Patton falls into administration

Grant Prior 4 years ago
Share

Northern Ireland based contractor Patton is in administration

patton

The firm has offices in London and Milton Keynes and works on projects across the UK.

The business will continue to trade while administrator Tom Keenan of Keenan CF explores all possible options for the future, including sale of all or parts of the company.

The firm, which has traded for around 100 years, has a total turnover of £140m and employs around 320 staff.

Neil Patton, Chairman of the business, said: “This is a very sad day for everyone connected to this family business and the communities we have served for the last 100 years.

“The Directors have looked at every possible option to avoid administration, but it became inevitable because of the general downturn in the building sector, pressure on margins and the resultant impact on cashflow.

“Unfortunately, the company has suffered from the widespread downturn impacting the construction industry and, as a result, has experienced a decline in trading performance.

“The financial position facing the business was such that administration was the last remaining option available to the Directors.”

News of Patton’s troubles came as latest figures from the Insolvency Service showed a sharp drop in construction failures.

But experts warned that falling workloads mean the pace of failures could pick up again.

Mark Wilson, Restructuring and Recovery Partner at Baker Tilly said: “Surprisingly, administrations in the construction industry for Q3 2012 are down a thumping 24% on the previous quarter.

“These numbers fly in the face of the Office of National Statistics numbers released last month, which revealed that construction output for the three months to August 2012 was 11.6% lower than the corresponding quarter in 2011.

“Forecasts for growth in the sector are not strong, with a generally held view that growth has stalled until 2014.

“Whilst the insolvency figures should be welcome news, there must be a concern that they are lagging behind the trends being currently experienced in the industry.

“We still consider this sector to be one that will continue to experience pressure over forthcoming months.”

Latest news

Morgan Sindall wins Liverpool Knowledge Quarter work

Liverpool City Council awards two contracts worth £47m on Paddington Village scheme
16 hours ago

Watkin Jones targets PRS as profits surge

Strong student accommodation pipeline builds platform for growth
23 hours ago

Morgan Sindall crowned 2016 contracts champion

Wates, Willmott Dixon and Mace join top 10 firms winning most work last year
23 hours ago

Ex-Balfour finance chief to join Mitie after another profit warning

Two-day board meeting at Mitie to review strategy
23 hours ago

Lendlease set for landmark £350m Google HQ job

Decision taken on vast King's Cross building contract last Thursday
2 days ago

U+I plans £300m of office refurb work

Developer links up with American firm to target sites in London, Manchester and Dublin
23 hours ago

Loxam ups bid for Lavendon to £459m

Belgian and French giants slug it out for control of Leicester-based powered access specialist
22 hours ago

Plans in for £40m Aberdeen FC stadium

Dons press ahead with 20,000-seat stadium and football academy plan
23 hours ago

London Council unveils Wood Green regen plan

Major Wood Green town centre scheme relies on Crossrail 2 reroute
23 hours ago

Laing O’Rourke to be replaced on £80m Whitechapel job

L&Q going back to market for new contractor on mixed-use scheme
2 days ago

Callum Tuckett joins Multiplex

New role for former Laing O'Rourke commercial director
2 days ago

Green light for £300m Luton regen scheme

Leisure and residential scheme to transform former Vauxhall car plant
2 days ago

Kier gears up for £85m Eastbourne mall expansion

Work to get underway on Arndale shopping centre extension
3 days ago

CITB plans levy cut in bid to survive

Training body offers to cut levy from 0.5% to 0.3% of staff wage bill
3 days ago

Wates starts £40m Kilburn housing scheme

Residential arm strengthens housing team as workload rises
3 days ago

£39m Headingley stadium revamp approved

Cricket and rugby stadium revamp needs new funding plan
2 days ago

Video posted online of O’Rourke demolition collapse

Footage shows collapse on Edinburgh job where safety exclusion zone prevented injuries: Watch now
3 days ago

Carillion to start £150m Moda Manchester PRS scheme

Financing deal paves way for NOMA high-rise residential tower
3 days ago

Hall Construction calls in administrators

Administrators seek buyer for 130-year old Hull contractor
6 days ago

Mabey profit soars to £12m after business revamp

Bridge and engineering specialist steps up business investment
3 days ago

All change as Balfour/Vinci HS2 chief joins Murphy

Peter Anderson joins Murphy next month as MD for its southern operations.
6 days ago

Lendlease to start £75m Ashford scheme

Building work to start on town centre cinema and hotel complex
3 days ago

Durham Uni selects £150m contractor panel

Refurbishment and new works panel to also be used by Newcastle University
3 days ago

Cracked beams halt work at Royal Liverpool hospital

Remedial work planned after cracks found in two concrete transfer beams
6 days ago

Balfour piling expert joins Aarsleff

Chris Pantling to lead expansion of sheet piling division
6 days ago

Vinci tipped for £130m Hull Uni student village

Work set to start on first of a dozen student blocks in May
6 days ago

Willmott Dixon set for £28m Aberystwyth Innovation Campus

Innovation and Enterprise Campus will consist of five building elements
6 days ago

Government awards £1.2bn roads funding to councils

Bin lorries to be fitted with hi-tech kit to spot potholes
6 days ago

Hendry review backs £1.3bn Swansea Bay tidal scheme

Tidal lagoon schemes are cost effective rules former energy minister
7 days ago

Carillion lands £49m rail upgrade contract

Contractor to deliver electrification of stretch of line between Edinburgh and Glasgow
6 days ago

Contractor services