{"id":269452,"date":"2025-07-17T13:50:10","date_gmt":"2025-07-17T13:50:10","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/269452\/"},"modified":"2025-07-17T13:50:10","modified_gmt":"2025-07-17T13:50:10","slug":"hs2-subcontractors-role-on-100m-bat-tunnel-terminated-after-claims-of-inflated-pay-rates-hs2","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/269452\/","title":{"rendered":"HS2 subcontractor\u2019s role on \u00a3100m \u2018bat tunnel\u2019 terminated after claims of inflated pay rates | HS2"},"content":{"rendered":"<p class=\"dcr-16w5gq9\">An HS2 subcontractor has been terminated from its role supplying labour to build <a href=\"https:\/\/www.theguardian.com\/uk-news\/2024\/nov\/07\/cost-of-shed-to-protect-bat-colony-near-hs2-has-topped-100m-chair-says\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">a \u00a3100m \u201cbat tunnel\u201d<\/a> following an investigation into allegations of overinflating rates for staff.<\/p>\n<p class=\"dcr-16w5gq9\">BAM Nuttall (BAM), part of a consortium that is the main works contractor for the much-delayed <a href=\"https:\/\/www.theguardian.com\/uk-news\/2024\/dec\/17\/cost-of-hs2-estimate-euston\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">\u00a380bn-plus high-speed rail line<\/a> between London and Birmingham, said it had ended the involvement of Danny Sullivan Group (DSG) on projects where \u201ccompliance issues have been identified\u201d.<\/p>\n<p class=\"dcr-16w5gq9\">It is understood that BAM sent a letter to DSG this week stating it is to terminate its contract on the <a href=\"https:\/\/www.hs2.org.uk\/building-hs2\/environmental-sustainability\/green-corridor\/sheephouse-wood-bat-protection-structure\/\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">1km (0.6-mile) mesh structure to shield bats in Buckinghamshire ancient woodland<\/a>, so that it can proceed with another labour supplier.<\/p>\n<p class=\"dcr-16w5gq9\">HS2 Ltd <a href=\"https:\/\/www.theguardian.com\/uk-news\/2025\/may\/26\/hs2-investigates-claims-company-overcharged-for-supplying-workers\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">launched a separate investigation in May<\/a> into DSG\u2019s role providing workers to build the West Midlands section of the line amid allegations about its billing practices.<\/p>\n<p class=\"dcr-16w5gq9\">That investigation related to the provision of workers to HS2\u2019s other main contractor, <a href=\"https:\/\/www.theguardian.com\/business\/balfourbeatty\" data-link-name=\"in body link\" data-component=\"auto-linked-tag\" target=\"_blank\" rel=\"noopener\">Balfour Beatty<\/a> Vinci (BBV), which has subsequently implemented \u201cadditional monitoring and controls\u201d. It was based on whistleblower claims that self-employed staff were being wrongly billed as salaried employees, leading to overpayments.<\/p>\n<p class=\"dcr-16w5gq9\">HS2 said at the time that DSG remained suspended from new contracts across the project while the investigation continued.<\/p>\n<p class=\"dcr-16w5gq9\">BAM \u2013 a member of the high speed rail project\u2019s main works contractor, EKFB, alongside Eiffage, Kier and Ferrovial \u2013 said it had suspended DSG from working on the bat tunnel after carrying out its own inquiry.<\/p>\n<p class=\"dcr-16w5gq9\">\u201cBAM UK &amp; Ireland has taken the decision to end Danny Sullivan Group\u2019s involvement on projects where compliance issues have been identified,\u201d BAM said in a statement to the Guardian. \u201cThis follows an internal review of our labour supply arrangements, which remains ongoing.\u201d<\/p>\n<p class=\"dcr-16w5gq9\">A BAM spokesperson added: \u201cThis measured approach reflects our focus on responsible supply chain management. We remain fully committed to the highest standards of ethics, legal compliance, and workforce welfare, and are working closely with our clients and partners as we continue to monitor and review the situation.\u201d<\/p>\n<p class=\"dcr-16w5gq9\">BAM added that it continues to work with DSG on \u201cother contracts while further investigations are carried out\u201d. DSG continues to work with EKFB via BAM on the southern section of the HS2 project, which is understood to involve 400 to 500 workers in total.<\/p>\n<p class=\"dcr-16w5gq9\">An HS2 Ltd spokesperson said it took its responsibility for managing public money seriously, adding: \u201cWe have been very clear with our supply chain partners that unethical behaviour cannot be tolerated, and we fully support them in taking decisive action.\u201d<\/p>\n<p class=\"dcr-16w5gq9\">The Department for <a href=\"https:\/\/www.theguardian.com\/uk\/transport\" data-link-name=\"in body link\" data-component=\"auto-linked-tag\" target=\"_blank\" rel=\"noopener\">Transport<\/a> (DfT) has previously said it would ensure that any claims of wrongdoing in HS2\u2019s supply chain were thoroughly investigated.