IfG Carillion report exposes 'broken outsourcing model'

Latest News Thu, Mar 5, 2020 12:46 PM

An Institute for Government (IfG) report warning that the government is risking another Carillion by ignoring reforms to how public contracts are awarded exposes a ‘broken outsourcing model’, Unite said.

Unite, the UK and Ireland’s largest union, said IfG’s report on how the government is ignoring Cabinet Office guidelines, established following the collapse of outsourcing giant Carillion two years ago, shows public services are ‘dangerously exposed’.

Calling on the government to end its culture of ‘needless outsourcing’, the union said ministers are playing ‘Russian roulette’ with services and infrastructure by signing ‘dodgy contracts with bandit capitalist firms’.

Unite assistant general secretary Gail Cartmail said: “The report shows ministers are continuing to play Russian roulette with vital public services and infrastructure by signing dodgy contracts with bandit capitalist firms.

“It is clear that the Cabinet Office’s so called guidelines are toothless. The lessons from Carillion and Interserve are being completely ignored, leaving public services dangerously exposed.

“Ministers must not wait until there is a repeat of the Carillion disaster. Proper safeguards must be introduced along with a wholesale reform of the government’s culture of needless outsourcing.”

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