Security firm which blundered over venue guards for London Olympics loses UK prison contract

Published November 20, 2014

The British security company criticized over its failures at London's Olympic Games has lost a contract to run a private jail.

G4S acknowledged in early July — weeks before the Summer Games began — that it could not provide all 10,400 security guards it had been contracted to deliver, forcing Britain's government to call in thousands of troops. The firm said the problem cost it 50 million pounds ($79 million).

Britain's justice ministry says Thursday that, from next year, G4S would stop running Wolds prison in northern England. Inspectors have voiced concern over security at the prison, including the availability of drugs to prisoners.

Justice Secretary Chris Grayling says bids by the firm would also not be considered when contracts to run four other prisons are awarded next year.

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