Socialist Party
| Print

24 October 2018

Tories ensured Carillion meltdown went unchecked

Sam Witts, Birmingham Central Socialist Party

The story of the catastrophic collapse of Carillion took an even more shocking turn recently.

It has emerged that the private construction giant's two flagship projects - the Midland Met Hospital in Sandwell and the Royal Liverpool University Hospital - went ahead without any oversight whatsoever from the industry watchdog, the Infrastructure and Projects Authority.

Even more outrageously, the Guardian reported last week that this complete lack of accountability happened after senior civil servants working for Jeremy Hunt when he was health secretary in 2015, successfully lobbied the Cabinet Office to specifically exempt the hospitals' construction from public oversight.

In other words, Hunt and the Tories trashed the rulebook to make sure that their fat-cat pals in Carillion could do whatever they wanted with our hospitals without us knowing anything about it. No wonder the Carillion crisis has demonstrated some of the worst consequences of privatisation and capitalism.

Fat cat handouts

For masterminding its demise, Carillion's former CEO Richard Howson got a hand-out of 688,000 plus a benefits package for a year after he left. And the interim CEO has been on an even higher salary of 750,000.

Meanwhile, over 2,000 workers have lost their jobs, construction of the much-needed hospitals remains at a complete standstill and the taxpayers are set to foot the 150 million bill to kick-start construction.

Carillion has also had to apologise for disgracefully blacklisting its workers for trade unionism.

This latest revelation rubs salt in the wound and shows how the bosses' representatives in government and big business will always collude to exempt themselves from any rules that limit their reckless exploitation and profiteering. They cannot be trusted for a minute longer.

We need a different system now, not when the current contracts expire. We need to nationalise the major construction companies, with compensation paid only on the basis of proven need, i.e. not to the fat cats.

Only a socialist society - based on democratic workers' control and management of all major industry - will be able to put these injustices right for good.

Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party
Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube


triangle16 Oct PCS union - A reply on political strategy

triangle16 Oct Mass united action against the war on Syrian Kurds

triangle16 Oct Minimum wage debate: how can we end the scandal of low pay?

triangle16 Oct Massive vote for strike action: - 'We're out to win!'

triangle16 Oct General secretary election: Marion Lloyd - standing for action on...

triangle16 Oct Be part of the future: join the Socialist Party

triangle16 Oct Mass union mobilisation needed to counter anti-choice group

More ...


triangle2 Nov Socialism 2019 - a weekend of discussion and debate

triangle21 Oct Carlisle Socialist Party: Tony Mulhearn - the making of a Liverpool Militant

triangle23 Oct Birmingham South West Socialist Party: Black History Month

triangle23 Oct Hackney Socialist Party: How socialists and trade unionists can fight racism in the workplace and society as a whole


Phone our national office on 020 8988 8777


Locate your nearest Socialist Party branch Text your name and postcode to 07761 818 206

Regional Socialist Party organisers:

Eastern: 0798 202 1969

East Mids: 0773 797 8057

London: 020 8988 8786

North East: 0784 114 4890

North West 07954 376 096

South East: 020 8988 8777

South West: 07759 796 478

Southern: 07833 681910

Wales: 07935 391 947

West Mids: 02476 555 620

Yorkshire: 0114 264 6551


What we Stand For

About the Socialist Party

Joining the Socialist Party - what will it mean for you


Alphabetical listing

October 2019

September 2019

August 2019

July 2019

June 2019

May 2019

April 2019

March 2019

February 2019

January 2019