The Ministry of Justice (MoJ) paid Serco over £1m for running an empty secure children’s unit last year, a Freedom of Information request has revealed.
The private security firm managed the Hassockfield training centre from its opening in 1999 up to September last year, when their contract expired.
The MoJ then extended Serco’s contract up to November 2014, until all children were safely transferred elsewhere.
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However, the MoJ continued to pay Serco until January 9 this year, the Guardian learned. The ministry defended the payments and said the controversial centre had been closed “efficiently”, securing savings for the Youth Justice Board.
Chair of the public accounts committee Meg Hillier blasted the decision to continue to pay Serco as “something right out of Yes Minister”.
“This comes after the fiascos over prisoner tagging overpayments and the mishandling of the translation services contract. This all points to the need for the PAC to take a close interest in the MoJ’s management of taxpayers’ money.”
But a Ministry of Justice spokesperson said: "The closure of Hassockfield Secure Training Centre was concluded efficiently and saved the Youth Justice Board £1.8 million in 2014/15."
A government source told CSW that the contract extension was negotiated with Serco to ensure the facility was in a suitable condition. The centre was decommissioned because of a fall in the number of young people entering the justice system.
Hassockfield was one of four secure training centres in England, and was the only one run by Serco. The units were established by the Labour government in 1998 and had an annual cost per child of around £160,000.