Laura Sharman 15 January 2019

Union warns outsourcing 'rockets' after Carillion collapse

Councils are still awarding outsourcing contracts to companies that have recently issued profit warnings, new research has revealed.

Research by GMB found that a year after Carillion’s collapse, the total value of outsourcing contracts in the public sector has increased by 53% in the past year to £95bn.

Capita - who issued a profit warning last January - received contracts worth almost £1.4bn in 2017/18. Interserve - who issued two profit warnings at the end of last year - received £450m worth of public contracts.

The union is calling for an end to outsourcing and privatisation in UK public services.

'What this shows is despite the tragic fiasco of Carillion, the Government hasn’t learned its lesson,' said Rehana Azam, GMB national secretary.

She added: 'GMB believes the disastrous project to fragment our public services for private profit has had its day and we have launched our Go Public campaign to push for an end to outsourcing and privatisation in UK public services.'

SIGN UP
For your free daily news bulletin
Highways jobs

Youth Support Worker - In Training

Essex County Council
Up to £25580.0000 per annum
Youth Support Worker - In TrainingPermanent, Full Time£25,580 per annum + £954 Fringe AllowanceLocation
Recuriter: Essex County Council

Assistant Chief Executive

Enfield London Borough Council
UP TO £190,000
We are seeking a strategic and forward-thinking leader who can bring together HR, Legal, Strategy, Digital and Communications Enfield (London Borough), London (Greater)
Recuriter: Enfield London Borough Council

Executive Director of Environment and Place

Enfield London Borough Council
UP TO £190,000
We are seeking a strategic and forward-thinking leader who can bring together HR, Legal, Strategy, Digital and Communications Enfield (London Borough), London (Greater)
Recuriter: Enfield London Borough Council

Impact Director – Sector Voice

Local Government Association
up to £139,000
You will lead multidisciplinary teams covering economic growth and place, local government finance, workforce, London (Greater)
Recuriter: Local Government Association

Impact Director – Sector Support

Local Government Association
up to £139,000
You will be visible with councils, elected members, chief executives, professional bodies, government departments and national partners London (Greater)
Recuriter: Local Government Association
Linkedin Banner