To ask Her Majesty's Government, further to the Written Answer by Lord Young of Cookham on 25 January (HL4735), which Carillion contracts encountered problems with continuity and mitigation for service failures; and what estimate they have made of the additional and continuity costs to Her Majesty's Government.
Answered on
20 February 2018
Public sector services contracts have maintained continuity without any significant disruption. Construction contracts have had to be made safe and secure and new contractors will be appointed as soon as possible to continue the works. Public sector bodies will continue to pay for the cost of the services that Carillion were providing as they usually would have done to Carillion. HMT have provided working capital to the Official Receiver in order for him to continue to run the public sector services provided by Carillion. Any proceeds from the sales of assets will offset these costs therefore the full cost is not yet known.