Tag Archives: carillon

David Thorpe

How to prevent a repeat of the Carillion catastrophe

By David Thorpe | Wed 24th January 2018 - 10:25 am
Whenever a rather technical public policy question pokes its nose out into the wide world of mass public interest a vacuum is created, a vacuum quickly filled with a gamut on nonsense and conspiracy theory.
 
The collapse of the Carillion has prompted just such fits of hysteria, but while I don’t particularly care that a private company has gone out of business, the issue of the pension fund liabilities is one that will recur many more times for policy makers in the UK as a direct consequence of economic policies pursued since 2007.
Continue reading »
Posted in Op-eds | Also tagged | 40 Comments
The Voice

Vince Cable on Carillion: Shareholders are going to have to take a hit

By The Voice | Sun 14th January 2018 - 4:39 pm

Vince has been speaking about the Carillion crisis. The FT reports:

The Lib Dem leader’s intervention suggests the crisis at Carillion is about to become highly political; Sir Vince claimed last November that the government was “feeding” contracts to the company to try to keep it alive.

On Friday lenders to Carillion dismissed the company’s rescue plan and urged Downing Street to intervene.

But ministers will face fierce political criticism if they have to bailout a company which continued to receive major public contracts — including on the HS2 high speed rail line — after it issued a profit warning last July.

The government would also have to comply with EU state aid rules, but Sir Vince said that in the first instance the private sector should take a hit.

“The shareholders of the company are going to have to take a loss,” he told the BBC. “The creditors, the big banks who hold most of this debt, will have to write off some of it, perhaps replace some of it with shares.” 

You can watch his BBC interview here.

He’d earlier said on Twitter:

Continue reading »
Posted in News | Also tagged and | 26 Comments
Advert

Recent Comments

  • Pawel Urbanski
    This is the clearest statement of the case I have read in a while, and "competence is not a destination" is the line worth repeating. One worked example from ...
  • Simon McGrath
    @jennie "“Liberals have always been suspicious of too much power in too few hands.” *looks at direction of travel of internal party mechanisms the last fiv...
  • Jack Nicholls
    Roz, I can't think of anything you ever write that I don't heartily agree with, frequently in letter and always in spirit. We've started (literally just started...
  • Peter Dunphy
    The challenge of empowering local communities/councils etc is not that this will allow the house building or wind farms or railway lines that we need - they wil...
  • Chloe
    Liberalism hasn't changed. Sadly too many who purport to be liberal have become illiberal....