Magazine article Public Finance

Government Responds to Qinetiq Furore

Magazine article Public Finance

Government Responds to Qinetiq Furore

Article excerpt

The government has defended the controversial privatisation of defence research organisation Qinetiq, which saw shares held by the top ten managers rocket in value from £540,000 to £107m on the day of flotation.

The privatisation had been attacked by the Commons Public Accounts Committee in a June report It said Qinetiqs management team - which had negotiated its own incentive deal before Carlyle Group was selected as the preferred bidder - had made '£200 for each £1 they invested while the taxpayer received just £9'.

The report added: 'Such profiteering at the expense of the taxpayer is not something this committee would expect from former public servants.'

The government defended the sell-off in a response buried in Treasury minutes. 'Returns to management need to be viewed in the context of the over £800m that has been raised for the taxpayer,' it said. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.