Ministerial statement on Monday, 15 January 2018, in the House of Commons, led by David Lidington.

Carillion

Statement on the situation relating to Carillion Plc.

Secondary information

Type: Parliamentary proceeding
Reference: 634 cc623-647
Session: 2017-19
Department: Cabinet Office
Chamber / Committee: House of Commons chamber
Related items: Cabinet Office Minute, dated 15 January 2018, concerning a contingent liability relating to Carillion PLC
Monday, 15 January 2018
Unprinted command papers
House of Commons; Carillion
Friday, 19 January 2018
Written questions
House of Commons; Deposited Paper DEP2018-0038
Thursday, 18 January 2018
Deposited papers
House of Commons; Deposited Paper DEP2018-0039
Thursday, 18 January 2018
Deposited papers
House of Commons; Update on Carillion PLC
Tuesday, 23 January 2018
Written statements
House of Commons; Carillion: West Midlands
Wednesday, 14 March 2018
Written questions
House of Commons; Carillion
Monday, 19 March 2018
Written questions
House of Commons; Carillion
Monday, 19 March 2018
Written questions
House of Commons
Proceeding contributions: David Lidington | 634 cc624-6 (Link to this contribution)
With permission, Mr Speaker, I wish to make a statement to update the House on the situation rela...; Jon Trickett | 634 cc626-7 (Link to this contribution)
I thank the Minister for an advance copy of the statement. The House will conclude that it was re...; David Lidington | 634 cc627-8 (Link to this contribution)
First, may I correct the hon. Gentleman on one specific point about schools? He said that 9,000 s...; Baroness Morgan of Cotes | 634 c628 (Link to this contribution)
First, let me pay tribute to my right hon. Friend’s calm and workmanlike approach in working thro...; David Lidington | 634 c628 (Link to this contribution)
I am grateful to my right hon. Friend for that. Let me make two points in response to her. First,...; Tommy Sheppard | 634 cc628-9 (Link to this contribution)
I thank the Minister for advance sight of his statement. Obviously, our immediate thoughts are wi...; David Lidington | 634 cc629-630 (Link to this contribution)
The hon. Gentleman spoke to this issue with the seriousness it deserved and in a constructive fas...; Iain Duncan Smith | 634 c630 (Link to this contribution)
I commend my right hon. Friend for his swift and urgent action on this issue. I urge him to pay n...; David Lidington | 634 c630 (Link to this contribution)
I am grateful to my right hon. Friend for his suggestions. I note that the Chair of the Public Ad...; Eleanor Smith | 634 c630 (Link to this contribution)
This morning, the 400 employees who work in the Carillion headquarters in my constituency in Wolv...; David Lidington | 634 c630 (Link to this contribution)
On the hon. Lady’s last point, I responded at quite some length to similar points made by her Fro...; William Cash | 634 c631 (Link to this contribution)
On the HS2 aspect of this—my hon. Friend the Member for Stafford (Jeremy Lefroy) joins me in this...; David Lidington | 634 c631 (Link to this contribution)
I can certainly well understand the importance of this issue to my hon. Friend’s constituents and...; Emma Reynolds | 634 c631 (Link to this contribution)
While 20,000 people across the UK, including 400 employees in Wolverhampton at Carillion’s headqu...; David Lidington | 634 c631 (Link to this contribution)
I can certainly well understand and appreciate that sense of unfairness on the part of the hon. L...; Cheryl Gillan | 634 c631 (Link to this contribution)
The whole House will be concerned for the employees who are facing an uncertain future, and I pre...; David Lidington | 634 c632 (Link to this contribution)
My right hon. Friend speaks, as always, both eloquently and forcefully on behalf not only of her ...; Rachel Reeves | 634 c632 (Link to this contribution)
When Carillion collapsed at the weekend, it had debts of £900 million and a pension deficit of £6...; David Lidington | 634 c632 (Link to this contribution)
As I also said in response to the hon. Member for Wolverhampton North East (Emma Reynolds), I com...; Desmond Swayne | 634 c632 (Link to this contribution)
Is my right hon. Friend confident that we are capable of recognising when companies are bidding t...; David Lidington | 634 c632 (Link to this contribution)
As I said in response to my right hon. Friend the Member for Chingford and Wood Green, when the i...; John Bercow | 634 c632 (Link to this contribution)
Order. I am sure that the people of Woodford Green would prefer to be known as the residents of W...; Hilary Benn | 634 c632 (Link to this contribution)
Will the Secretary of State confirm that all annual fee payments made thus far by public authorit...; David Lidington | 634 c633 (Link to this contribution)
I will look in more detail into that particular case and write to the right hon. Gentleman. The p...; James Duddridge | 634 c633 (Link to this contribution)
Southend constituents and those in broader Essex will be worrying about how the situation affects...; David Lidington | 634 c633 (Link to this contribution)
