Traditional media sources still rank as the most credible, but have suffered significant falls over the past year. Trust in newspapers dropped 10 points to 19%, while radio news is down 20 points to 33%. Conversations with friends and peers have also lost credibility – falling from 46% to 37%.
Robert Phillips, Edelman’s UK CEO, said: "It will come as no surprise to see that Trust in Banks has been badly dented over the past twelve months. But some will be surprised to see Trust in Government rise significantly for the second year running – Trust in Government is now almost three times higher under Brown than it was in the dying days of Blair. Of real importance is the recognition of and thirst for regulation – our influencers are clearly saying that Business and Government have to fix this mess together."
The 2009 Trust Barometer findings highlight a clear mandate for Business and Government in the UK to work together to solve the global challenges. Among opinion formers aged 25 to 64:
- 71% want Government to impose stricter regulations and control on all industry sectors
- 73% think the Government should intervene in the financial industry using whatever means it sees appropriate – compared with 43% in the US, 74% in Germany and 75% in France
- 61% say that Government is most responsible for solving the financial crisis (compared with 22% for business) – higher than the rest of the EU countries surveyed
- 70% think Business must partner with others (Government, Advocacy Groups, NGOs) to solve issues such as the financial crisis, global warming and energy costs
Trust Barometer Global Findings
Globally, nearly two-thirds of informed publics (62%) trust corporations less than they did a year ago. When respondents in the United States were asked about trust in Business in general, only 38% said they trust Business to do what is right—a 20% plunge since last year—and only 17% said they trust information from a company’s CEO. Both are lower levels of trust than those Edelman measured in the wakes of Enron, the dot-com bust, and September 11th.
"It has been a catastrophic year for Business, well beyond the evident destruction in shareholder value and need for emergency government funding," said Richard Edelman, president and CEO, Edelman. "Our survey confirms that it’s going to be harder to rebuild our economies because no institution has captured the trust that Business has lost—trust is not a zero-sum game. Business must recast its role in society and move beyond simply generating ROI to its shareholders. It must partner with Government and other institutions to assume societal responsibilities." The Edelman Trust Barometers explores trust in four institutions: Business, Government, Media, and NGOs.
This decline in trust also is playing out on the High Street. Globally, 77% said they refused to buy products or services from a company they distrusted—the first time the survey explored people’s direct actions toward trusted and distrusted companies. Seventy-two percent (72%) criticized a distrusted company to a friend or colleague.
In contrast to the lack of trust in the Western economies that have historically shaped the global agenda, trust in Business in several emerging economies increased. In China, the "trust in Business" score rose from 54% to 71% among 35-to-64-year-olds. In Brazil, trust in Business climbed to 69% from 61% a year ago. And while trust in banking dropped by 33 percentage points in the United States, trust in banks rose from 72% to 84% in China, and from 52% to 59% in Brazil.
"To regain trust and re-earn the mantle of authority, Business needs to make substantive shifts in both policy and communications," said Mr. Edelman. "This means forging partnerships, effecting real change in Business practices from executive compensation to supply chain, and communicating all with transparency. Without this type of public engagement, which fuels trust, it will be difficult for Business to help rebuild the financial system or earn the license to innovate, much less operate."
