Main contractor accused of ‘pocketing’ savings to cover Grenfell pricing mistake

grenfell

Rydon’s bid alleged to have been £212k too low because of an ‘adding-up error’

Grenfell main contractor Rydon has been accused of keeping its client in the dark so it could recover £212,000 after accidentally underbidding the job because of an “adding-up error”.

The Grenfell inquiry heard that Rydon’s successful bid was £212,000 too low because of a mistake by one of its estimators.

At the same time the client, Kensington & Chelsea Tenant Management Organisation (KCTMO), needed to make £800,000 of savings itself as its original proposed contractor, Leadbitter, had priced the work at £11.278m which was £1.6m over its budget.

This state of affairs placed Rydon under double pressure to save £1m, inquiry barrister Richard Millett suggested yesterday.

Already registered? Login here

To continue enjoying Building.co.uk, sign up for free guest access

Existing subscriber? LOGIN

 

Stay at the forefront of thought leadership with news and analysis from award-winning journalists. Enjoy company features, CEO interviews, architectural reviews, technical project know-how and the latest innovations.

  • Limited access to building.co.uk
  • Breaking industry news as it happens
  • Breaking, daily and weekly e-newsletters

Get your free guest access  SIGN UP TODAY

Gated access promo

Subscribe now for unlimited access

 

Subscribe to Building today and you will benefit from:

  • Unlimited access to all stories including expert analysis and comment from industry leaders
  • Our league tables, cost models and economics data
  • Our online archive of over 10,000 articles
  • Building magazine digital editions
  • Building magazine print editions
  • Printed/digital supplements

Subscribe now for unlimited access.

View our subscription options and join our community