Ownership transfers from stakeholders including Atkins and Balour Beatty to administrator Ernst and Young
Metronet, the PPP Underground consortium, has gone into administration today.
The ownership of Metronet has transferred from its stakeholders, which include Atkins and Balfour Beatty, to Ernst and Young which has been appointed administrator.
It comes after Metronet was this week denied access to 拢550m of emergency funding by the PPP arbiter. It was granted just 拢120m and therefore said it could not uphold its contractual obligations.
A statement from Metronet said: 鈥淢etronet directors and staff are working closely with the PPP administrator and their staff and with London Underground to ensure that the infrastructure it is responsible for is safely maintained, and to ensure the continued safe and reliable operation of London Underground services.鈥�
It said that suppliers would be paid for invoices already approved, and going forward would continue to be paid 鈥渁t their usual rates and on existing terms and conditions.鈥�
Ernst & Young will have access to government funding put in place in a PPP administration model.
8 Readers' comments