Collapsed financial firm to be probed

Boris Johnson has commissioned a wide-ranging independent review into Greensill Capital, the collapsed financial firm for which David Cameron lobbied ministers.

Downing Street announced yesterday that lawyer Nigel Boardman is due to lead the probe, which will examine how government contracts were secured by the company and the actions of the former prime minister.

Mr Cameron accepted that he should have communicated with the government “through only the most formal of channels” rather than text messages to Chancellor Rishi Sunak as he acknowledged mis-steps over the controversy.

Breaking his weeks of silence, the former Conservative prime minister said in a statement to the PA news agency that, having “reflected on this at length”, he accepts there are “important lessons to be learned”.

Downing Street said Mr Johnson had called for the independent review to be launched into Greensill, which collapsed into administration in March, due to “significant interest” in the matter.

The prime minister’s official spokesman told a Westminster briefing: “The Cabinet Office is commissioning an independent review on behalf of the prime minister, to establish the development and use of supply chain finance and associated activities in government, and the role Greensill played in those.

“As you know, there is significant interest in this matter, so the prime minister has called for the review to ensure government is completely transparent about such activities and that the public can see for themselves if good value was secured for taxpayers’ money.

“This independent review will also look at how contracts were secured and how business representatives engaged with government.”

Legal expert Mr Boardman, a non-executive board member of the Department for Business, Energy and Industrial Strategy, has previously conducted a review of Cabinet Office procurement processes.

Downing Street said Mr Boardman will have “access to the documents that he needs” in his probe.

A spokesman for Mr Cameron said: “We welcome this inquiry and will be glad to take part.”

But Labour said the review risks kicking the issue into the “long grass”.

REVIEW: Former prime minister David Cameron.