London 2012: G4S Olympics statement in full

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G4S, which was contracted to provide almost half the 23,700 security staff needed for the London Olympics, has issued a statement after admitting it would not be able to provide enough workers for the Games.

Statement in full

"G4S is totally committed to delivering a safe, secure and successful London 2012 Olympic and Paralympic Games.

The company is entering the final stages of an extremely complex workforce supply contract which is on an unprecedented scale.

We have recently encountered significant difficulties in processing applicants in sufficient numbers through the necessary training, vetting and accreditation procedures.

As a result, we will be unable to deliver all of the necessary workforce numbers.

We have worked very closely with LOCOG throughout the build up.

At the point we felt that we could no longer assure the scale of the security workforce we had committed to, we advised them of the situation.

The government has therefore decided to increase the number of military personnel who will work at the Games.

We are grateful for the additional military support. We do not underestimate the impact on the military personnel and their families and express our appreciation to them.

G4S accepts its responsibility for the additional cost of the increased military deployment resulting from the shortfall in workforce delivery.

The company is also incurring other significant costs as it endeavours to meet the contract challenges.

Whilst it is not possible to gauge the precise financial impact, it is estimated that the company will incur a loss on the contract in the range of £35m-£50m, all of which will fall in the current financial year.

G4S is fully aware of the importance and significance of its role in ensuring that the 2012 Games are secure and successful.

The company deeply regrets that, despite the relentless efforts of so many of its people, it is unlikely to deliver in full its obligations to Locog [London Organising Committee of the Olympic Games], to the government and to everyone with an interest in these Games.

Our immediate priority is to work with LOCOG and the military to ensure the necessary workforce delivery. When the Games are finished, the board will conduct a full review of our performance on delivering this contract."

Nick Buckles, G4S chief executive

"We are deeply disappointed that we have not been able to fully deliver against our contract with Locog and that it has been necessary to call upon the additional military personnel.

In partnership with the military and Locog, we are working flat out around the clock to resolve the situation.

We are determined that together we will deliver a successful and secure Games.

I would like to thank the members of the current security workforce who are already on the ground securing many of the Olympic sites across the country."

John Connolly, G4S chairman

"Since I joined the company I have seen the huge focus which has been placed on delivering this contract.

It is a significant disappointment to everyone at the company that we have fallen short of our obligations.

I know however that everyone involved throughout G4S is doing everything they can to improve the situation and we are putting every resource behind this effort."

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