Tens of thousands of jobs at risk after Carillion fails to secure funding to keep operating
- BREAKING: Carillion has collapsed
- Chairman: It’s a very sad day
- Banks refused to lend more money
- Government to provide short-term funding
- Labour: Public sector contracts must be taken under public control
- Company employs 20,000+ people in the UK
Financial analyst and journalist Louise Cooper is also struck by the decision to liquidate Carillion:
Fact that it’s a liquidation (winding up) of Carillion and not going into administration (to come out eventually as smaller profitable firm) says a lot oboit underlying financials of firm.#Carillion
Britain’s unions says that Carillion’s collapse shows the folly of employing private companies to provide services such as school meals.
Rehana Azam, GMB National Secretary, explains:
“The fact such a massive government contractor like Carillion has been allowed to go into administration shows the complete failure of a system that has put our public services in the grip of shady profit making contractors.
“The priority now for the Government and administrators is making sure kids in schools still get fed to day – and our members still have jobs and pensions.