British Cycling has announced it expects to lose £4million in lost income during the coronavirus lock down.
The national governing body has been forced to furlough a third of its workforce and cut wages to reduce the financial impact of the global pandemic.
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British Cycling has suspended all events and sanctioned activities to help slow the spread of coronavirus, which has resulted in the loss of entry fees and other sources of income.
In an update, British Cycling CEO Julie Harrington said: “British Cycling is a not-for-profit organisation with any revenue we generate invested into the sport. Because a significant part of that revenue comes from events – including a proportion of entry fees and other associated payments which go toward administering the sport – and because the majority of cycling events take place over the spring and summer months, we are planning for a significant drop in income of around £4million.
“As the governing body for cycling in Britain, we are committed to honouring our duty to act in the best interests of our members and our sport.
“Therefore, we are taking steps to protect the federation, as well as the jobs of our employees, by using some of the measures announced by the Government in recent weeks, including the furloughing of some of our staff through the Coronavirus Job Retention Scheme.”
A total of 90 roles will be furloughed, mostly in April with some staff stepping down temporarily in May.
The organisation will also be introducing a 10 per cent pay cut for Harrington and her leadership team in May and June.
On the staff furlough, Harrington added: “This is a tough decision we have taken with care. We know that it may mean difficulties for some employees who are being furloughed so we have put in place measures to support them, including offering financial advice and access to learning and development tools.
“I know that today many people are discovering or rediscovering the benefits of cycling for transport and for exercise. I also know that across the country there are many people who care deeply about our sport – volunteers, event organisers and officials, and others – who are looking forward to the day when organised cycling can return.
“I want to reiterate to all of them that British Cycling retains its commitment to working hard for our members, for our sport and for anyone who loves getting on a bike.”
Earlier this year, British Cycling announced that banking group HSBC would be ending its multi-million pound sponsorship deal of the body.
HSBC, sponsor of British Cycling since 2017, is exercising a break clause in the contract to bring its sponsorship to an end four years into the deal.