First Carillion task force meeting 'constructive'

The government has described the first meeting of a task force aimed at supporting small businesses and workers affected by the Carillion crisis as "constructive".

The group, chaired by Business Secretary Greg Clark, met on Thursday.

It includes representatives from business, trade unions, construction trade associations and lenders.

Mr Clark said it aimed to give those affected the "information they need in this difficult time".

Carillion went into liquidation earlier this week, threatening thousands of jobs, about 20,000 of them in the UK.

It held about 450 governmental contracts, spanning the education, justice, defence and transport ministries.

Its failure means the government will have to provide funding to maintain the public services run by Carillion.

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In a statement, Mr Clark said: "[This meeting] got key people round the table to drive forward steps that we believe can give confidence to workers and the supply chain; support from banks, the ability to link workers with employment and support for apprentices."

Three banks have now agreed to provide support to small businesses affected by the crisis, along with HMRC.

The TUC, which attended the meeting, declined to comment.

Before the meeting, boss Frances O'Grady said: "Time is of the essence in dealing with this crisis. We need urgent action to protect jobs, pay and pensions. This cannot be a talking shop."

She said the TUC would be pressing the government to transfer private sector contracts to alternative providers in order to protect jobs, pay and pensions.

The TUC is also calling for protection for agency and zero-hours workers at Carillion projects, and a risk assessment of other large outsourcing firms.