RICS rejects criticisms of poor financial control and defends benefits to QS members

The RICS this week defended its record following the outspoken attack launched by Launce Morgan on the institution. Morgan has since resigned as construction faculty chairman as well as from his firm Northcroft and apologised to RICS chief executive, Louis Armstrong.

In a letter sent to QS News on Wednesday Rob Mahoney, chair of the institution’s faculties and forum board, defended the benefits offered to QS members of the RICS and claimed that financial control at the institution was strong and membership retention was high.

Mahoney said: “Financially, there is better control in the RICS than there has ever been. Budgets are agreed and decided by the strategy and resources board, a committee of RICS’s governing council, the institution’s member governing body. All decisions on resources are taken by members and are subject to proper audit processes.

“Despite some of the claims, membership retention is over 96% for the last two years which shows that most members value the benefits of belonging to the RICS. We will continue to work hard to improve our service to all our members.”

He said that the institution was punching its weight with regard to expressing the views of surveyors. He said: “It is by speaking as one body representing a diverse range of chartered surveyor specialisms worldwide that we can influence the political agenda affecting this profession, talk with credibility to a whole range of stakeholders such as the Construction Industry Council and attract the surveyors of the future. This benefits all members, including those working in the construction sector.”

I believe I have caused an injustice to the chief executive and should have made no reference to his position

A statement by Michael Byng, who is acting chairman of the construction faculty until an election for a new one is held in September, distanced itself from Morgan’s attack and said it would be working with the RICS on a programme of improvement for members started late last year.

The statement said: “Whilst the board expects the RICS to deal with the issues raised by Launce Morgan in a balanced manner, it believes that the interests of the members belonging to the construction faculty are best served by the faculty board continuing with the work programme. Working with the RICS, the board has started to make progress on key issues affecting members which will help to develop the future of the profession.”

Speaking this week Morgan said the response to his criticisms of the RICS had been “overwhelming” (see full statement below). A poll on QS News’ website found that 83% of members backed Morgan’s stance. One reader, Chris Beaumont said Morgan was “merely reflecting the views of the majority of QS members”.

The full letter from Mahoney will be printed in next week’s edition of QS News.