our colleagues. When the transition is complete, we will be a much more effective and cost-efficient organisation.”
Reviewing its finances
Today the CII published a strategy paper, setting out its plans for the future.
The CII acknowledged some PFS members were “unhappy” and pledged a "future of ongoing positive collaboration" which would be in the best interest of both bodies' members.
Sarah Lord, president of the Personal Finance Society, said she regretted that the PFS board had not been consulted prior to publishing the paper but pledged to be cooperative on input.
However, the PFS board will over the next few weeks "continue to take steps to achieve clarity on the current financial position of the CII group, to ensure that the reserves accumulated from PFS members' subscriptions and other activities are used solely for the purposes set out in the PFS Articles of Association, that being to promote and facilitate the provision of financial advice," she warned.
She also said the board would explore "options for alternative legal structures" which would better protect and promote the interests of PFS members.
Earlier this year, advisers breathed a sigh of relief after the Personal Finance Society board voted against the CII's latest proposal to de-register the adviser body.
The CII had first proposed de-registering the PFS as a legal entity in 2016 and then again in 2019 with a view to making cost savings and reducing the tax bill.
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