Not MOD but I am employed by Carillion.
Site I work at has a £25k non availability clause, this has been invoked 3 times in 2 months due to lack of investment in infrastructure. Boilers/pumps/Air con all non-operational.
Private contractors all owed money so trying to get anyone in to fix stuff is very difficult as most are now pricing jobs ridiculously high.
They do appear to have a habit of pitching too low on contracts to get customer base but are now suffering and are rumoured to be selling on contracts to improve cash flow.