Siglion says it hopes to resume work on the former Sunderland Vaux Breweries base quickly

to restart work on a flagship project following an outsourcing company’s collapse, its boss yesterday claimed.

Siglion chief John Seager says the organisation remains focused on overcoming a standstill in the scheme, which is spearheaded by the overhauling of Sunderland’s former Vaux Breweries site.

The work was paused last week following the liquidation of Carillion.

Siglion was launched by Sunderland City Council alongside Carillion as a joint venture to improve business, housing and leisure provision across Wearside.

At the heart of its plans is a 60,000sq ft office development on the old Vaux site, while the former brewery base is also earmarked to become home to retail, residential and leisure areas.

Further homes are planned for the Chapelgarth area, with the blueprint extending to homes, restaurants and leisure spaces in Seaburn.

Reiterating a previous pledge from council officials, Mr Seager, Siglion chief executive, said work is being carried out behind the scenes to bring an end to the impasse.

He said: “Vaux is a hugely significant development for Sunderland and, understandably, there has been some concern about what the liquidation of Carillion means.

“The site has been locked down by liquidator PWC due to the closure of Carillion, but we are doing everything in our power to ensure work resumes as quickly as possible.

“We have been working tirelessly on the process to move forward as quickly as possible. Our absolute priority remains to deliver a development the city can be proud of.”

Mr Seager added Siglion is not inviting approaches from companies looking to take over construction duties.

Carillion’s collapse has had an impact on the wider North-East, with engineer Van Elle, based in Washington, Wearside, last week warning it could face a £1.6m hit from the business’ failure.

The company had worked alongside Carillion to deliver track improvements and maintenance on behalf of Network Rail, but its former partner’s breakdown left it awaiting payment for several contracts.

Carillion’s liquidation also raised fears over the future of The Acorns, a part-built 70-home development in Spennymoor, County Durham.

The scheme had fallen under Carillion’s property umbrella, but Buccleuch Property and Impec Investments moved quickly to take on the venture.

Bosses say the estate will be delivered under the Maple Oak Homes brand, with existing contractor Partner Construction continuing to build the properties.