More transparency is needed over companies carrying out public contracts following the “sorry example of Southern Cross,” Lord McFall has said.
Speaking in the House of Lords Chamber, Lord McFall called for the Freedom of Information Act to be extended to private companies carrying out public services, given the “burgeoning outsourcing” of these services.
“My Lords, given the sorry example of Southern Cross and the bourgeoning outsourcing of public services, which is estimated to go from £80 billion to £140 billion by 2014, is there not a case for the utmost transparency on the part of the Government through extending freedom of information to private companies undertaking public services so that they can catch the failed business model, which they did not do in the case of Southern Cross?”
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Lord Wallace of Saltaire, the Liberal Democrat Peer speaking on behalf of the Government, failed to answer Lord McFall’s question on the Freedom of Information Act, but invited him to “return to this issue on future occasions.”