The future of troubled engineering company Carillion is being discussed at high-level government meetings this weekend, the BBC understands.
The firm is a key government contractor for projects including the HS2 high-speed rail scheme, schools and prisons.
Sources say the firm has a “matter of days” as it teeters on the edge of collapse, with £1.5bn of debt including a pension shortfall of £587m.
Carillion is trying to reach an agreement with creditors.
Liberal Democrat leader Sir Vince Cable said the government must not bail out the struggling cons