Due to the recent collapse of construction giant Carillion – the UK’s second-largest construction company – many projects and services are thought to have been left incomplete and thousands have been left jobless.
We have already had Carillion customers contact us about our Legionella services. If you need any help with your water systems such as Legionella testing and risk assessments, contact us right now as we can help.
What Happened to Carillion?
Simply put, Carillion went bust for the same reason every other company goes bust – debts.
Sky sources report that Carillion had become a company that was ‘too optimistic about the profitability of the work it was doing.’ Failing to obtain further funding and credit from its lenders is what ultimately ended Carillion, but weren’t there already problems in the making?
What Does Carillion Do?
Carillion’s main service, or speciality, is in construction. They also manage facility management and ongoing maintenance projects. Some of their most notable work has been on large private sector projects, such as the Battersea Power station redevelopment and Liverpool’s Anfield Stadium expansion that began in 2015 with further development still planned.
Despite their involvement with these large-scale projects, they are perhaps best known for being one of the biggest suppliers of services to the public sector.
It remains part of a consortium that holds a contract to construct sections of the soon-to-be HS2 high speed railway line. Additionally, it supplies maintenance services to Network Rail, maintains 50,000 homes for the Ministry of Defence and oversees management on over 850 schools.
Carillion’s Repeated Profit Warnings
The Guardian recently reported that Carillion’s looming demise was almost inevitable due to several issues that were constantly being swept under the rug.
One of the major indications that would eventually lead to Carillion going under was profit warnings. Carillion were given three major profit warnings within five months – the first sign of major trouble. The first warning came on July 10th, with the company stunning the market with an astronomical £845 million write-down on contract values. This was swiftly followed by Richard Howson (CEO), stepping down.
The second warning arrived in September, swiftly followed by the third, final and decisive warning in November, when the company was in severe financial concern. Carillion’s shares dropped from a modest 192p before the first warning to a mere 14p on Friday (12th), the last day of trading.
Carillion’s Legionella Control
Before going under, one of Carillion’s main services was Legionella monitoring. They were responsible for supplying mandatory Legionella risk assessments to thousands of clients throughout the UK. In 2016, Carillion joined forces with SPICA to rollout a pilot project for Remote Legionella Monitoring across building society branches in Central London. Euan Burns (Chief Engineer at Carillion) claimed that the initial pilot study was:
“a great success, and we are hoping to roll this innovation out across all of our contracts this autumn, delivering significant benefits to our clients. Our partnerships with innovative SME’s like SPICA technologies allow us to work together to devise and deliver leading solutions for our clients and we look forward to our continued relationship in the future.”
The Future of Carillion’s Legionella Service
Although Carillion’s Twitter claims that all services will continue as usual, many people have sought alternative Legionella assessment services because of their recent liquidation.
AMES Group are one of the UK’s leading Legionella experts, servicing and monitoring homes and properties across the UK. AMES Legionella Control is designed to keep legionella under control and ultimately stop the spread of the disease.
The collapse of Carillion’s Legionella control will have undoubtedly left people concerned over their Legionella safety. People who are most at risk from Legionella are:
- Smokers & people with respiratory diseases
- Heavy drinkers
- People with diabetes, heart disease or lung conditions
- The over-45s
- People with kidney disease
- Those with impaired immune systems.
Our Legionella Risk Assessment Control
AMES strongly advises that anyone who has seen their Legionella services or maintenance suddenly cut short, to contact us immediately so that we can make the necessary adjustments, changes or alterations to your previous risk assessment plan.
AMES offer the full range of services recommended by the government to tackle the risks involved in controlling legionella risk in water systems. You can get in touch with one of our Legionella experts by calling 0330 404 1458 or simply by using our contact form.