Half of employees do not trust their chief executive, according to the IC Index 2026 by the Institute of Internal Communication (IoIC) and employee research firm Ipsos Karian and Box.
The report, released earlier this month, draws on a poll of 5,000 UK workers that was conducted earlier this year.
It reveals that 50 per cent of workers do not trust their chief executive or leadership team – the lowest level since the annual index began four years ago.
Furthermore, less than three quarters (73 per cent) trust their line managers.
“Trust in all levels of leadership has declined in the last year, with senior leadership teams taking the brunt,” the report states.
“While employees’ levels of trust in direct managers has declined by three points this year, trust in organisations’ leadership teams and CEOs/most senior leaders has dropped by nine points in that same timeframe. Just half of UK employees now agree they trust their leaders.”
The young are more trusting
Some 85 per cent of 18- to 24-year-olds trust their line managers, compared to 67 per cent of those aged between 55 and 64.
And while the majority of 18- to 24-year-olds trust chief executives (62 per cent) and leadership teams (66 per cent), less than half of 55- to 64-year-olds trust chief executives (42 per cent) and leadership teams (44 per cent).
The type of role an employee has also impacts levels of trust. “Just 35 per cent of those in roles where they aren’t frequently on a computer agree they trust the CEO or most senior leader,” says the report.
It argues that “open and honest communication is a powerful lever for preserving trust, but this alone is not enough”, and states that “leaders need visibility, character and capability”.
“We can play a critical role in helping leaders develop, coaching them to show up with authenticity, to be seen and understood,” it says.
The report adds: “We must help leaders take the more courageous path and be frank with people, even when the message is hard. Or they risk losing trust, which is far harder to rebuild than it is to protect.”
Likely advocates
Trust is part of a bigger picture, and “employees who rate communication highly are more likely to be advocates”, according to the report.
The biggest uplift happens between a six and a seven rating out of 10. “Just 47 per cent of those who rate communication as six out of 10 would recommend their employer, compared to 70 per cent of those who rate communication as seven.”
Writing in the report, Allison Cary, head of internal and external communication at Voyage Care, says: “Whatever is happening within an organisation, you can’t overestimate the impact of leaders being visible, really listening to people and demonstrating that they understand their challenges and points of view.”
She adds: “Building trust takes time and consistency, so it won’t happen overnight, but it won’t ever happen if leaders aren’t doing these things. As communicators, our role is to influence and support leaders to do this well, even when it doesn’t come naturally to them.”
Structural changes
The report also reveals how there has been increasing organisational change, with a 12-percentage point increase in employees reporting restructures (52 per cent) and redundancies (34 per cent) compared to 2024. However, less than half of employees (49 per cent) feel the reasons behind changes in organisations are clearly communicated, down from more than half (56 per cent) in 2023.
And the proportion of people who would recommend their organisation as a great place to work has fallen from 62 per cent in 2025 to 56 per cent in 2026.
There is also a gap between the perception of senior leaders and non-management staff, with 87 per cent of senior leaders thinking their employer has been clear on the organisation’s strategy and business priorities compared to 57 per cent of non-managers who hold this view.
Meanwhile 67 per cent of senior leaders think their employer has clearly communicated how they are expected to use AI as part of their job, compared to just 23 per cent of non-managers.
Positive impact of IC
The impact of internal comms is also noted – 63 per cent of those in workplaces with a dedicated internal communication team would recommend their employer as a great place to work, compared to 46 per cent in workplaces without one.
Responding to the report’s findings, Jennifer Sproul, chief executive, IoIC, said: “We have known for a long time that sidelining internal communication carries a cost. This data shows exactly what that cost looks like. Trust falls, change stalls and leaders lose the confidence of the people they need most.”
She warned companies against cutting internal communications budgets and said: “It is the time to invest in the communication capability that builds trust, drives performance and holds organisations together.”