Carillion reaches financial close on Liverpool hospital project

16th Dec 2013 08:04

Carillion said it has achieved financial close on the 335m-pound Royal Liverpool University Hospital project. The UK facilities management and construction services company will invest £15.5m of equity in the project, alongside Scottish Widows Investment Partnership who will invest a similar amount.The group expects to generate £200m of revenue from its investment over the 30 years of the concession contract. Carillion will also build the new hospital for the Royal Liverpool and Broadgreen University Hospitals NHS Trust at a capital cost of £335m and deliver non-clinical support services that are expected to be worth £100m over the concession period. Work on site is due to start early in 2014, with completion scheduled for 2017. The new hospital will be built next to the existing hospital, which will be demolished once services have been transferred. The new hospital will be the largest all single-bed hospital in the country with 646 beds, including a 40-bed Critical Care Unit, 18 operating theatres and one of the largest emergency departments in the North West. Construction of the new hospital is expected to contribute around £240m to the local economy, creating the equivalent of some 750 full-time jobs."We are delighted to have achieved financial close on this exciting new hospital, which will be our sixteenth [public private partnership hospital] in the UK," said Chief Executive Richard Howson. "We look forward to working in partnership with the Royal Liverpool and Broadgreen University Hospitals NHS Trust to deliver a state-of-the-art hospital that will bring substantial benefits to the people of Liverpool."RD