As the economy
continues to come to terms with the collapse of Carillion, the latest figures
suggest that on the day of liquidation, the industry giant was the main
contractor on 57 construction projects worth a total of £5.7 billion, including
a £1.3 billion HS2 contract.
This latest
information comes from construction industry analysts Barbour ABI, who outlined
that ten of the 57 projects
were each individually worth more than £150 million, such as the Royal
Liverpool hospital and an Army basing programme in Salisbury worth £450 million
and £340 million respectively.
Carillion were also
involved in 16 framework contracts as part of a list of companies pre-selected
or pre-qualified to undertake works for an organisation. These framework
contracts are not included as part of the final 57 projects as there is no
guarantee that they had won any work from the framework.
Michael Dall, Lead
Economist at Barbour ABI, said: “Carillion were deeply embedded within the
construction industry - they were the second biggest contractor in the UK by
revenue. Our records show
that they were the
main contractor on almost 60 schemes worth a total value of £5.7 billion. That
is not to mention the plethora of other contracts where they were carrying out
other construction roles.
“The sector where
Carillion had the largest presence was infrastructure - road and rail projects
were a particular speciality for the firm. In addition, Carillion were in the
process of delivering two new hospitals and were also responsible for various school
improvement projects.
"What happens
to these projects is a matter for conjecture. If the reason Carillion went bust
was due to under-bidding then it stands to reason that the financial terms will
have to be renegotiated.
"There is no
doubt this will happen but will it happen quickly enough to save the many firms
in the Carillion supply chain?”
