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Council offers its support to companies affected by Carillion collapse

Date issued: 17 January 2018

Colchester Borough Council has today pledged help to local firms caught up in the collapse of construction giant Carillion.

Britain's second largest construction firm, which employs 20,000 people in the UK, went into administration on Monday with debts of about £1.5bn.

While most public services appear largely unaffected by the collapse, around 90 per cent of Carillion's work is subcontracted to smaller private-sector suppliers. Colchester Council itself has no financial of contractual exposure to Carillion.

Leader of the Council, Cllr Paul Smith, said: "Carillion's reliance on sub-contractors has the potential to generate a domino-effect of insolvency along the supply chain and cause some local firms significant financial distress.

"We want those small businesses affected by any fallout to know that, as a council, we are ready and willing to support them.

"I would therefore urge any local firms affected by Carillion's collapse to contact the Council in the coming days and weeks, to see what help we might be able to provide."

Businesses experiencing financial difficulties or other issues related to Carillion going into administration, that may be eligible for hardship relief, should contact the Council on 01206 282300 or visit for more information."