P&O Ferries sues government for PS33m over Eurotunnel settlement.
Byline: ALEXANDRA ROGERS @city_amrogers
P&O FERRIES is suing the government for PS33m over its decision to settle a challenge against its no-deal Brexit ferry contracts.
P&O wants the government to cancel the PS33m it paid out to rival operator Eurotunnel, which challenged the Department for Transport's (DfT) decision to award no-deal Brexit ferry contracts to three firms, including Seaborne Freight which had no ships.
Eurotunnel launched legal action after it complained that the procurement process for the contracts, which also went to Brittany Ferries and DFDS, had been "secretive". The government later cancelled all of the no-deal ferry contracts.
In court documents seen by the BBC, P&O claimed the sum "was not, and could not be, a genuine estimate of Eurotunnel's alleged losses", adding that such an agreement "could only lawfully have been entered into following a duly advertised and competitive tender process".
A DfT spokesperson said: "We are confident we acted appropriately in reaching the agreement with Eurotunnel."