Government says it notes the comments made by GCCA regarding the Master Services contract.

"The current contract expires in May of this year and there will be a requirement for a new contract to be drawn up. Under EU law, it is a legal requirement that all Government contracts worth more than €134,000 must be put out to tender. Thus, Government is bound, by law, to enter into a new contract in the next few months and to put this out to tender."

In their statement, Govt explain that "all companies interested in submitting a tender for the new contract, including Master Services, will be invited to do so. The tendering process will, as always, be completely transparent.

It is important to clarify that no jobs are at risk as a result of this process. Workers’ terms and conditions are fully protected under UK, EU and Gibraltar law by the Transfer of Undertakings (Protection of Employment) Regulations (TUPE). This means that whichever company is successful in the tender process, all Master Services employees have a legal right to transfer to the new employer on their existing terms and conditions of employment and with all their existing rights intact.

Gibraltar’s taxpayers can be assured that the new public cleaning contract will be tendered fairly and transparently, will meet all legal requirements, will protect the rights of the current workforce and will ensure high standards of cleanliness on our streets and public areas. The existing contractual terms are not favourable to the taxpayer and the Government expects that the new tender award will not be on a "cost plus" basis, which are the terms agreed by the former administration in respect of the current agreement."