Hundred Group
Encyclopedia
The Hundred Group is a group of British
finance directors (FD), operating as the unofficial mouthpiece of the finance function of the FTSE-100 - a voice that carries considerable resonance in business
. The organisation shares many attributes of a somewhat secretive gentlemans club, although it has raised its profile to tackle the British government
on high-profile issues such as double taxation
and the euro
, attracting column inches in the press as a consequence.
on behalf of FDs of the UK FTSE-100. The Hundred Group only meets to discuss specific issues; it aims to comment and offer advice on issues where it feels UK government policy is misguided. It exists to pool experience and to continue to shape the changing role of the finance director.
The main purpose of The Hundred Group is to provide a forum for discussion and to make contributions and representations on issues of importance for financial management. Members are actively involved to ensure that the views of users and preparers of accounts are fully understood. Submissions are made to Government and other organisations highlighting the practical implications of existing financial procedures, related legislation and proposed changes.
s, its most immediate concern was the Labour
government's price control policy at a time when inflation
was 2% per month. The Hundred Group soon found its feet as a forum for discussion and lobbying.
Eventually, membership was widened to include FDs who were not chartered accountants and the affiliation with the London Society of Chartered Accountants was ended. The group became the Hundred Group of Finance Directors, and non-FDs were asked to leave.
The group gained notoriety in 1993 where it effectively lobbied against the torrent of new listings rules, accounting
standards, legislation and the Cadbury Report
. The group convinced the authorities that more time was needed to implement all the corporate
and legislative changes.
The group's paper on the euro, a united defiance against double tax
ation and a keen interest in pension
s reform have helped raise its profile in recent years.
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
finance directors (FD), operating as the unofficial mouthpiece of the finance function of the FTSE-100 - a voice that carries considerable resonance in business
Business
A business is an organization engaged in the trade of goods, services, or both to consumers. Businesses are predominant in capitalist economies, where most of them are privately owned and administered to earn profit to increase the wealth of their owners. Businesses may also be not-for-profit...
. The organisation shares many attributes of a somewhat secretive gentlemans club, although it has raised its profile to tackle the British government
Government
Government refers to the legislators, administrators, and arbitrators in the administrative bureaucracy who control a state at a given time, and to the system of government by which they are organized...
on high-profile issues such as double taxation
Double taxation
Double taxation is the systematic imposition of two or more taxes on the same income , asset , or financial transaction . It refers to taxation by two or more countries of the same income, asset or transaction, for example income paid by an entity of one country to a resident of a different country...
and the euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
, attracting column inches in the press as a consequence.
Objectives of the Hundred Group
The key driver for the group is lobbyingLobbying
Lobbying is the act of attempting to influence decisions made by officials in the government, most often legislators or members of regulatory agencies. Lobbying is done by various people or groups, from private-sector individuals or corporations, fellow legislators or government officials, or...
on behalf of FDs of the UK FTSE-100. The Hundred Group only meets to discuss specific issues; it aims to comment and offer advice on issues where it feels UK government policy is misguided. It exists to pool experience and to continue to shape the changing role of the finance director.
The main purpose of The Hundred Group is to provide a forum for discussion and to make contributions and representations on issues of importance for financial management. Members are actively involved to ensure that the views of users and preparers of accounts are fully understood. Submissions are made to Government and other organisations highlighting the practical implications of existing financial procedures, related legislation and proposed changes.
History of The Hundred Group
The group began life as a spin-off from the London Society of Chartered Accountants, predating the launch of the FTSE-100. Originally called the Hundred Group of Chartered AccountantChartered Accountant
Chartered Accountants were the first accountants to form a professional body, initially established in Britain in 1854. The Edinburgh Society of Accountants , the Glasgow Institute of Accountants and Actuaries and the Aberdeen Society of Accountants were each granted a royal charter almost from...
s, its most immediate concern was the Labour
Labour Party (UK)
The Labour Party is a centre-left democratic socialist party in the United Kingdom. It surpassed the Liberal Party in general elections during the early 1920s, forming minority governments under Ramsay MacDonald in 1924 and 1929-1931. The party was in a wartime coalition from 1940 to 1945, after...
government's price control policy at a time when inflation
Inflation
In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a...
was 2% per month. The Hundred Group soon found its feet as a forum for discussion and lobbying.
Eventually, membership was widened to include FDs who were not chartered accountants and the affiliation with the London Society of Chartered Accountants was ended. The group became the Hundred Group of Finance Directors, and non-FDs were asked to leave.
The group gained notoriety in 1993 where it effectively lobbied against the torrent of new listings rules, accounting
Accountancy
Accountancy is the process of communicating financial information about a business entity to users such as shareholders and managers. The communication is generally in the form of financial statements that show in money terms the economic resources under the control of management; the art lies in...
standards, legislation and the Cadbury Report
Cadbury Report
The Cadbury Report, titled Financial Aspects of Corporate Governance, is a report of a committee chaired by Adrian Cadbury that sets out recommendations on the arrangement of company boards and accounting systems to mitigate corporate governance risks and failures. The report was published in 1992...
. The group convinced the authorities that more time was needed to implement all the corporate
Corporation
A corporation is created under the laws of a state as a separate legal entity that has privileges and liabilities that are distinct from those of its members. There are many different forms of corporations, most of which are used to conduct business. Early corporations were established by charter...
and legislative changes.
The group's paper on the euro, a united defiance against double tax
Tax
To tax is to impose a financial charge or other levy upon a taxpayer by a state or the functional equivalent of a state such that failure to pay is punishable by law. Taxes are also imposed by many subnational entities...
ation and a keen interest in pension
Pension
In general, a pension is an arrangement to provide people with an income when they are no longer earning a regular income from employment. Pensions should not be confused with severance pay; the former is paid in regular installments, while the latter is paid in one lump sum.The terms retirement...
s reform have helped raise its profile in recent years.
Membership of the Hundred Group
Participation in the group is by invitation only. Numbers are thought to fluctuate between 130 and 150 members, including representatives from multinationals and other major companies in important industries that are not part of the FTSE-100.Past chairmen
- John Coombes of GlaxoSmithKlineGlaxoSmithKlineGlaxoSmithKline plc is a global pharmaceutical, biologics, vaccines and consumer healthcare company headquartered in London, United Kingdom...
- Jon Symonds, AstraZenecaAstraZenecaAstraZeneca plc is a global pharmaceutical and biologics company headquartered in London, United Kingdom. It is the world's seventh-largest pharmaceutical company measured by revenues and has operations in over 100 countries...
, 2003; set up a tax research centre at Oxford University - Philip Broadley, Prudential plcPrudential plcPrudential plc is a multinational financial services company headquartered in London, United Kingdom.Prudential's largest division is Prudential Corporation Asia, which has over 15 million customers across 13 Asian markets and is a top-three provider of life insurance in mainland China, Hong...
, 2005; made the group more visible and urged the SEC to accept accounts prepared under IFRS without a reconciliation to US GAAP - Ashley Almanza, BG GroupBG GroupBG Group plc is a global oil and gas company headquartered in Reading, United Kingdom. It has operations in 25 countries across Africa, Asia, Australasia, Europe, North America and South America and produces around 680,000 barrels of oil equivalent per day. It has a major Liquefied Natural Gas ...
(2007) - Andy Halford, Vodafone plc (2010)