In a scathing report into the governance of the Co-operative Group, former City minister Lord Myners today said radical changes were necessary to return the group to profitability.
The report said the Group's present governance structure was "not fit for purpose" and highlights "deplorable governance failures" that led to the near collapse of the group. Lord Myners calls for:
- A new "highly competent and qualified" Group Board with independent non-executive directors to lead and oversea the executive management teams.
- Genuine co-operative values and principles to be protected in the future governance structure.
- Member benefits should no longer be "deliberately restricted to a tiny and potentially quite unrepresentative body", but should be felt by the whole customer-owned organisation.