Health bosses 'confident' Carillion woes will not put Midland Metropolitan Hospital in danger
Financial troubles at construction giant Carillion should not put a new £350 million 'super hospital' at risk, health chiefs have said.
The chief executive of Sandwell's hospital trust said he was confident the Midland Metropolitan Hospital, which is currently being built in Smethwick, would be completed despite much-publicised difficulties at the Wolverhampton-based firm.
The opening of the Midland Met, which will replace Sandwell General as the main hospital in the borough, has already been delayed by at least six months to spring 2019, due to engineering problems, including fitting pipes and wires.
After being asked at a recent board meeting whether Carillion's financial woes could put the completion of the new hospital in danger, Toby Lewis, chief executive of the Sandwell and West Birmingham NHS Trust, which will run the Midland Met, said the construction giant had 'financial governance' in place and that he 'felt confident that they will meet obligations for the next two years'.
Last month, Carillion was hit by gloomy forecasts of major job losses amid massive cost-cutting at the firm.
It is thought is thought Midland Met is one of four 'challenging' contracts that account for about half of an £845million write-down in the value of Carillion's construction work.
The company announced the sale of more assets this week in a bid to shore up its finances.
But Sandwell hospital bosses say they remain confident despite the troubles at Carillion.
Mr Lewis said yesterday: "We work closely with the senior team from Carillion to address any issues.
"The new Midland Metropolitan Hospital will open in 2019 and provide first class acute care facilities for Sandwell and West Birmingham patients for decades to come."
Carillion project director David Hollywood admitted the delay on opening Midland Met was 'disappointing' when it was announced earlier this year.
He said in May: "It’s disappointing for us as you can imagine. We don’t want to have to break such news to patients and users of the hospital.
“It is something that must be right first time. It has taken a little longer than Carillion expected but it is absolutely for the right reason.”
The Midland Met, which has been dubbed the region’s super hospital, will have around 700 beds beds and 15 operation theatres.
It will provide maternity, children’s and inpatient adult services to an estimated half a million people.
Carillion declined to comment.
