Sunday, 14 January 2018

Carillion: Banks call for government help

The troubled government contractor Carillion has held talks with its creditor banks this weekend and further meetings are planned for Monday, the BBC understands.

The construction firm owes £900m to RBS, Barclays, HSBC, Lloyds and Santander.

The banks may be able to show Carillion more leniency if the government is able to do its part, according to sources.

The firm's future is also being discussed by government officials.

Carillion is involved in major public projects such as the HS2 high-speed rail line, as well as managing schools and prisons.

How exactly the banks want the government to intervene is unclear.

They could want the government to offer some guarantees in case Carillion cannot pay back its debts.

Or they may want the government to take some of Carillion's key projects back into the public sector.

BBC        News.