The UK must seek to
learn important lessons, it is essential that the value of public-private
partnerships is not overlooked.
Following
Carillion’s collapse, public-private partnerships have come under significant
scrutiny, with increasing calls for business to be kept out of key areas such
as utilities and public services. This is despite a need for private
sector investment and innovation to help solve some of society’s toughest
challenges.
The debate continues
to intensify, with the Shadow Chancellor, John McDonnell MP, outlining Labour’s
proposals to cut business involvement and replace it by increased levels of
public ownership.
In response to the
proposals, CBI Managing Director for People and Infrastructure, Neil Carberry,
cautioned the Labour Party, highlighting that if Labour turns its
back on good collaboration between the government and the private sector,
public services, infrastructure and taxpayers will ultimately pay the price.
Reflecting on the
implications of Carillion’s collapse, CBI Deputy Director-General Josh Hardie,
argued that government and industry must avoid ideological responses and
instead learn lessons based on evidence.
As a starting point
for this, the CBI has called for an evidence-led strategic review into the
health and sustainability of the public-sector marketplace, and have offered
support with this process.
In the months ahead,
the response to Carillion must be led by evidence, not ideology, and maintain a
sense of perspective on the important contributions of public-private
partnerships – this is something the CBI will continue to champion.
