The British Council’s chief executive has warned it could "disappear" within a decade without a financial bailout from the UK government.
The organisation has a presence in 100 countries, including the UAE and elsewhere in the Middle East, promoting British culture and running IELTS, one of the world’s major English language tests for higher education and migration.
Scott McDonald said the British Council was looking at £250m in budget cuts, losing hundreds of staff and axing the council’s presence in up to 40 countries.
The organisation's financial problems stem from a £200 million Covid-era loan from the government, which comes with commercial interest rates on a rolling one-year term.
The government charges commercial interest rates with a rolling one-year term, requiring annual reauthorisation, which Mr McDonald told The Guardian is a “a very painful experience for us, because each year we’re going to be insolvent unless the loan is renewed”.
"I think we would be in real danger of disappearing, probably over a period of a decade. And don't think I'm saying this just for headlines, I think it's really true,” he said,
He warned that the British Council’s key role in showcasing Britain's soft power and cultural influence, which has positive effects on diplomacy, tourism and international student recruitment, would be in jeopardy in these countries.
“There’s no British Council there, promoting the UK and our culture, our education, and so that vacuum gets filled – maybe by allies of ours but maybe also by some non-allies.
“It opens up for Putin’s Russia to move into these places to teach language and promote culture and capture the minds of young people. So on a broader scale, that’s enormously detrimental.”
Mr McDonald said he offered the council’s £200 million art collection, including works by Barbara Hepworth, Steve McQueen, David Hockney and Rachel Whiteread, to the government in exchange for writing off the loan, but that was rejected.
“We really need help on that loan. The government’s got to turn it into something viable for us, and at reasonable terms. And they’ve got to start funding us so that we can do more around the world," he said.
“I would like the loan to be written off but I think in this economic environment, it’s very difficult to justify. So I would just like reasonable loan terms of something like 25 years and a lower interest rate, and then we’d commit to paying it back fully.”
The Foreign Office said it was “committed to ensuring the financial stability of the British Council, and our continued funding underlines our support for their important work in promoting the English language, UK arts and culture and education”.
“Due to its commercial activities, the British Council is legally subject to subsidy controls, ensuring fair and free market competition in the market, and we remain committed to recovering the loan once their finances allow. We continue to work closely with the British Council and the Treasury on this issue,” it added.
Dates for the diary
To mark Bodytree’s 10th anniversary, the coming season will be filled with celebratory activities:
- September 21 Anyone interested in becoming a certified yoga instructor can sign up for a 250-hour course in Yoga Teacher Training with Jacquelene Sadek. It begins on September 21 and will take place over the course of six weekends.
- October 18 to 21 International yoga instructor, Yogi Nora, will be visiting Bodytree and offering classes.
- October 26 to November 4 International pilates instructor Courtney Miller will be on hand at the studio, offering classes.
- November 9 Bodytree is hosting a party to celebrate turning 10, and everyone is invited. Expect a day full of free classes on the grounds of the studio.
- December 11 Yogeswari, an advanced certified Jivamukti teacher, will be visiting the studio.
- February 2, 2018 Bodytree will host its 4th annual yoga market.
GOLF’S RAHMBO
- 5 wins in 22 months as pro
- Three wins in past 10 starts
- 45 pro starts worldwide: 5 wins, 17 top 5s
- Ranked 551th in world on debut, now No 4 (was No 2 earlier this year)
- 5th player in last 30 years to win 3 European Tour and 2 PGA Tour titles before age 24 (Woods, Garcia, McIlroy, Spieth)
WHAT IS A BLACK HOLE?
1. Black holes are objects whose gravity is so strong not even light can escape their pull
2. They can be created when massive stars collapse under their own weight
3. Large black holes can also be formed when smaller ones collide and merge
4. The biggest black holes lurk at the centre of many galaxies, including our own
5. Astronomers believe that when the universe was very young, black holes affected how galaxies formed
Read more about the coronavirus
Killing of Qassem Suleimani
The specs: 2018 Audi Q5/SQ5
Price, base: Dh183,900 / Dh249,000
Engine: 2.0L, turbocharged in-line four-cylinder / 3.0L, turbocharged V6
Gearbox: Seven-speed automatic / Eight-speed automatic
Power: 252hp @ 5,000rpm / 354hp @ 5,400rpm
Torque: 370Nm @ 1,600rpm / 500Nm @ 1,370rpm
Fuel economy: combined 7.2L / 100km / 8.3L / 100km
FORSPOKEN
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COMPANY PROFILE
Name: Qyubic
Started: October 2023
Founder: Namrata Raina
Based: Dubai
Sector: E-commerce
Current number of staff: 10
Investment stage: Pre-seed
Initial investment: Undisclosed
UAE currency: the story behind the money in your pockets
Why are asylum seekers being housed in hotels?
The number of asylum applications in the UK has reached a new record high, driven by those illegally entering the country in small boats crossing the English Channel.
A total of 111,084 people applied for asylum in the UK in the year to June 2025, the highest number for any 12-month period since current records began in 2001.
Asylum seekers and their families can be housed in temporary accommodation while their claim is assessed.
The Home Office provides the accommodation, meaning asylum seekers cannot choose where they live.
When there is not enough housing, the Home Office can move people to hotels or large sites like former military bases.
UAE currency: the story behind the money in your pockets
The five pillars of Islam
SPECS
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KILLING OF QASSEM SULEIMANI
Mohammed bin Zayed Majlis
