Joint committee release their final report on the Carillion collapse
Trustees Agenda posted on 16 May, 2018
The Work and Pension committee, along with the Business, Energy and Industrial Strategy committee, have published their final report from their joint inquiry into the collapse of Carillion. The conclusions of the report centre around two central themes; the greed of the Carillion board of directors and the inability or unwillingness of regulatory bodies to intervene.
The Pensions Regulator (TPR) and the Financial Reporting Council are described as 'united in their feebleness and timidity' in the report, which criticises TPR further by stating that 'TPR threatened on several occasions to use a power to enforce pension contributions that it has never used. These were empty threats. The Carillion directors knew it and got their way.'
In response to the criticism emerging from this report, TPR conceded that the report had highlighted areas for the regulator to improve upon, adding that 'We are now a very different organisation; we are clearer about what we expect, quicker to intervene and tougher on those who do not act in the interest of members. We have reinforced our regulatory teams on the frontline and are embedding a new regulatory culture.'