Taxpayers may be forced to pay another huge bailout as private contractor Carillion is just 'days' from £1.5billion debt collapse amid anger that Transport Secretary Chris Grayling handed the firm HS2 rail deal while 'knowing it was in trouble'
'Transport Secretary Chris Grayling faces mounting criticism for his department's decision last year to give the ailing construction company Carillion a share of contracts for the HS2 railway line.
The accusation came as officials have warned that Carillion could enter administration on Monday.
Mr Grayling is accused of giving the firm a part of the work only a week after the company issued a shock profit warning that in effect was the beginning of its dire financial woes.
He has insisted that at the time he was given 'secure undertakings' about the health of the company.
But Andrew Adonis, the former chair of the government's national infrastructure committee, said the minister had behaved negligently.
'They got HS2 contracts from him after their troubles emerged in the summer, raising big questions about his due diligence and judgment,' he said.
Labour's shadow Cabinet Office minister Jon Trickett was equally critical.
'It has been clear for months that Carillion has been in difficulty but the government has continued to hand over contracts to the company even after profits warnings were issued,' he said.
'Jobs and public services are now at risk because the Tories were blinded by their commitment to a failing ideological project of introducing the profit motive into taxpayer-funded services.
'Labour urges the government to stand ready to intervene and bring these crucial public sector contracts back in-house in order to protect Carillion's employees, pension holders and British taxpayers.''
Read more: Taxpayers may be forced to pay another huge bailout as private contractor Carillion is just 'days' from £1.5billion debt collapse amid anger that Transport Secretary Chris Grayling handed the firm HS2 rail deal while 'knowing it was in trouble'
Did you like this article?
Thank you for your vote!
14 October 2018
Proof that foreign aid DOESN'T work: Scathing report reveals £11million scheme backed by Bono failed to reduce poverty or hunger
11 October 2018
Banks face furious reaction for saying their CUSTOMERS should foot the compensation bill for fraud by paying a tax on every transaction they make
Contrary to Popular Belief, IMF Continues to Push Neoliberalism on Countries' Agricultural Policies
7 October 2018
Russian bots target British teenagers: Kremlin-backed trolls use stars like Emma Watson to spread discord in the West with onslaught of viral memes on feminism, vaccines and GM foods
From our advertisers
Trump, The Deep State, & World Events - David Icke On Mainstream Danish Radio - David Icke Dot Connector Videocast
13 hours ago
Robert Green writes to child abuse investigation chief about UK political prisoner Melanie Shaw. Why won't you talk to her?
From our advertisers