More money down the drain as another Carillion supplier flags up hit

A drain cleaning business has become the latest firm to be hit by Carillion’s collapse.

Aim-listed Franchise Brands includes Metro Rod which unblocks and looks after drains for FM companies, retailers and social housing operators.

The group, which was co-founded 10 years ago by the co-owner of Saracens rugby union club, Nigel Wray, said it would have to make a provision of £316,000 because of money owed by Carillion to Metro Rod.

In a trading update, Franchise Brands said: “The board notes the liquidation of Carillion, whose various facilities management clients accounted for approximately 3% of Metro Rod’s system sales last year. We have fully provided for all outstanding amounts, which totalled £316,000, as an operating exceptional item in the results to 31 December 2017.”

It added that despite the hit the firm expected annual results to be ahead of expectations..