Terrapin's hospital deal on hold

by Michael Gordon



Hospital bosses have admitted that a new £3 million extension will not open on time after Terrapin, the original contractor, pulled out.

Plans have had to be drawn up to install temporary facilities at Friarage hospital in Northallerton, North Yorkshire, to cope with the expected increase in patients, until the unit has been completed.

Terrapin withdrew from the project following difficulties with financing a contract lease arrangement. Desperate to complete the project on time the hospital trust began consultations with contractors, including those who lost out in the original tender stage.

Several contractors expressed an interest to become involved. However, Terrapin has now resolved its financial complications and has expressed a wish to resume work.

Steve Spoerry, director of operations at Friarage, told CJ: "Terrapin withdrew from the project for a while but it has now expressed an interest in proceeding again.

"Terrapin has now resolved its problems, but in the meantime we approached other companies and we will consider what action to take next at a Trust meeting next week. We may well choose another contractor, but that is by no means certain."

A spokesman for Terrapin said: "We have not withdrawn from the project. Our offer is on the table and is being considered by the Trust.

"We have never had an order from them, we were in negotiations. We have resolved the lease agreement, and we want to continue with the work."