Shareholders and creditors, not taxpayers, should take the financial “hit” of saving struggling construction giant Carillion from collapse, the Liberal Democrat leader has said.
Vince Cable rejected suggestions the company should benefit from a Government bailout to avoid major public sector projects being plunged into chaos.
Carillion is a key supplier to the Government and has contracts in the rail industry, education and NHS.
It has met lenders to discuss options to reduce debts, recapitalise and/or restructure the group’s balance sheet.
Shadow business secretary Rebecca Long-Bailey said on Friday the Government must “stand ready to bring these contracts back into public