THE National Access & Scaffolding Confederation (NASC) has called on the UK Government to ‘urgently’ provide financial assistance and support for scaffolding and access contractors following the collapse of construction giant ISG.
The trade body said the ‘unprecedented development’ has left hundreds of subcontractors and their employees facing uncertainty, with many SMEs in the scaffolding and access sector ‘particularly vulnerable to potential insolvency’.
NASC said the ISG news threatens the livelihoods of ‘countless’ scaffolding and access workers across the UK, who now face the prospect of unrecoverable debts and ‘severe’ logistical challenges of having equipment tied up on sites.
The organisation is drawing comparisons to the Carillion bankruptcy, which had ‘devastating ripple effects’ across the construction supply chain.
NASC is now urging policymakers to: establish a financial safety net for SMEs in the construction sector to safeguard them against unrecoverable debts; facilitate the swift payment of hire through the client or return/recovery of equipment tied up at stalled construction sites; and ensure greater oversight of large construction companies to prevent further collapses.
“The collapse of ISG represents not only a financial blow to subcontractors but also a logistical nightmare for scaffolding companies who now face weeks of uncertainty over the fate of their equipment and contracts,” said Clive Dickin, CEO of NASC. “We urge government to take immediate action to avoid a repeat of the Carillion disaster and protect the thousands of workers and small businesses who are crucial to the UK’s construction industry.”
NASC added that it will continue to monitor the situation closely and work with industry partners and government bodies to advocate for the necessary support to shield scaffolding and access contractors from the full brunt of this collapse.
