McGee earmarks £2.4 million for CMA penalty

McGee Group has become the latest demolition company to reveal the size of the provision it has made for any fines that might arise from the Competition and Markets Authority probe into bid rigging and price fixing with the industry.

The company has revealed that it was set aside £2.4 million to cover the financial cost arising from its involvement in a bid-rigging probe by the cartel-busting watchdog.

In the latest company accounts, McGee said that the provision taken in 2020 would cover an expected penalty from the CMA investigation into cover pricing in the demolition sector.

The CMA announced last week that McGee was one of 10 firms provisionally found to illegally have colluded in bid-rigging for demolition and asbestos removal contracts.

In a statement from the contractor, a spokesman said: “McGee has co-operated fully with the CMA.

“Having reached a final settlement position, McGee has certainty over the quantum of its fine and has made full provision in its previous audited financial statements.

“Accordingly, there will be no further financial impact on McGee arising from the investigation.”

We recently reported that Keltbray had made a £6 million provision while Carey Group had set aside £9 million.