Vox pop: Bid-rigging in construction

If contractors are operating in a truly competitive market and following their chartered status properly, then they should have no worries. They will not be involved in such practices.

If there is concern in a larger organisation then they are either not auditing properly or there is a rotten apple in the barrel that needs throwing out. They should review what is going on and monitor the tender process in their organisation, as well as review past bids and outcomes.

Mike Smith, Corniche Builders

With major contractors on major schemes there may have been some collaboration, but I suspect that with the small-to-medium-sized company the alleged offences relate to cover pricing.

For those accused of bid-rigging, It is important to retain all the details of the bid right from the original invitation to tender to daily telephone records, plus the final tender results issued by the employer or their agents. They should also get themselves a good lawyer who understands construction. I think it’s important to remember that at this stage it is only ‘alleged bid rigging’ and therefore offer our support to those contractors on the OFT’s list.

John Pile, Denton Pile

Clients and contractors need to be more open and negotiate a price that everyone is happy with instead of the lottery that is competitive tendering.

Peter Harrower, Clerwood Group

I think transparency and integrity these days appears to be erratic and needs tidying up to create a fairer system for all.

Peter Hall, Hall Construction

The use of frameworks and collaborative working techniques should help in eliminating the principal factor in bid-rigging: the contractors’ fear that clients will eliminate them from future work if they do not submit a bid.

Engaging the supply chain earlier in the project decision-making process and the use of modern commercial arrangements should also provide a stable environment within which clients, contractors and suppliers can work.

Suppliers and contractors should have projects assessed on their ability to work collaboratively, rather than on lowest-cost tendering. Working collaboratively also requires greater rigour and scrutiny at selection and award stages than traditional, historic approaches of lowest-price tendering.

Rather than pointing accusatory fingers or burying our heads in sand, the best response to the OFT report is to implement the principles of collaborative working to eradicate the cause rather than simply treating the effect.