Construction firms ‘illegally colluded’ over demolition bids
Ten construction firms illegally colluded to rig bids for £150m of contracts, according to provisional findings by the competition watchdog.
The Competition and Markets Authority said eight of the firms involved have admitted to taking part.
The rigged contracts for demolition services included work for Selfridges, Oxford University and the redevelopment of Bow Street magistrates’ court and police station in central London.
Ten construction firms illegally colluded to rig bids for £150m of contracts, according to provisional findings by the competition watchdog.
The Competition and Markets Authority said eight of the firms involved have admitted to taking part.
The rigged contracts for demolition services included work for Selfridges, Oxford University and the redevelopment of Bow Street magistrates’ court and police station in central London.
Fines will be imposed if the watchdog concludes in its final decision that they have broken the law, the CMA said.
It has “concluded that the firms colluded on prices through illegal cartel agreements when submitting bids in competitive tenders for contracts”.
It found the bids were rigged with the deliberate intention of deceiving the customers that they were competitive, when it was not the case. The construction firms worked together, with firms agreeing to submit bids which were deliberately priced to lose the tender.
The CMA said eight firms have admitted their involvement in at least one instance of bid rigging between 2013 and 2018: Brown & Mason, Cantillon, Clifford Devlin, DSM Demolition, John F Hunt, Keltbray, McGee, and Scudder. Two other firms – Erith and Squibb – have not admitted being involved.
The Times (£)
The FT (£)
