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New Royal Update - June 2018

As we reported earlier this month, the facilities management staff at our hospitals, who used to be part of Carillion have now transferred to a new company, called Avrenim Facilities Management Ltd, which has been established to exclusively provide these services to the Trust.

This has been set up as a subsidiary of The Hospital Company (Liverpool) who managed the contract with Carillion. All jobs have been protected and staff will continue to provide services to the Trust. Staff have employment contracts with broadly the same terms and conditions as before.

There will be no changes to the services provided to our hospitals. We are delighted that this matter has now been resolved for the staff involved and have thanked them for their efforts throughout this challenging time.

The Hospital Company, the Trust and numerous government departments continue to have extensive discussions to forge a way forward with the new Royal. We had hoped this would be achieved by the end of June, however an agreement hasn’t yet been reached.

Carillion’s collapse has created an unprecedented situation with complex legal and financial issues to resolve. Whilst we understand the concerns that you will have about the extended delay, we would like to assure you that achieving a restart of construction is an urgent priority for ourselves, funders and government departments.

"The negotiations are extremely complex involving discussions about ongoing liabilities, costs and risks."

The funders for the new Royal remain fully committed to the scheme and we will continue to push for a resolution.

In the meantime a structural engineer’s review on the construction is ongoing. This work will help to understand what the costs will be to complete the new Royal and the likely timescales. Costs are yet to be concluded.

"Structural issues can be completed in line with other outstanding areas and should not impact further on the timescales for construction."

Thank you again for your continued patience and support. We will keep you updated as the situation progresses.