U.K. Parliament to Look into Carillon Fiasco

A British parliamentary committee said on Monday it would hold an inquiry into government sourcing practices following the collapse of contractor Carillion.

Carillion has announced it is going into liquidation after the May government refused to bail out the construction and public services company.

The decision not to use taxpayers money to rescue Carillion was backed by many campaigners, but leaves tens of thousands of jobs hanging in the balance.

The company, which is heavily involved with several key infrastructure projects including HS2, employs 20,000 people in Britain alone, and 43,000 worldwide.

Carillion is the U.K.’s second largest construction and services company which was built out of the Tarmac business in 1999.

“We are going to conduct a new inquiry on sourcing public services: lessons to be learned from the collapse of Carillion,” said Bernard Jenkin, chairman of the Public Administration and Constitutional Affairs Committee. He said the inquiry would be broader that just Carillion.