Institute warns government that without more reforms it risks another Carillion

Article summary

The Institute for Government has warned that the government is yet to address the problems that led to the collapse of Carillion in 2018. In its report, ‘Carillion—two years on’, the institute declares that the government ‘risks “another Carillion” if it doesn’t get behind the reforms put forward after the firm’s liquidation’. Although the institute approves of the ‘Outsourcing Playbook’ , published in February 2019 with the intent of strengthening the corporate governance of the outsourcing process, it nevertheless believes that there is ‘still some way to go’, as ‘some departments continue to ignore the guidance and have not updated their own internal policies’. The institute concludes that ‘wider improvements to corporate governance have also not been properly implemented’ and calls on the government to ‘commit to fully implementing these reforms’.