Bypass work to continue after firm’s collapse

editorial image

Work on the Aberdeen bypass will continue despite the announcement that construction giant Carillion has gone into liquidation.

The company is a key partner in the £745 million project to provide a new 36-mile route designed to reduce road congestion in the North-east.

Transport Scotland has said the impact of the company's liquidation should be mitigated by its partners in the AWPR scheme.

Transport Scotland has said the impact of the company's liquidation should be mitigated by its partners in the AWPR scheme.

It was awarded the contract in December, 2014, along with Balfour Beatty and Galliford Try as part of a joint bid under the name Aberdeen Roads Limited.

A spokesman for Transport Scotland, which manages the project, said: “We expect that any impact on the AWPR will be mitigated by the fact that the Carillion’s construction partners are joint and severally liable and as such, the other two construction partners remain fully responsible for the completion of the works.

“Aberdeen Roads Limited, the construction joint venture for the project, confirmed recently that they remain committed to the delivery of this project.”

Philip Green, Carillion’s chairman, said the decision had been taken despite “huge efforts” to restructure the company and deliver a sustainable future.

He added: “In recent days, however, we have been unable to secure the funding to support our business plan and it is with the deepest regret that we have arrived at this decision.

“We understand that HM Government will be providing the funding required by the Official Receiver to maintain the public services carried on by Carillion staff, subcontractors and suppliers.”