A major construction company has gone into administration, endangering 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.
PKF Littlejohn Advisory’s Partner, Paul Smith, highlighted the construction industry’s tough trading environment, citing rising costs, project delays, and market uncertainty. Despite a reported turnover of £58.4 million last year, Caldwell’s operating profit was under £1 million, leading to severe cash flow and operational challenges.
Efforts by the Manchester and Leeds teams at PKF Littlejohn Advisory to find solutions for Caldwell proved unsuccessful, ultimately leading to the decision for administration. Joint Administrator Oliver Collinge expressed the focus on supporting employees and stakeholders while evaluating the company’s assets.
In a separate incident, Consumer Energy Solutions, an energy provider in south Wales, recently collapsed into administration, affecting nearly 300 employees. This company has sites in Swansea and Rhondda Cynon Taf, with a sudden cessation of operations announced on their website.
Staff at Consumer Energy Solutions were shocked to learn about their job risks during a Teams call right before Christmas. The company attributed the restructure and job losses to the conclusion of the UK government’s Energy Company Obligation 4 scheme, which supported home energy upgrades. This scheme is set to end this year, impacting the company’s operations.
Administrators, James Saunders and Michael Lennon of KR8 Advisory Limited, were appointed for Consumer Energy Solutions, leading to an immediate halt in customer services. The administration affects only Consumer Energy Solutions Limited, not other entities within the City Energy Group.