The role of the COI is questioned in the report, Review of Direct Communication and COI, written by the permanent secretary of communication at the Cabinet Office, Matt Tee.
The department is singled out for its £329m staffing costs, which could make it a target for the Government's plan to cut 1,000 communications staff to save £50m per year.
However, Hughes said the report's emphasis on keeping the COI's skill base is encouraging.
"I don't view live events as direct government communications. Face-to-face is a necessary consequence of policy. It's unclear how this report will impact on live events, but I expect that our team of nine event staff will remain if the COI is morphed into the GCC," Hughes added.
Tee's report says that there is a place in the GCC for "the sort of pay-as-you-go, direct service provision that parts of COI currently provide."
Earlier this year, the COI announced an evaluation for all Government events in a bid to ensure the best use of resources following public sector cuts.