We are seeking to analyse the spread of Carillion contracts so that we know which Members of Parl...; Stella Creasy | 634 c633 (Link to this contribution)
The accounts show that in the last four years, on the PFI contracts alone, Carillion was part of ...; David Lidington | 634 c633 (Link to this contribution)
The hon. Lady risks ignoring the £60 billion of capital investment that it has been possible to u...; Stephen Crabb | 634 c633 (Link to this contribution)
Does my right hon. Friend agree that sad occasions such as this demonstrate the importance of the...; David Lidington | 634 c633 (Link to this contribution)
My right hon. Friend makes a very good point. Obviously, the Pensions Regulator acts independentl...; Pat McFadden | 634 c634 (Link to this contribution)
The Secretary of State has said that staff should continue to turn up to work and that they will ...; David Lidington | 634 c634 (Link to this contribution)
On the second point that the right hon. Gentleman makes, the issue is covered by the scope of the...; Andrew Murrison | 634 c634 (Link to this contribution)
The Minister has offered reassurance in respect of joint venture partnerships with giants such as...; David Lidington | 634 c634 (Link to this contribution)
The Ministry of Defence has been very closely involved in all the cross-Whitehall discussions abo...; Chris Elmore | 634 c635 (Link to this contribution)
Will the Chancellor of the Duchy of Lancaster confirm that by Government contracts he also means ...; David Lidington | 634 c635 (Link to this contribution)
Yes.; Anne Main | 634 c635 (Link to this contribution)
I am very pleased that the Minister has mentioned apprentices, but the nature of apprentices is t...; David Lidington | 634 c635 (Link to this contribution)
My hon. Friend makes an important point. I can well understand why apprentices would be worried a...; Catherine West | 634 c635 (Link to this contribution)
There are 1,200 16 to 18-year-old apprentices. May I suggest that the statement that the CITB is ...; David Lidington | 634 c635 (Link to this contribution)
The 1,200 apprentices obviously needed to be found both a training provider and an employer, and ...; Philip Dunne | 634 c635 (Link to this contribution)
This is a very serious day, with a most significant and unfortunate corporate collapse. I urge my...; David Lidington | 634 c636 (Link to this contribution)
I am grateful to my hon. Friend for his comments. The Department of Health is looking at each of ...; Louise Ellman | 634 c636 (Link to this contribution)
Despite the Minister’s comments, I remain deeply concerned about the future of the new Royal Live...; David Lidington | 634 c636 (Link to this contribution)
I agree with the hon. Lady’s final sentence. I refer her to the very strong words of reassurance ...; Peter Aldous | 634 c636 (Link to this contribution)
Last week, under the ten-minute rule, I introduced, together with 11 colleagues, a Bill to tackle...; David Lidington | 634 c636 (Link to this contribution)
On my hon. Friend’s last point, I promise, on a “without prejudice” basis, to examine the case fo...; Lord Spellar | 634 c636 (Link to this contribution)
I echo the concerns of my hon. Friend the Member for Liverpool, Riverside (Mrs Ellman). The new M...; David Lidington | 634 c636 (Link to this contribution)
Discussions are taking place with the trusts, with Carillion managers and contractors, with PwC—a...; Robert Neill | 634 c637 (Link to this contribution)
Can my right hon. Friend specifically help us on what arrangements are being made to ensure conti...; David Lidington | 634 c637 (Link to this contribution)
I had better not trespass on the responsibilities of the new Secretary of State for Justice, but ...; Liz McInnes | 634 c637 (Link to this contribution)
Carillion is responsible for 11,800 in-patient beds, so what action will the Government take imme...; David Lidington | 634 c637 (Link to this contribution)
The word from hospital trusts today so far has been that the work of hospitals has not been mater...; Lord Mackinlay of Richborough | 634 c637 (Link to this contribution)
I highlighted the point I want to raise in a Westminster Hall debate on small businesses in Novem...; David Lidington | 634 c637 (Link to this contribution)
In the case of Carillion, the Government have made provision for payments to subcontractors to co...; Seema Malhotra | 634 c637 (Link to this contribution)
This morning, I spoke to my local council, which is already acting fast to do all it can to ensur...; David Lidington | 634 c638 (Link to this contribution)
Feltham young offenders institution is certainly covered by the overall contingency planning that...; 634 c638 (Link to this contribution); John Bercow | 634 c638 (Link to this contribution)
Order. This is an extremely important matter, and it is hardly surprising that it has evoked inte...; Kevin Foster | 634 c638 (Link to this contribution)
I will bear that in mind, Mr Speaker. I thank my right hon. Friend for his reassurances, and it i...; David Lidington | 634 c638 (Link to this contribution)
