21 Contingent liabilities

Group banking facilities and surety bond facilities are supported by cross guarantees given by the Company and participating companies in the Group. There are contingent liabilities in respect of bonds, guarantees and claims under contracting and other arrangements, including joint arrangements and joint ventures entered into in the normal course of business.

On 17 April 2008 the Office of Fair Trading (‘OFT’) issued a Statement of Objections to the Company together with a number of construction companies in England, in connection with its investigation into alleged infringements of UK Competition law in the sector. The Company has co-operated with the OFT’s investigation under the OFT’s leniency policy and, as a result, has been provisionally granted a reduction in any penalty which the OFT might ultimately impose. The outcome of the investigation is not yet known, however, and the directors remain unable to estimate the size of any potential liability and as a result no provision has been made in these consolidated financial statements.