Construction and support services business Carillion was placed into compulsory liquidation yesterday morning after talks with the UK government to save the company were unsuccessful.

The firm had been providing facilities management services for WSHA since it was appointed last August.

The contract saw Carillion deliver WSHA’s planned maintenance programme, installing new kitchens, bathrooms and heating systems in tenant’s homes.

Following yesterday’s announcement, West of Scotland Housing Association told Scottish Housing News it had already been working to transfer the repairs and maintenance work to a new contractor.

The Association said in a statement: “West of Scotland Housing Association has been working with Carillion PLC over several months to transfer the day to day repairs and planned maintenance contracts to Robertson FM.

“We want to assure our tenants and owners that we are working towards a smooth transfer of services which will mean they will not be adversely affected by the recent announcement made by Carillion.”

The UK’s second largest construction company, Carillion had been in emergency financing talks with its lenders and the banks since last week after suffering from debts of £1.15 billion and a pension shortfall of over half a billion.

Its current Scottish projects include the extension of platforms at Edinburgh Waverley station and the new £745 million Aberdeen bypass.

The firm is also responsible for two facilities management contracts with the Ministry of Defence (MoD) worth £158m which cover 83 military sites in Scotland.