A company in the construction sector has entered administration, endangering over 400 jobs. Caldwell Construction Limited, established in 2007, has enlisted administrators from PKF Littlejohn Advisory. The firm, 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, mentioned the industry’s tough trading environment, citing rising costs, project delays, and market uncertainties. Despite generating a turnover of £58.4 million last year, the company’s operational profit remained below £1 million. Smith noted that recent weeks had intensified pressures on Caldwell, straining its cashflow and operations.
Efforts to explore solutions for the struggling business proved futile, leading to the decision to move into insolvency. Joint Administrator Oliver Collinge stated that the focus now is on supporting employees and stakeholders while evaluating the company’s assets.
In a separate incident, Consumer Energy Solutions, a provider in south Wales, also collapsed into administration, affecting nearly 300 employees. The company, with locations in Swansea and Rhondda Cynon Taf, ceased trading abruptly, leaving staff shocked and uncertain about their jobs. The company attributed the restructure and job losses to the conclusion of the UK Government-backed Energy Company Obligation 4 scheme that it was part of, aimed at facilitating energy-saving home upgrades like insulation and solar panels.
Administrators were appointed for Consumer Energy Solutions, halting any further customer work. The administration solely impacts Consumer Energy Solutions Limited and not other entities within the City Energy Group.