The Insolvency Service or the official receiver will have to look at each of the 14 pension schem...; Paul Flynn | 634 c638 (Link to this contribution)
Do not the strong condemnation by both the National Audit Office and the Public Accounts Committe...; David Lidington | 634 c638 (Link to this contribution)
As I said earlier, roughly one third of the Carillion contracts currently in force were awarded b...; Mark Garnier | 634 c638 (Link to this contribution)
My right hon. Friend has made reference to the more recent contracts awarded to Carillion being d...; David Lidington | 634 c639 (Link to this contribution)
Yes, the Government did due diligence within the rules that I described earlier, and of course al...; Stephen Lloyd | 634 c639 (Link to this contribution)
How many profit warnings does a major company have to issue before this Government decide that th...; David Lidington | 634 c639 (Link to this contribution)
A large number of companies issue profit warnings from time to time. If all potential contracting...; Mary Robinson | 634 c639 (Link to this contribution)
In 2013, Stockport council entered into a £100 million, 10-year contract with Carillion for the p...; David Lidington | 634 c639 (Link to this contribution)
The Department for Transport is now activating its contingency plans to move key work and project...; Lord Beamish | 634 c639 (Link to this contribution)
Carillion is notorious in the subcontracting industry as a company that pays its bills very late—...; David Lidington | 634 c639 (Link to this contribution)
Companies in non-Government contracts that are not involved in the provision of public services w...; Vicky Ford | 634 c640 (Link to this contribution)
I thank my right hon. Friend the Minister for wanting to minimise the impact on employees, pensio...; David Lidington | 634 c640 (Link to this contribution)
My hon. Friend makes an important point. It is right that taxpayers’ money is used to protect pub...; David Drew | 634 c640 (Link to this contribution)
Where Carillion has a public sector contract and is in dispute with householders, will the Govern...; David Lidington | 634 c640 (Link to this contribution)
I am sure that a constituency case lies behind that. I am very happy for myself or another Minist...; Simon Clarke | 634 c640 (Link to this contribution)
South Tees NHS trust has substantial investment with Carillion as a result of PFI arrangements ag...; David Lidington | 634 c640 (Link to this contribution)
I would hope that the company in my hon. Friend’s constituency will talk directly to the official...; Louise Haigh | 634 c640 (Link to this contribution)
Will the Secretary of State confirm that when he references key public services that includes pro...; David Lidington | 634 c640 (Link to this contribution)
The official receiver is clearly an independent authority—rightly so—but where we are talking abo...; Andrew Bridgen | 634 c641 (Link to this contribution)
Does my right hon. Friend agree that companies do not fail—directors and management teams fail? D...; David Lidington | 634 c641 (Link to this contribution)
I cannot match my hon. Friend’s theological knowledge, but the central point he made at the end i...; Alison Thewliss | 634 c641 (Link to this contribution)
In Scotland, Carillion is in partnership with TIGERS—Training Initiatives Generating Effective Re...; David Lidington | 634 c641 (Link to this contribution)
The hon. Lady’s point is an important one. I will brief myself, and I will write to her.; James Morris | 634 c641 (Link to this contribution)
The new Midland Metropolitan Hospital, which was referred to by the right hon. Member for Warley ...; David Lidington | 634 c641 (Link to this contribution)
Certainly, the Government’s wish and intention is that we can get on with construction work in th...; Mike Kane | 634 c641 (Link to this contribution)
Carillion is a partner in an international joint venture to deliver Manchester airport city enter...; David Lidington | 634 c642 (Link to this contribution)
No. There are few countries in which companies do not fail. What is important in this case is tha...; Jeremy Quin | 634 c642 (Link to this contribution)
Following on from the last question, once the official receiver’s investigation into the specific...; David Lidington | 634 c642 (Link to this contribution)
Ministers will want to consider these questions at a senior level. I am sure that we will also lo...; Chi Onwurah | 634 c642 (Link to this contribution)
In Newcastle, Carillion bought Eaga, a successful, local and partly employee-owned energy company...; David Lidington | 634 c642 (Link to this contribution)
It is a lot more than a helpline; it is the continuation of payments, salaries, wages and payment...; Robert Courts | 634 c642 (Link to this contribution)
I thank the Minister for his statement and commend Oxfordshire County Council for the swift work ...; David Lidington | 634 c642 (Link to this contribution)
Before coming to the House, I had a look at the latest briefing from the Department of Health and...; Helen Goodman | 634 c642 (Link to this contribution)
