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Two days of support is hollow comfort for Carillion suppliers

19th January 2018

Two days of support is hollow comfort for Carillion suppliers

The announcement that businesses working for Carillion on private sector deals will only receive two days of government support is yet another major blow for the region’s business community according to one local expert.

“The Midlands has an extensive network of firms who supply sub-contracted services to Carillion,” comments David Ellis at Black Country law firm, Higgs & Sons.

“Carillion spent £952m with local suppliers throughout the UK in 2016, a significant number of which were Midlands based. These organisations are now unlikely to be paid. This will not only have a devastating impact on individuals and families employed in the supply chain, but will adversely affect the economy of the entire region.”

Carillion was involved in a huge number of contracts throughout the UK, from major projects including HS2 and the construction of the new Midlands Metropolitan Hospital to maintaining hospitals, schools, and prisons.

David, a Partner and Head of the Insolvency team at Higgs added: “It is not an exaggeration to say that thousands of jobs will be at risk due to Carillion’s failure. Carillion extended its payment schedule to suppliers last year and as a result there will be unpaid bills going back many, many months.

“The options for companies affected by the Carillion situation may seem limited, but the first step is to seek professional, objective advice from experts in all aspects of business management.  

“Carillion once stated it was ‘committed to generating regional economic growth and development’. Those words seem rather hollow now and we want to pledge our support to those businesses who have been adversely affected by Carillion’s closure.” 

In response to the Carillion situation Higgs & Sons is offering the region’s business community access to a series of drop-in sessions at which experts in all aspects of business management and development will provide a free initial consultation to those affected.

Higgs’ ‘drop-in’ sessions will be available every Tuesday afternoon between 2pm and 4.30pm for the next four weeks.

Call 0345 111 5050 to book an appointment or email support@higgsandsons.co.uk for further information.

 

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