What Carillion's Collapse Means for UK Construction Workers
On 15 January 2018, Carillion, the UK's second-largest construction company, officially entered liquidation. With only £29 million remaining in the bank against debts exceeding £1.3 billion, insolvency became unavoidable. Carillion was a major government contractor and a key service provider for essential public services including schools, hospitals, prisons, and the armed forces.
The collapse triggered immediate and far-reaching impacts across the UK economy, particularly within the construction sector. Approximately 43,000 individuals were employed globally by Carillion, with around 20,000 jobs based in the UK. Staff faced uncertainty, sudden redundancies, and the abrupt cessation of numerous public and private projects.
Major infrastructure projects affected included:
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HS2 (High Speed Two): Carillion was part of a joint venture delivering early works for the high-speed rail network.
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Highways England Projects: Including motorway construction and maintenance contracts.
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Public Sector Facilities Management: Providing cleaning, catering, and maintenance services to schools, hospitals, and government offices.
Abandoned construction sites, project delays, and disrupted services were immediate consequences. Many subcontractors and suppliers, reliant on Carillion’s contracts, also faced financial ruin.
Government Response and Sector Recovery
In response, the British government took swift action to stabilise critical public services. Temporary funding measures were introduced to keep schools, hospitals, and military facilities running. Contracts were either brought under government control or reassigned to other private sector firms.
Meanwhile, the Insolvency Service, supported by PwC as Special Managers, was tasked with winding down Carillion’s operations and helping staff transition. Some private firms, including Kier and Balfour Beatty, secured new contracts to continue vital construction projects.
The government also launched investigations into corporate governance and auditing practices, highlighting the importance of stronger oversight in public sector contracting.
While the collapse was disruptive, it also accelerated reforms in procurement standards, risk management, and financial transparency across the construction sector.
A Measured View: Opportunities Beyond the Headlines
Despite the initial shock, the demand for skilled construction professionals remains strong. Many halted projects have since been reassigned, creating fresh employment opportunities.
The need for housing, transportation, and infrastructure development continues to drive demand across the UK. Skilled workers who upskill, maintain certifications, and remain adaptable are well-positioned to thrive.
Practical Steps for Affected Workers
If you were impacted by Carillion’s collapse, consider the following steps to reposition yourself within the industry:
1. Leverage Your Network
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Many independent and medium-sized contractors are actively seeking skilled labour.
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Reach out to local builders and contractors directly.
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Trial work placements can quickly lead to long-term opportunities.
2. Explore Self-Employment Options
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Experienced tradespeople may find self-employment a rewarding path.
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The domestic renovation market remains strong across the UK.
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Building a client base through networking and delivering quality work can yield lasting success.
3. Upskill and Enhance Your Employability
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Advancing your qualifications can improve job prospects and earning potential.
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If you hold a CSCS Green Labourer Card, consider upgrading to:
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SSSTS (Site Supervisor Safety Training Scheme)
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SMSTS (Site Management Safety Training Scheme)
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These certifications remain valid for five years and are highly respected by employers.
Ensure your CSCS Card is current. At The Builders Academy, we offer:
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CSCS Level 1 Health & Safety Course — 100% online, flexible study, same-day results.
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CITB Health, Safety & Environment Test — Available at CITB-approved centres.
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Free Mock Tests to fully prepare for CSCS and CITB exams.
Access Your CSCS Training and Free Mock Tests
Support for Apprentices
Carillion apprentices were not left without support. The Construction Industry Training Board (CITB) intervened promptly, helping displaced apprentices continue their training and secure alternative placements with accredited training providers and construction firms.
If you are an affected apprentice, now is the time to continue your qualifications and build a sustainable career within the industry.
Final Thoughts
Carillion’s collapse is a sobering reminder of the risks associated with large corporate structures. However, it also underscored the resilience of the UK construction sector.
Projects are progressing. New opportunities are emerging. Skilled, qualified workers remain essential.
By focusing on gaining the right qualifications, utilising free training tools like mock exams, and being adaptable, you can build a stable and rewarding career.
For expert guidance, training, and support, contact The Builders Academy:
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Visit: www.thebuildersacademy.co.uk
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Email: [email protected]
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Phone: 0203 345 6575
Build your future with confidence. Start your training today.