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Dire Government failed to hold Carillion to account

15 Jan 2021
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The government's failure to hold board members to account, three years after the public contracts provider collapse saw thousands of workers lose their jobs and public services undelivered, is a disgrace

GMB has slammed the governments ‘dire legacy’ of failing to hold key board members of Carillion to account after the contractor collapsed 2018, carrying nearly £7 billion in debt.  

Reports have emerged that only now the Insolvency Service says it is seeking to disqualify eight former directors ‘in the public interest’.

This issue is at the heart of what’s wrong with outsourced services; when things go wrong nobody takes responsibility. We need to see an end to corrupted fat cats making a buck out of our public services.

Rehana Azam, GMB national secretary

It’s the first time that serous action has been taken against board members since the company's high-profile collapse three years ago. 

In 2019 senior figures from collapsed contractor Carillion were then paid to assist in helping to finish off the Royal Liverpool Hospital, a contract initially given to Carillion, after it was discovered three out of the 11 floors of the new build needed strengthening due to structural issues leaving it unsafe.

The union has called on the government to stop ‘corrupted fat cats making a buck’ out of public services and bring them in house where they would be more cost efficient and accountable 

Rehana Azam, GMB national secretary said:  

“This issue is at the heart of what’s wrong with outsourced services; When things go wrong nobody takes responsibility.   

“It’s a disgrace and a dire legacy of this government that three years on from the collapse of Carillion they are only now moving to make senior people to take responsibility.  

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"Throughout the pandemic we’ve seen billions leak out of the Treasury straight into the pockets of wealthy business executives. It’s a disgrace the government’s allowed this to happen whilst at the same time telling public sector workers to expect pay freezes."

“We need to see an end to corrupted fat cats making a buck out of our public services. Our public services should be run in house for the public not shareholders”.

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