Serco have paid the price for its series of outsourcing scandals as operating profits drop 59% in the first half of the year. The Serco scandal found the outsourcing giant to have overcharged the UK government on contracts providing electronic monitoring of offenders and escorting prisoners to court. Serco shares which have almost halved there value in the last year, were 6.7 per cent higher in early London trading.

Serco write down value of loss-making contracts