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Government to hold pensions talks with Carillion

From BBC - January 11, 2018

The government will meet with Carillion and the Pensions Regulator on Friday to discuss the giant services and construction company's deficit.

Carillion, which is one of the government's biggest contractors, is struggling under 1.5bn of debt, including a pension shortfall of 587m.

The company held talks with its lenders and advisers in London on Wednesday.

However, no announcement has been made on a business plan to secure its future.

Carillion is the UK's second largest construction company and employs 43,000 people globally.

It has been awarded contracts to build part of 56bn High Speed 2 railway, including the first phase of the line which will run between London and Birmingham and is scheduled to open in 2026.

Carillion also manages nearly 900 schools, provides services to the NHS and works with National Grid.

The Financial Times reported that ministers from across a number of departments met on Thursday to discuss Carillion's financial problems.

It said that David Lidington, who was moved to the Cabinet Office as part of Prime Minister Theresa May's reshuffle this week, convened a meeting with Business Secretary Greg Clark, the new Justice Secretary Rory Stewart as well as the new Transport Secretary Jo Johnson and Liz Truss, chief secretary to the Treasury.

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