Minister for the Cabinet Office Francis Maude has announced that the Government is sufficiently satisfied with G4S’ Corporate Renewal Plan to allow it to once again bid for Government work, noting in a Written Ministerial Statement that the Plan “represents the right direction of travel to meet our [the Government’s] expectations as a customer”.
Maude does state that this decision does not affect any outcome of the ongoing Serious Fraud Office investigation into some of the companies’ practices, but that the Cabinet Office is “reassured that G4S is committed to act swiftly should any new information emerge”. It is further stated that this is an ongoing process, and that the Crown Representative and advisers Grant Thornton will continue to monitor progress, reporting to Government on a regular basis.
Pete from PSI: This move now suggests closure on the Government’s part of the G4S/Serco fiasco which made headlines last year. Serco were cleared to be awarded Government work earlier last year, and both companies have agreed to repay tens of millions of pounds back to the Government for overcharging on electronic tagging contracts.