External review into contractual compliance and erroneous engagement of Construction Industry Scheme (CIS) workforce operatives completed
Accompanies significant investment in IT infrastructure, compliance oversight, reporting and controls
DSG fully compliant with all tax obligations and all relevant taxes paid
DSG committed to upholding the highest standards of governance, compliance and risk management in delivering the UK’s leading infrastructure projects
We are aware of the allegations that have been raised in relation to HS2 and media reporting regarding other contracts held by Danny Sullivan Group.
As a business with a long and reputable history, we have treated these allegations extremely seriously and have investigated the contractual compliance issues raised. These specifically relate to the erroneous engagement of Construction Industry Scheme (CIS) workforce operatives on HS2 where we provide skilled trades and labour.
As part of this work, we commissioned an externally-led review by a leading professional services firm, assessing matters of contractual compliance as well as undertaking an independent review of internal governance and controls. The findings and recommendations of this report have been shared with our trusted clients, and where mistakes have been made, we have and continue to put these right. This includes having taken all the necessary steps to ensure full contractual compliance.
This review was carried out in conjunction with a significant programme of transformational investment, including a major reorganisation of our executive team and functions and upgrades to the company’s governance, processes, technology and culture. This ensures we can continue to satisfy ourselves and our trusted clients and partners that our best-in-class service is matched by best-in-class operational and compliance functions and controls.
Throughout this process, no evidence of bribery or deliberate wrongdoing involving any employees of our business has been identified.
Danny Sullivan Group also wishes to address recent speculation and confirm that we are fully compliant with all tax obligations, and are confident that all relevant taxes have been – and continue to be – paid. The issue under discussion has been focused on the application of worker type classifications under our contractual agreements. As a large employer and trusted partner of some of the UK’s biggest infrastructure companies, we take our responsibility to uphold the highest standards of governance to all our stakeholders extremely seriously.
We are confident that our robust response and substantial investment in resolving these issues will ensure that we emerge from this situation a stronger and better company with best-in-class compliance and governance processes.
Our work continues on the landmark HS2 projects and many other critical infrastructure projects with our long-standing clients and partners across the UK.
Danny Sullivan Group is proud to be operating at a size and scale not seen before in our industry. We remain committed to upholding the highest standards of governance and will continue to invest in ensuring our processes are in line with what is needed and expected by our customers who trust us to deliver projects at the heart UK infrastructure.
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