This case is very similar to that of Southern Cross. We can see that, although we can transfer jo...; David Lidington | 634 c642 (Link to this contribution)
I question the premise on which the hon. Lady put her question. It is true that ultimate responsi...; Ross Thomson | 634 c643 (Link to this contribution)
The Aberdeen western peripheral route is being constructed through my constituency. Will my right...; David Lidington | 634 c643 (Link to this contribution)
This is one of the projects in Scotland that has been the subject of conversations between UK and...; Stephen Kinnock | 634 c643 (Link to this contribution)
This whole sorry tale is a textbook example of the privatisation of profit and the socialisation ...; David Lidington | 634 c643 (Link to this contribution)
I normally have time for the hon. Gentleman, but I am afraid that in this instance he wrote his s...; Alan Brown | 634 c643 (Link to this contribution)
As was highlighted by the hon. Member for Waveney (Peter Aldous), hundreds of subcontractors risk...; David Lidington | 634 c643 (Link to this contribution)
I will not promise today to introduce legislation, but I assure the hon. Gentleman, as I assured ...; Kate Green | 634 c643 (Link to this contribution)
Carillion’s performance in respect of the contract for facilities management in prisons has been ...; David Lidington | 634 c644 (Link to this contribution)
I will ask Justice Ministers to respond to the hon. Lady in writing about the details of her ques...; Clive Efford | 634 c644 (Link to this contribution)
Although a hedge fund seems to have been able to bet against Carillion and make millions of pound...; David Lidington | 634 c644 (Link to this contribution)
As I have said more than once, different parts of the Government awarded the contracts in the lig...; Jonathan Edwards | 634 c644 (Link to this contribution)
Across Wales, Carillion is involved in rail, road, energy and digital infrastructure projects. Wh...; David Lidington | 634 c644 (Link to this contribution)
Officials have been in contact with the Welsh Government. There is minimal exposure to jobs in Wa...; Andy Slaughter | 634 c644 (Link to this contribution)
The Minister has talked about continuity, but in many cases the current service provided by Caril...; David Lidington | 634 c644 (Link to this contribution)
I think it important that, whether a service is provided by the public or the private sector, eve...; Toby Perkins | 634 c645 (Link to this contribution)
It is not new news that Carillion had financial difficulties, and the Minister himself has referr...; David Lidington | 634 c645 (Link to this contribution)
A Crown representative was appointed a little while ago—before my time at the Cabinet Office star...; Gill Furniss | 634 c645 (Link to this contribution)
Sheffield houses Carillion’s customer experience centre, often known as the nerve centre of the U...; David Lidington | 634 c645 (Link to this contribution)
In the immediate future, people will still be needed to carry out that co-ordinating work, and th...; Diana Johnson | 634 c645 (Link to this contribution)
Bosses at Carillion took steps to protect their £4 million-worth of bonuses shortly before £600 m...; David Lidington | 634 c645 (Link to this contribution)
In respect of Carillion it is perfectly within the scope of both the official receiver and the Pe...; Baroness Anderson of Stoke-on-Trent | 634 c645 (Link to this contribution)
Every community represented in this place will be touched by the collapse of Carillion, including...; John Bercow | 634 c646 (Link to this contribution)
That may well be so, but I am not offering any assurances to anybody, although the Minister might...; David Lidington | 634 c646 (Link to this contribution)
I am advised by the Ministry of Defence that the services provided by Carillion are provided thro...; Matt Western | 634 c646 (Link to this contribution)
In the statement the Minister says, “We have been monitoring Carillion closely since its first pr...; David Lidington | 634 c646 (Link to this contribution)
There is no question of any blindspot. The Government, in common with any other party that was do...; Paul Sweeney | 634 c646 (Link to this contribution)
The collapse of Carillion is the most appalling epitome of the worst kind of lemon socialism and ...; David Lidington | 634 c646 (Link to this contribution)
The action that the Government are taking today is, so far, ensuring that there is no risk to the...; David Linden | 634 c646 (Link to this contribution)
The West of Scotland Housing Association is headquartered in Barrowfield, which is part of my con...; David Lidington | 634 c647 (Link to this contribution)
The Department for Housing, Communities and Local Government has been in touch with those housing...
Subjects: Contracts Directors Apprentices Liability Insolvency Misconduct Workplace pensions Public sector Official receiver Redundancy Carillion
Contains statistics: Yes
Link: View this Parliamentary proceeding on hansard.parliament.uk

Carillion

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