Question to the Department for Transport:
To ask the Secretary of State for Transport, if he will publish the criteria his Department used to award construction contracts for High Speed Two to Carillion plc in July 2017; and what due diligence his Department undertakes before awarding contracts to companies that have issued profit warnings.
No, the criteria used to evaluate and award construction contracts for HS2 ltd are commercially confidential. The Department undertakes due diligence in advance of the award of contracts. HS2 Ltd carried out additional due diligence and sought re-assurance of both it and its two partners in the Joint Venture, Kier and Eiffage, that they remained committed and able to deliver the contracts. Each company's Boards have both given that assurance and confirmed that they underwrite the performance of each other in delivering the contract. Following additional checks, HS2 Ltd are also confident that, even without Carillion, Kier and Eiffage would still be capable of passing the relevant financial capability and standing tests.