Three contractors are asked to bid to refurbish the fence at 10 Downing Street.
One contractor is from Birmingham, another is from Liverpool, and the
third is from London. All three meet with a civil servant in
Downing Street.
The Brummie contractor takes out a tape measure and does some
measuring, then works some figures and says, "I figure the job will
run about £900. £400 for materials, £400 for my crew, and £100
profit for me."
The Scouse contractor also does some measuring and figuring, then
says. "I can do this job for £700. £300 for materials, £200 for my
crew, and £200 profit for me."
The bloke from London doesn't bother to do any measuring or
calculations; he just leans over to the civil servant and whispers,
"I'll do it for £2,700."
The civil servant is understandably incredulous, and says, "You didn't
even measure like the others ! How did you come up with such a high
estimate ?"
The London bloke whispers back, “£1000 for me, £1000 for you, and we
hire the guy from Liverpool to do the job." "Done!" replies the
civil servant.
Now do you see how Carillion went under, leaving the taxpayer with the bills ?