Bid-rigging: UCATT calls for “maximum possible penalties ” to guilty firms

UCATT has called on any companies found guilty of bid-rigging by the Office of Fair Trading (OFT) to receive the “maximum possible penalties ”.

The call follows the OFT today naming 112 construction firms in a Statement of Objection, alleging they have engaged in bid-rigging activities and in ‘cover pricing’.

The union also used the opportunity to call on the government to stop outsourcing work to the private sector.

UCATT general secretary Alan Ritchie said: “The widespread and systematic price fixing uncovered by the OFT is an inevitable consequence of the systematic privatisation and outsourcing of public sector construction work, especially in local authorities.

“If the public sector is not able to build properties and buildings directly, then you are at the mercy of collusion among private contractors, to artificially increase prices. It is a grim irony that these policies have been pursued in the name of efficiency and cost savings.”

He added: “It is outrageous that ordinary workers have paid for the featherbedding of fat cat construction bosses, through their tax and council tax payments. The OFT must levy the maximum possible penalties on these companies. We will monitor the situation in order to ensure swift is taken”