Carillion

Cabinet Office: private sector paying for Carillion hospital cost increases

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Increased construction costs of the former Carillion PFI contracts on the Royal Liverpool and Midland Metropolitan hospitals are being picked up by the private sector rather than taxpayers, the government has said. To mark the second anniversary of the collapse of the former contractor, Unite criticised what it called two…

Carillion-hit council needs taxpayer support for additional costs

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A Greater Manchester council may still seek government support to deal with costs it has faced since the collapse of Carillion in 2018. Tameside Council used the firm as its main contractor for building works and saw several projects stall in the wake of its collapse. Two years on from…

Royal Liverpool Hospital seeks cladding replacement firm

Royal Liverpool: Rising remedial costs killed PFI deal

The trust behind the Royal Liverpool Hospital is looking for a replacement cladding contractor, nearly two years after the project's main contractor Carillion went bust. The facility was said to be 90 per cent complete in January 2018, but after Carillion went under a series of major defects were found,…

Balfour Beatty seals £267m Midland Met deal as work restarts

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Balfour Beatty’s £267m contract to deliver works on the Midland Metropolitan Hospital has been finalised, with construction due to recommence before the year end. The contractor has announced that the project is set for completion in 2022, in line with the date the Treasury had set for completion when financing was…

Midland Met finance now settled, hospital boss says

Crane collapses at Midland Met Hospital

The financing for the construction of Midland Metropolitan Hospital has been finalised, and Balfour Beatty's contract to deliver the works is due to be completed soon, according to the hospital trust's chief executive. Sandwell and West Birmingham NHS Trust CEO Toby Lewis said on Twitter: “Today we finalised all remaining…

Carillion liquidation to recover £510m

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Carillion’s liquidators have estimated they will recover just over £510m, with some of this going to creditors. Just over £500m has been recouped from invoices, asset sales, insurance payouts and other debtor recoveries since the £4bn firm collapsed on 15 January last year. Carillion's liabilities were estimated to be as…

Royal Liverpool Hospital costs could hit £131m in 2019/20

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The NHS trust overseeing the delivery of the Royal Liverpool Hospital has said the estimated spend on the new hospital could reach £131.1m for the current financial year to April 2020. Construction News understands this figure largely covers construction and professional fees. The projected spend was revealed by the Liverpool University Hospitals NHS…

NHS trust considers legal action over Carillion hospital failings

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An NHS foundation trust is considering legal action due to “inherited issues” on the Royal Liverpool Hospital, which was originally being built by failed-contractor Carillion. In a project update report, the newly formed Liverpool University Hospitals NHS Trust said: "We have taken legal advice for potential legal redress to the…

£350m Midland Met construction approved

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Construction of the Midland Metropolitan Hospital has been given the go-ahead by the government – along with £350m of funding for the project. The Treasury has announced today that it has formally signed-off the hospital build, which has been stalled since the collapse of Carillion in January 2018. The Sandwell…

NAO investigating Carillion hospital contracts

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The National Audit Office is investigating the government’s handling of Carillion’s hospital contracts. The financial watchdog will examine both the Midland Metropolitan Hospital and Royal Liverpool Hospital builds, which were being funded by private finance initiatives (PFI) when the contractor went under. After Carillion went bust, both PFI contracts were…