§ Mr. PicklesTo ask the Chancellor of the Exchequer if the credit rating of companies seeking to tender for services provided by his Department is checked before the contract is awarded. [107741]
§ Mr. Andrew SmithTreasury decisions on an individual bidding company's financial standing take account of latest available audited and interim accounts and any other relevant published information including credit and debt rating. These checks are undertaken on contracts where early termination would place a financial and operational risk on the Department.
§ Mr. PicklesTo ask the Chancellor of the Exchequer how often the credit rating of companies supplying services to his Department is checked. [107749]
§ Mr. Andrew SmithDuring the period of the contract, the Treasury will carry out checks of this nature only if it has reason to believe that any of its contractors may be in financial trouble.