Carillion Construction, the second biggest construction firm in the UK has entered liquidation after the government failed to reach a deal to save them. The company had been struggling for some time after losing money on big contracts and running up large debts.
The construction firm, whose contracts were mainly within the public sector, was already under investigation by the Financial Conduct Authority (FCA) following a number of profit warnings.
The government is expected to fund completion for the remaining public sectors projects which were underway by the construction firm. Some of the contracts will also be taken on by other firms.
Thousands of jobs are now also at risk, the company has 43,000 staff worldwide with 20,000 in the UK. It is not yet clear how they will be affected and employees are still being encouraged to go into work until further notice.
Will your business be affected by Carillion entering liquidation? If you are looking for advice, please contact our team on 01275 817320.