Government to review how contracts are awarded

July 1, 2011

Following on from the announcement of Siemens being named preferred bidder for the Thameslink rolling stock order.

From The Derby Telegraph

A LETTER to the Prime Minister has confirmed that the Government will review the way it deals with EU contract law in the wake of the decision not to give the Thameslink contract to Bombardier.

The Derby train-manufacturer learned two weeks ago that German firm Siemens had won the contract.

Ministers said at the time that EU procurement rules forbade them from favouring British companies when tendering the contract.

But critics pointed out that both France and Germany give almost all their train-making contracts to home-based firms.

A senior Government source told the Derby Telegraph last week that ministers were planning to instruct officials to discover how other states got round EU rules.

Yesterday, the paper was passed a copy of a letter written from both Transport Secretary Philip Hammond and Business Secretary Vince Cable to Prime Minister David Cameron.

The letter reads: “We need to ensure that we manage our public procurement and investment programmes so as to sustain a competitive supply base that can meet the UK’s strategic needs cost effectively over the long term. There is a perception that other EU countries appear to manage their public procurement processes with a sharper focus on domestic supply chains than we have hitherto.”

Mr Cable’s department is currently carrying out a review to ensure that all Government departments are doing all they can to help the economy recover.

 

It seems once again that we are the only Country in Europe that plays by the rules and obeys the laws.  From my point of view it looks as if France and Germany claim to be part of Europe but are in reality only interested in themselves.  I am pretty certain that if the Government had announce Bombardier as the preferred supplier, certain French and German politicians would have been up in arms about Britain breaking the rules.

Hopefully in future, the playing field will be levelled and the procurement of rolling stock will be awarded to the supplier best capable of delivering what is required at the correct cost without all the political motives in the background.