Richard Howson, former group chief executive of Carillion, has been fined £237,700 for his part in misleading statements being issued by the company.
The Financial Conduct Authority (FCA) said Howson was aware of serious financial troubles in Carillion’s UK construction business, but failed to reflect this in company announcements or alert its board and audit committee, leading to poor oversight.
The fine, reduced from an initial penalty of £397,800, was imposed after Howson withdrew his challenge to the FCA’s decision.
Howson was one of two executive directors on Carillion’s board. His responsibilities included working closely with the group finance director – the other executive director on the board – to ensure Carillion communicated effectively with investors and had appropriate internal control processes.
Primary responsibility for ensuring the financial information disseminated to the market was accurate and not misleading lay with the group finance director. However, the FCA said Howson played an important role as the board member with the most expertise on construction and contracting matters.
Knowingly concerned in breaches
The FCA found that Howson acted recklessly and was knowingly concerned in breaches by Carillion of the Market Abuse Regulation and the Listing Rules.
During the period in question, Carillion’s group finance director was first Richard Adam and then Zafar Khan. They were fined £232,800 and £138,900, respectively, in January 2026.
At the time of its collapse in 2018, Carillion held approximately 450 construction and service contracts in the public sector and employed more than 43,000 people, including 18,000 in the UK.
Steve Smart, executive director of enforcement and market oversight at the FCA, said: “Carillion’s failure was significant. Jobs were lost, public sector projects put at risk and investors, who trusted the company to give them accurate information, suffered large-scale losses.
”That’s why the FCA worked diligently to hold the company and its senior leaders to account.”
