Silverstone Circuits has suspended three high level directors including managing director Richard Phillips, with some sources suggesting they were escorted from the premises.
Along with Phillips, finance director Ed Brookes and legal and estates director David Thomson have also been placed on leave with full pay.
The sudden change could suggest problems at the Northamptonshire based circuit, with suggestions it is in financial trouble after failing to find a buyer, whilst spending has accelerated faster than income partly thanks to ‘The Wing’ and new ‘Arena’ layout.
A statement from chairman John Grant described the changes as a restructuring of the organisation to increase profitability, but gave little detail as to exactly why it’s been implemented so suddenly.
“I am pleased to inform you that the BRDC Board has today initiated a process of restructuring of the Silverstone Circuits (SCL) organisation to help secure a stable future for the Circuit, the British Grand Prix and our Club,” said Grant in a statement.
“As you are aware, following termination of the sale of SCL almost 6 months ago, your Board decided to adopt a more hands-on approach to the running of SCL, with the Silverstone Holdings Board disbanded in May and Lawrence Tomlinson and I being appointed Joint Interim Chief Executives of SCL last month. With the lease of our development land and industrial estate to MEPC a year ago, the business is now smaller and the structure needs to be resized and realigned to reflect our concentration on circuit activities. This will enable us to improve efficiency, increase revenues and create a more profitable business for the long term.
“We expect minimal disruption to the business and intend to keep personnel changes to the minimum. However, given the changing needs of the business, we expect to restructure to provide a more operational and customer-oriented organisation. To this end, we have today initiated a process of consultation on a number of potential changes within senior management positions. Coincident with this, Managing Director Richard Phillips, Finance Director Ed Brookes and Legal and Estates Director David Thomson have been suspended on full pay.
“Lawrence and I will continue to work as Joint Chief Executives of SCL to ensure a smooth transition, with the continuing support of Patrick Allen who is assisting with the development of our customer proposition.
“While he must await the outcome of the consultation process before providing any further details, please be assured that I will keep you updated as the restructuring programme progresses.”
