Developer's money woes prompt plan B option for transport bosses

Developer Interserve, which said it was working on a plan to cut debts reported at £650 million, is said to have lost almost all its value in five years.

South Yorkshire Passenger Transport Executive said it was aware of and monitoring the company’s situation but still hoped the year-long revamp of the bus station and car park would be completed as planned.

SYPTE’s director of customer services, Tim Taylor, said: “We are aware of recent press coverage of Interserve’s financial circumstances, and will continue to monitor the situation closely. 

“We have mitigation plans in place should they be required but at present we are working hard at completing the work with Interserve as our construction partner on this key project.”

The interchange project was currently on track to be finished early next year, Mr Taylor said.

“We continue to make substantial progress on the works required, including the glazing, fixing of electrical and mechanical systems, car park surfacing, ceiling cladding and structural steelwork,” he added.

“We have recently received the required materials to start working on the interchange floor tiling and external cladding.  

“The new doors, CCTV, customer information screens and signage for the interchange have all been signed off in the past two weeks and are due for installation just after Christmas.

“The refurbished interchange will be lighter and have a fresher look, improving its safety.”

Interserve said it was “looking at all options to deliver the optimum capital structure for the group to support its long-term, sustainable development”.

The Government said it would continue to consider Interserve for tenders for major public works, while Labour called for the company to be ruled out of such deals.

Interserve’s deleveraging plan is due to be published in the new year.

Chief executive Debbie White said: “The fundamentals of our business remain strong. The deleveraging plan will give Interserve a strong long term capital structure and provide a solid foundation on which to build the future success of the group.”