Regarding the article “Spotlight now on OFT to defend five-year investigation” (11 March, building.co.uk) I’m not quite sure how cover pricing could affect the best price for the job. It would require all but one of the bidders to be seeking a cover price, the likelihood of which is very low.
Cover pricing came about due to the climate of fear generated by local authorities that would effectively blackball bidders if they turned down/returned enquiries.
While there can be no defence of the practice of cover pricing, how it came about cannot be ignored.
Nick Owen, via www.building.co.uk
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