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The Labour Party is said to have ended its boycott of the Confederation of British Industry (CBI), in an early sign that steps to revive the UK lobby group may be yielding results.
Shadow business secretary Jonathan Reynolds met with the new CBI head Rain Newton-Smith last week.
Both the Labour and Conservative parties had cut ties with the CBI in the wake of a sexual misconduct scandal.
The Financial Times cited a Labour party official as having described the meeting as “positive” and “warm”. Other shadow ministers have reportedly not yet been given permission to engage with the lobby group.
A Labour party source said: “Jonathan and Rain met to discuss the changes the CBI are making. Labour have resumed staff level contact as per the Government and will continue to review political engagement as the CBI work to restore the confidence of their members.”
It comes after Rishi Sunak earlier this month shied away from questions over whether the Government would re-engage with the CBI, saying there were “matters at the CBI are for the CBI and for its members to work through.”
“I’m sure they will work through that with their members and what it means.”
The CBI has been battling to overhaul its image in recent weeks, after allegations emerged against managers of inappropriate touching and two claims of rape.
The City of London police are currently investigating individual claims.
Ms Newton-Smith has taken over as the CBI director-general after the exit of former head Tony Danker, following reports of an inappropriate comment he had made to a member of staff.
Mr Danker apologised for having made people uncomfortable, but has argued that he has become a scapegoat and is understood to be preparing to take legal action against the CBI.
The future of the CBI was, however, cast into doubt in recent weeks, after members were asked to vote over its overhaul plans.
The CBI ultimately survived the vote, and claimed it had received a “strong mandate” from its members. It later emerged that only 371 votes were cast out of around 1,200 members who were eligible to vote on plans to save the business.
Hundreds of large companies opted to boycott the meeting. Many companies, including John Lewis and NatWest, have already chosen to quit the business group.
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