£290m airport relief road could be hit by collapse of construction giant Carillion

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Following the collapse of construction giant Carillion, employees have been told they should continue to turn up for work and will be paid as normal.

Carillion, which is involved in major projects including the HS2 high-speed rail line and Government contracts including services for hospitals, schools, prisons and transport, went into liquidation today (Monday, 15th January) leaving thousands of jobs under threat.

Carillon are also responsible for the construction the £290 million A6 to Manchester Airport Relief, as a joint venture with Morgan Sindall, to improve access across south east Manchester and east Cheshire.

The 10km dual carriageway was due to open to traffic by autumn 2017, after two and a half years of construction works. However in April 2017, a spokesperson from Stockport Council, who are leading this major transport project with its partners Cheshire East Council and Manchester City Council, announced it had been delayed until Spring 2018 due to heavy rainfall.

Today, Carillon said "Unless advised otherwise, all agents, subcontractors and suppliers should continue to work and provide goods and services as normal, under their existing contracts, terms and conditions."

Pam Smith, Chief Executive of Stockport Council, said: "Carillion PLC is the UK's second-largest construction, facilities and property management company and employs in the region of 43,000 people globally. They are a key national supplier to public services and are in a current state of financial crisis.

"We have this morning received confirmation that Carillion PLC have been placed into liquidation.

"The Council entered into a partnership agreement with Carillion AMBS in 2014 for a period of ten years to deliver property services including Estate, Asset and Facilities management and to work together to deliver a number of key development services. Carillion PLC also work on a number of projects with schools and are involved in the partnership to build the A6MARR.

"Carillion staff were told this morning at 9am to continue working on contracts in the usual way. Senior Council officers have discussed the situation directly with Carillion directors today to consider how we ensure the smooth transition of continued services. The Council will implement the detailed contingency plans that have been developed and are in place in the event of such news.

"The contingency plan focuses on a number of key areas, including urgent actions that may need to be taken by the Council as the details of the insolvency process takes effect.

"For any urgent enquiries please contact the Council's Estate and Asset Management service on EstateMGMT@stockport.gov.uk".

Tags:
Airport Relief Road, SEMMMS
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Comments

Here's what readers have had to say so far. Why not add your thoughts below.

Oliver Romain
Monday 15th January 2018 at 6:53 pm
If this is still the advice, which it probably is not, nobody other than direct employees will turn up. Sub contractors will not be paid.
Richard Bullock
Tuesday 16th January 2018 at 3:03 pm
I tweeted out to Morgan Sindall - the other half of the joint venture - about this issue. They have replied saying
"We're completing this project as planned and will be working closely with our customers and other stakeholders to ensure continuity of service".

Sounds like they will be taking up the slack then.
Barry Stafford
Wednesday 17th January 2018 at 4:38 pm
Big joke,to carry on working as normal. 4 days a week!! Dont work weekends. Knock off Fri. Mid day. 10-15 workmen on full breakfasts Fri morning in Bramhall cafe Expensive machinery idle all weekend. A34 coned with 30mph limits fo 18 months with no activity. Very little tarmac ,or landscaping .Yet we were promised the road would be opem Spring 2018 .8 months late. This was badly managed,if at all by Carillion. Baz
John Clegg
Wednesday 17th January 2018 at 8:51 pm
18 months, Barry Stafford? Did you only move here in Summer 2016?
Steve 'Buck' Taylor
Wednesday 17th January 2018 at 9:34 pm
What a 'dogs breakfast' this is and telling workers to turn up as normal to carry on as if nothing has happened. I feel for anybody linked with this outfit because if it is true nobody is getting money owed in the very near future. However I have read the 'fat cats' we're still being paid one shyster receiving £55K a week. So I don't think he will be too worried, and this dodgy government what are they doing about it who is going to be held to account for allowing this to happen? Probably we the 'plebs' will have to foot the bill, I suppose one way we can lessen the burden is to sieze all assets goods and anything else these lot have, who are responsible for this debacle. It will not cover what is owed or what has been sifted away, 50,000 workers from both company and sub- contractors will be out in the cold this crime needs sorting out and not covered up. Heads need to roll!!!!
Barry Stafford
Thursday 18th January 2018 at 8:49 am
John I was being kind!! They did have a few men working around Handforth Dean road,especially the slip roads off the flyover. I have been monitoring this road from Hazel Grove to the airport ,Taking pictures and writing to the Dept of Transport. with evidence,of lack of progress,lack of work at weekends. Delays and the stupid speed restrictions.I got the usual Civil Service reply.." Due to heavy rain and mud /clay problems,The road will now be finished in Spring 2018.haha!!
This was total bad management by Carillion an its Directors.Not the Government.They gave a contract out for £300mill. Its the same with Liverpool hospital and Glasgow motorway running way behind schedule. Directors should be prosecuted. Baz
Brian McGavin
Thursday 18th January 2018 at 12:35 pm
After two and a half years of construction works we are told that the relief road opening has been delayed until spring 2018 due to heavy rainfall. What a ridiculous excuse for a project in Britain. We don't have monsoon seasons! As has been said, they don’t work weekends and knock off early on Friday. The section through Handforth where it crosses Manchester Road for the final stretch to the airport had been fully base surfaced, when it was then dug up into a deep trench that has seen no real activity for months.
The A34 has been coned with 30mph limits for over 18 months, but you rarely see construction in action as you crawl along in daily traffic gridlock. To make matters worse, in a development money orgy, Cheshire East has approved thousands of new houses on greenbelt around the A34 bypass without any attention to the infrastructure pressures this will bring. Cheshire East and Stockport Council are failing the public they serve and need to be brought to account.
John Clegg
Thursday 18th January 2018 at 1:34 pm
I figured that you were being kind, Barry.
We seem to have had the works going on for ages but someone reminded me that they started late Summer 2014. I stand to be corrected.

There seems to be an issue towards the Poynton & Hazel Grove end of things where an earthworks built up to help protect against traffic noise appears to be about 1 metre under the projected height. I don't know which of the partner contractors was responsible, and I haven't yet seen any corrections, confirmations or denials.
Nik Eastwood
Saturday 20th January 2018 at 7:51 pm
semms website updated with info http://www.semmms.info/carillion-statement/

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