(5 years, 4 months ago)
Commons ChamberYes. My hon. Friend raises an important point. The Government already use project bank accounts on all construction projects, unless there are compelling reasons not to do so. That is just one way of ensuring our underlying objective of prompt and fair payment. It sits alongside initiatives such as paying our suppliers on time, excluding late payers and appointing prompt payment non-executive directors in all Departments.
Bearing in mind that small businesses are the backbone of our economy, will the Minister outline when we can expect to see the follow-through of the proposed policy whereby suppliers will be unable to win Government contracts unless they are seen to be making prompt payments?
(5 years, 5 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
As I have said repeatedly from this Dispatch Box, the Government undertake appropriate contingency planning in respect of all our strategic suppliers. We have not had to invoke that contingency with Interserve because the companies delivering those services remain wholly unchanged; no jobs are lost, no pensions are affected and no services are disrupted.
When Carillion went down, lots of jobs were lost and projects were put on hold, and confidence was badly dented. At that time, we were informed that steps were being taken to ensure that the situation would not happen again. Only a matter of months later, Interserve has experienced difficulties, and yet again the general public are losing confidence. It seems that outsourcing has become a gamble. Could the Minister outline steps to restore confidence? Is he satisfied that Interserve’s financial position has been secured, and what discussions have taken place with other companies to check and monitor that no other big companies are facing major financial problems?