The world-famous British Council, which receives £126.5 million ($154.8 million) of annual United Kingdom aid funding for development and anti-disinformation work overseas, is in danger of going bust, its boss is warning.
The institution — which spends almost £1 billion a year on charitable activities — is in “real financial peril” because it must start paying back a £197 million emergency government loan from the start of the new financial year in April, Chief Executive Scott McDonald told a parliamentary inquiry.
McDonald described the loan — provided to ensure survival through the COVID-19 pandemic – as impossible to repay “in the near term,” warning the Council is faced with pulling out of up to 40 of the 200 countries in which it works, having already left 18 countries, including Afghanistan and South Sudan, in its urgent search for savings.
About the author
Rob Merrick
Rob Merrick is the U.K. Correspondent for Devex, covering FCDO and British aid. He reported on all the key events in British politics of the past 25 years from Westminster, including the financial crash, the Brexit fallout, the "Partygate" scandal, and the departures of Boris Johnson and Liz Truss. Rob has worked for The Independent and the Press Association and is a regular commentator on TV and radio. He can be reached at rob.merrick@devex.com.
