London Thursday 23rd October The Chartered Institute of Public Relations (CIPR) has published new research exposing a significant under-investment in internal communications across UK organisations with fewer than 500 employees.

The report – The Inside Story: Investigating Internal Communication in Organisations with Fewer than 500 Employees – was funded by the CIPR Research Fund and conducted by John Clegg Chart.PR, FCIPR. Drawing on a survey of 74 respondents and 10 in-depth interviews, it offers new insight into how smaller organisations manage communication, culture, and connection as they grow.

The findings reveal a clear tipping point. As organisations expand beyond around 150 employees, informal communication networks break down, yet few businesses of this size invest in the structure, strategy, or leadership alignment needed to sustain clarity and trust. While 92% of organisations say they prioritise building trust in leadership, only 62% believe they do it well.

The study highlighted several recurring challenges:

A companion Skills Guide – Internal Communication Beyond Big Corporates – provides practical advice for smaller organisations on establishing effective communication structures, delivering them strategically, and measuring their impact.

John Clegg FCIPR Chart.PR, Author commented “This research highlights the tipping point many smaller organisations reach as they grow, when informal communication no longer works and clarity begins to slip through the cracks. Beyond roughly 150 people, word-of-mouth and goodwill can’t sustain a shared sense of direction.”

“Many internal communicators at this stage find themselves being both the strategist and the messenger, balancing a wide range of demands with limited time, budget, and support. The result is that internal comms becomes reactive rather than planned, and the link between communication and culture begins to fray.”

“The opportunity now is for leaders to treat internal communication as a core business function. Investing in structure, measurement, and skills will help organisations build trust, strengthen culture, and give colleagues the clarity they need to perform at their best.”

CIPR President Advita Patel FCIPR Chart.PR commented:

“This research gives a voice to a part of the workforce we rarely hear from. It shows that while smaller organisations value internal communication, many lack the structure, skills, or leadership support to make it work strategically. Internal communication isn’t a luxury for big business; it’s what helps junior colleagues feel connected to the big picture of senior leadership, and clear about where the direction their organisation is heading. Our hope is that this work helps smaller organisations see internal communications as the basis for their employer brand and the glue that ties culture and performance together.”

+++

Founded in 1948, the Chartered Institute of Public Relations (CIPR) is the world’s only Royal Chartered professional body for public relations practitioners with over 11,000 members.

The CIPR advances professionalism in public relations by making its members accountable to their employers and the public through a code of conduct and searchable public register, setting standards through training, qualifications, awards and the production of best practice and skills guidance, facilitating Continuing Professional Development (CPD), and awarding Chartered Public Relations Practitioner status (Chart.PR).