HKS and NBBJ’s £335 million Royal Liverpool Hospital scheme is likely to suffer ‘significant delay’ due to the collapse of main contractor Carillion, a hospital chief has admitted
Aidan Kehoe, chief executive of the Royal Liverpool and Broadgreen University Hospitals Trust, said it was ‘proving difficult’ to get subcontractors back on site at the massive project.
The development – to create a 94,000m² hospital providing about 650 beds and 20 operating theatres – was initially scheduled to complete last year.
But the discovery of cracks in two concrete beams required significant remedial work and pushed the handover date back to spring 2018 before Carillion fell into liquidation last month.
Kehoe said in a video message today that detailed talks were taking place between the hospital, the subcontractors and Carillion’s official receiver aimed at getting the project finished.
‘At this stage the preferred option for the hospital company is to work with the existing subcontractors and Carillion staff on the scheme to ensure continuity,’ he said.
‘That involves complex discussions with those subcontractors to ensure we can get them on site as early as possible … but the discussions are complex. Many of the subcontractors are experiencing severe financial difficulties as a result of Carillion’s collapse and it is therefore difficult at this stage to get those subcontractors back on to the site.’
He added that it could take months for the situation to become clear.
‘I anticipate that the conversations between ourselves, the hospital company, the subcontractors and the official receiver will take some time and therefore I would expect a significant delay on completion of the hospital scheme.
‘That said, we remain 100 per cent assured the hospital will be completed.’
HKS and NBBJ – which won the scheme back in 2013 – have been contacted for comment.