<\/p>\n<p class=\"dcr-16w5gq9\">HS2 has been <a href=\"https:\/\/www.theguardian.com\/uk-news\/2024\/dec\/19\/hs2-mark-wild-costs-budget-department-transport\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">beset with delays and cost overruns<\/a> since it was announced in 2009 <a href=\"https:\/\/www.theguardian.com\/uk\/2012\/jan\/10\/hs2-rail-project-green-light\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">and given the go-ahead in 2012<\/a>, even as the ambitions for the high-speed network have been scaled back.<\/p>\n<p><a data-ignore=\"global-link-styling\" href=\"#EmailSignup-skip-link-13\" class=\"dcr-jzxpee\">skip past newsletter promotion<\/a><\/p>\n<p class=\"dcr-rsfwa\">Sign up to Business Today<\/p>\n<p class=\"dcr-1xjndtj\">Get set for the working day \u2013 we&#8217;ll point you to all the business news and analysis you need every morning<\/p>\n<p><strong>Privacy Notice: <\/strong>Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our <a data-ignore=\"global-link-styling\" href=\"https:\/\/www.theguardian.com\/help\/privacy-policy\" rel=\"noreferrer noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a>. We use Google reCaptcha to protect our website and the Google <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/privacy\" rel=\"noreferrer noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a> and <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/terms\" rel=\"noreferrer noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Terms of Service<\/a> apply.<\/p>\n<p id=\"EmailSignup-skip-link-13\" tabindex=\"0\" aria-label=\"after newsletter promotion\" role=\"note\" class=\"dcr-jzxpee\">after newsletter promotion<\/p>\n<p class=\"dcr-16w5gq9\">It was originally intended to include a second phase of two rail branches to Leeds and Manchester, but the <a href=\"https:\/\/www.theguardian.com\/uk-news\/2021\/nov\/18\/hs2-rail-leg-to-leeds-scrapped-grant-shapps-confirms\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">former leg was dropped in 2021<\/a>; the Conservative government axed the latter in 2023, announcing that the rail line would <a href=\"https:\/\/www.theguardian.com\/politics\/2023\/oct\/04\/rishi-sunak-conservative-conference-speech-hs2\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">terminate at Birmingham<\/a>.<\/p>\n<p class=\"dcr-16w5gq9\">Parliament\u2019s spending watchdog, the Public Accounts Committee (PAC), said in February that it was a <a href=\"https:\/\/www.theguardian.com\/uk-news\/2025\/feb\/28\/hs2-a-casebook-example-of-how-not-to-run-a-major-project-mps-say\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">\u201ccasebook example of how not to run a major project\u201d<\/a>. The total bill is approaching \u00a380bn, according to the PAC, but there have been reports that the total cost could end up at \u00a3100bn.<\/p>\n<p class=\"dcr-16w5gq9\">The government ended speculation over the eventual southern terminus by confirming that the service would indeed reach central London, rather than stopping at Old Oak Common in the capital\u2019s north-western suburbs, but the PAC said the DfT <a href=\"https:\/\/www.theguardian.com\/uk-news\/2023\/mar\/27\/revised-plans-hs2-london-euston-terminus-cost-5bn\" data-link-name=\"in body link\" target=\"_blank\" rel=\"noopener\">still did not have a plan<\/a> for the work at Euston.<\/p>\n<p class=\"dcr-16w5gq9\">According to HS2 Ltd, 75% of the tunnelling on the London-to-Birmingham line has been completed.<\/p>\n<p class=\"dcr-16w5gq9\">A DSG spokesperson said: \u201cDanny Sullivan &amp; Sons Ltd recently undertook a review into the erroneous engagement of a number of Construction Industry Scheme workforce operatives.<\/p>\n<p class=\"dcr-16w5gq9\">\u201cThe findings and recommendations of this review were shared with BAM, with any discrepancies being immediately addressed. This includes a small number of individuals having their employment transferred to BAM. Our labour supply to BAM continues across all other UK infrastructure projects.<\/p>\n<p>\u201dThis review took place in conjunction with a transformation programme to support ongoing and future partnerships across UK infrastructure projects. Our trusted clients will now benefit from this significant investment and operational improvements undertaken as part of this process, with rigorous controls in place to ensure such mistakes do not reoccur.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"An HS2 subcontractor has been terminated from its role supplying labour to build a \u00a3100m \u201cbat tunnel\u201d following&hellip;\n","protected":false},"author":2,"featured_media":269453,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[13,12,14],"class_list":{"0":"post-269452","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-news","8":"tag-headlines","9":"tag-news","10":"tag-top-stories"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114868900548434883","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/269452","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=269452"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/269452\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/269453"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=269452"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=269452"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=269452"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}