John Caudwell - Unbreakable

Trailblazer John Caudwell pictured at his Mayfair HQ

Trailblazer had the privilege of speaking with John Caudwell, the distinguished British billionaire and unwavering philanthropist, within the luxurious surroundings of his £250million Mayfair mansion. Our discussion explored his roots in Stoke-on-Trent, guilty pleasures, and the intriguing narrative of the rise and fall of Phones 4U. Exuding robust health and vitality, John shared a fascinating insight into his remarkable journey from humble beginnings to monumental success. As we conversed with this working-class hero, we found ourselves deeply moved by his story and inspired by his honourable commitment to philanthropy.

How did your childhood make you into the person you are today?

My childhood experiences greatly shaped the person I am today. Growing up in difficult circumstances, with financial struggles and my father's poor health, presented difficulties. His post-war trauma influenced his treatment towards me, making the environment tough.

Despite these problems, stories of successful ancestors, particularly the Caudwell family, seeded a subconscious desire for success. Coming from a working-class background in Stoke-on-Trent, success became a silent goal etched in my mind.

*A young John Caudwell (approx. 6 years old)*

Simultaneously, the longing for good health was a driving force. Witnessing and experiencing unfairness firsthand, I found it abhorrent. This aversion fuelled a commitment to fairness in all my dealings. My father's aggressive behaviour, though not violent, left a lasting impact, emphasising the importance of treating others with care and fairness.

My childhood experiences sparked an inner determination for success, good health, and an unwavering commitment to fairness, qualities that continue to guide me in my personal and professional life.

*John Caudwell with his Mother Beryl, Grandma Mary and Father Walter*

How did COVID-19 impact your story?

The COVID-19 pandemic brought about a unique and transformative phase in my life. Like everyone else, the enforced lockdowns confined me to home, presenting an unusual situation where I had nothing predefined to fit into. This unforeseen circumstance blessed me with something I had never experienced before in my busy life – spare time.

I used this as an opportunity to engage in various activities. Despite managing businesses, I dedicated time to enhancing the grounds of my estate and delving into the rich memorabilia from my business career. This period allowed me to explore different parts of life I had previously overlooked in the relentless pursuit of success.

While the time presented a certain luxury for personal growth and diversification, it also brought unique emotions. Amidst the global challenges, there was a prevailing sense of guilt for possessing so much when many faced hardships. The obvious disparity in wealth and resources made me feel a profound sadness for those less fortunate, further highlighting the world's inequalities.

In essence, the impact of COVID-19 reshaped my story by providing an unexpected window for self-reflection, diversification of activities, and a heightened sense of empathy for the broader challenges society faces.

Phones 4 U was a huge success when you sold it; how did you feel when it went under?

The downfall of Phones 4u was a devastating moment for me. The magnitude of its success made its demise all the more profound. In response to this unexpected and sudden event, I took swift action by engaging with the press to highlight what I believed to be a collusion between the network and corporate entities. I vividly recall my immediate reaction—horrified by the sudden turn of events.

In the aftermath, I didn't hesitate to use various media platforms, including radio and TV, to express my disbelief and disappointment. I cleared my schedule, cancelling everything in my diary to participate in interviews and share my perspective on the matter. Naively, I harboured a glimmer of hope that the decision could somehow be reversed, grappling with the reality of the sudden demise of Phones 4u.

My actions during that difficult period reflected my refusal to let the corporates off the hook. I felt compelled to expose my belief in what transpired, hoping it would prompt a reconsideration of the situation. Even to this day, my stance is evident in the ongoing class action against the parties involved, a testament to my relentless commitment to holding accountable those I believe played a role in the downfall of Phones 4u.

john caudwell — *John Caudwell in 2006 signing the deal to sell Caudwell Group, including Phones 4U, for £1.46 billion.*

You've recently changed your opinion on taxation. Was there something in particular that prompted this?

My shift in perspective on taxation didn't happen recently; it occurred many years ago. The catalyst for this change was witnessing the proliferation of cutting-edge tax schemes perpetuated by IFAs, selling these schemes to individuals, which I found immoral. Recognising this as a war between the Inland Revenue and companies paying too little tax, I began to advocate for a fair and reasonable approach to tax payments.

Over the last two decades, I've actively strived to contribute a fair share of taxes. My overarching sentiment revolves around the belief that everyone should pay a reasonable amount of tax. Large corporations, such as Amazon, Starbucks, Google, and others, engaging in elaborate strategies to lower their tax bills strike me as immoral. However, the dilemma arises because if you don't resist, you end up paying too much.

The world needs to unite in asserting that reducing tax liabilities below a certain threshold is unacceptable. This collective effort is crucial in addressing the issue of companies employing tactics to minimise their tax contributions.

*John Caudwell at one point was one of the UK’s biggest tax payers*

Does money buy happiness?

No, money doesn't buy happiness. While it's not the key to joy, a severe lack of money can cause misery, particularly for the families we support. Having enough money is crucial to offer children more than just a basic, acceptable quality of life.

What's the downside to being a Billionaire?

