A construction company has gone into administration, jeopardizing over 400 jobs. Caldwell Construction Limited, established in 2007, has enlisted administrators from PKF Littlejohn Advisory. The company, specializing in groundworks and civil engineering, operates from offices in Stoke-on-Trent and Warrington, Cheshire.
Paul Smith, a Partner at PKF Littlejohn Advisory UK LLP, highlighted the tough conditions the construction sector has faced recently, citing rising costs, project delays, and market uncertainties. Despite reporting a turnover of £58.4 million last year, Caldwell’s operating profit was under £1 million. Smith noted that mounting pressures in recent weeks strained the company’s cashflow and operations.
Efforts by the PKF Littlejohn Advisory team in Manchester and Leeds to explore solutions for Caldwell proved unsuccessful, leading to the company’s insolvency. Joint Administrator Oliver Collinge stated that Caldwell’s directors made the tough decision to place the company into administration, with the focus now on assisting employees and stakeholders while evaluating the business’s status and assets.
In a separate incident, Consumer Energy Solutions in south Wales also entered administration, affecting nearly 300 employees. The company, with locations in Swansea and Rhondda Cynon Taf, ceased trading abruptly, leaving staff unsettled ahead of the holiday season. Consumer Energy Solutions attributed the restructuring and job losses to the conclusion of the UK Government-backed Energy Company Obligation 4 scheme.
James Saunders and Michael Lennon of KR8 Advisory Limited were appointed joint administrators of Consumer Energy Solutions Limited, with immediate cessation of operations. The company clarified that the administration does not involve other entities in the City Energy Group.