Being a billionaire has no significant downsides. Occasionally, there are some ridiculous requests on social media, like people asking for large sums of money. Others reach out with genuine needs, but with the sheer volume of requests, it takes time to address them all. However, through the Caudwell Children charity, I've managed to impact the lives of 1,500 to 2,000 children this year alone. Caudwell Children helps children across the UK with any illness; the only qualifier is that the parents cannot afford or get help any other way. While many people approach with various needs, the genuine ones shine through. So, there aren't many disadvantages; the massive advantage lies in changing people's lives and sharing experiences with friends. To bemoan the negatives would be very ungrateful.

There's been a lot of attention surrounding your property in Mayfair; what made you buy this, and what are your plans with it?

I had been searching for a London house for about 6-7 years, having previously owned a small flat in Fulham. The intention was to find a more substantial space suitable for hosting dinners and charity events. Interestingly, I wasn't initially looking for a property as large as this one. The primary considerations were profitability, providing an exceptional venue for charity events, and eventually serving as my residence.

Looking ahead, my plans for the future involve continuing with similar activities. I recently hosted an event, and the property has garnered a lot of attention, making it an excellent representation for charity.

*John with partner Modesta Vžesniauskaitė and their son and daughter at their Mayfair property.*

Toughest day in business?

The toughest day in my business career was during the Motorola crisis. It felt like a real sticky situation, but I focused on finding solutions rather than dwelling on the setback. I've never been one to pat myself on the back; self-congratulations seem smug to me. My upbringing, marked by my father's stroke and my mother's challenges, instilled a sense of resilience. Business, much like life, presented constant challenges and often delivered bad or even terminal news.

I recognise that entrepreneurship may not suit everyone. Success in this endeavour demands a careful evaluation of six essential factors. Ambition is crucial for making your business thrive, and a relentless drive to go the extra mile is imperative. Resilience and passion are essential qualities, as is possessing commercial intellect. Demonstrating strong leadership is the key distinction between growing a business and scaling it effectively.

The potential mental and familial toll shouldn't be underestimated, as most businesses face hardships, and the failure rate is high. About nine out of ten businesses fail, so it's not for everyone.

I encourage aspiring entrepreneurs to evaluate their commitment and willingness to face challenges head-on. Resilience is key, and if in doubt, seeking advice is prudent. Assessing critical success factors and acknowledging potential indicators can guide a decision to pursue or reconsider the entrepreneurial path. Understanding how much you truly desire success and what you're willing to sacrifice for it is essential.

How do you process a bad day?

Processing a bad day is all part of life. I prioritise my health and fitness, engaging in cycling and gym sessions regularly. While I don't use these activities to vent, they contribute to overall well-being. Rarely do I turn to a drink to unwind; I prefer finding an "off button" through different means. The exception was the challenging period with Motorola. It's crucial not to let stress disrupt your sleep. Fortunately, I can function well on minimal sleep, allowing me to face new daily challenges. My Fitbit reveals occasional poor sleep quality, a reminder of the importance of managing stress and maintaining a healthy routine.

*John Caudwell was seriously injured in a bicycle accident in Italy*

Who or what inspires you?

I find inspiration in individuals like Bill Gates, who dedicate their lives to helping others and put their money where their mouth is. He contributes financially and invests time and effort into making a positive impact. People who overcome significant challenges and fight from nothing also inspire me. For instance, a restaurateur in Stoke-on-Trent faced tough times, sought my backing, managed to grow his business, and even survived the challenges posed by COVID-19. I'm moved by those who go above and beyond, putting tremendous effort into fighting for someone else's well-being.

What's your guilty pleasure?

I don't believe I have a guilty pleasure. Interestingly, most of what I do revolves around profitability. Even when I take second place on charters to my own boats, it's a profitable venture contributing to charity through auctioned holidays. My love for cooking doesn't involve fancy meals; I enjoy a bottle of £7 wine. Perhaps some reality TV shows I watch might be considered guilty pleasures, like "Too Hot to Handle" or "Below Deck." The human interactions portrayed in these shows intrigue me, even if they may seem slightly demeaning.

Tell us about a 'pinch yourself' moment.

A significant "pinch yourself" moment occurred when my son started recovering from PANS PANDAS, a condition he endured for 14 years. PANS PANDAS affects children, manifesting in symptoms like obsessive-compulsive behaviours, tics, anxiety, urinary issues, and eating challenges. Witnessing his recovery, especially when we were close to the end, was surreal. Money doesn't impress me; it took 40 years to acquire my house through gradual progression.

Feeling fortunate to help people is a luxury beyond measure, and I'm not very hedonistic. Despite owning a boat and attending amazing charity events, we don't crave luxury. Health is critical. From shopping at Zara to experiencing life on the boat, my habits swing from one extreme to another. As a foodie and decent chef, my favourite food is Kentucky Fried Chicken wings—2 for 99p, or even cheaper with the bucket!

Is there a motto or mantra you live by?

While I wouldn't say I strictly live by a motto, if you were to ask about my life principles, it would centre around striving for happiness and practising kindness. Balancing both is challenging, as happiness can often be beyond our control. However, if I were to adopt a mantra, it would be to leave the world in a better place than how I found it.

So when are you going into politics?

Never! If I were to consider moving into politics, it would be under the condition of being a benevolent dictator, ensuring that every decision made is in the people's best interest and adds significant value to society. However, the inherent challenges of politics, with its potential for corruption and the constant focus on the next election, make it an avenue I choose not to pursue.