Longcross Construction goes into administration

Grant Prior 4 years ago
Share

Longcross Construction has been placed in administration putting 140 jobs at risk.

The Enquirer understands that an administration notice was filed at the High Court yesterday on the £230m turnover business after the bank withdrew its support.

Longcross is based in Ashtead, Surrey with offices in London, Birmingham, Derbyshire, Exeter, Oxford, Sheffield and Sidcup.

Administrators from Deloitte are now running the company.

The firm’s engineering divisions – LX Engineering (North) Ltd, LX Engineering (South) Ltd and Longcross Fire and Security Ltd – are unaffected by the administration and are trading normally.

Longcross made its name in the retail sector winning a string of contracts with major supermarkets.

But latest accounts for Longcross Group stated the firm was actively looking for work outside its core food retail market which accounted for 35% of revenue.

Results for the year to March 31 2014 show Longcross made a pre-tax loss of £1.25m on a turnover of £231m.

The firm employed 315 people – 275 in the office and 35 on site.

The Enquirer first heard rumours about Longcross late last week when the word was going around sites that the firm was in financial trouble.

One site source said: “It’s a bit of a shock that this has happened.

“They seemed to be a growing company but I suppose the backside has fallen out of supermarket construction work recently.”

A spokesman for specialist credit reference agency Top Service said: “We have been advising our members not to give credit to Longcross for some time due to the large number of adverse reports we have been receiving, particularly over the last few months.”

The administration also leaves in limbo a major deal with developer Criterion Capital to deliver three major offices to flats conversions in Croydon, worth up to £48m.

Administrator Lee Manning said: “The Company had been quite focused on the grocery business where cutbacks have been made on store expansions and refits.

“The directors concluded that the Company was unable to continue to trade on this basis and resolved to place the Company into administration.

“Work on site has been suspended while the Joint Administrators are considering the position.”

 

 

Latest news

Balfour Beatty delivers 2-3% construction margin goal

Leo Quinn hits phase two target of Build to Last turnaround plan
2 days ago

Firms admit price-fixing of concrete drainage products

Precast firms took part in cartel for seven years
2 days ago

£300m Edgbaston mixed-use scheme advances

Phase one office project edges closer at New Garden Square regen scheme
2 days ago

All JCB staff get £1000 Christmas bonus

Over 7,000 staff earn biggest Christmas bonus in a decade
2 days ago

Robertson appoints Morgan Sindall director

Scott Wilson is now Robertson's business development director
2 days ago

Beeston leisure centre out to bid

Bidding starts on cinema project in £30m shops and 130 homes scheme
2 days ago

Scape MD to head Perfect Circle consortium

Victoria Bambini to lead AECOM, Pick Everard and Gleeds joint venture
2 days ago

EastEnders set rebuild soars £27m over budget

NAO slams BBC for planning failures and procurement delays
3 days ago

Spurs stadium delays continue into New Year

Man Utd match will be played at Wembley next month as contractors work through Christmas
3 days ago

Speedy buys construction training business for £9m

Plant hirer buys Glasgow-based Geason in construction training push
3 days ago

Summer start for £25m Carlisle flood defence plan

Flood defence plan to be revealed three years after storm Desmond hit
3 days ago

Amco wins Dunbar railway station upgrade

Work to start next summer on new platform and footbridge
3 days ago

Architects win post-Brexit talent deal

Designers win concessions but construction still in skills turmoil
3 days ago

Boost your online presence – join the Enquirer Directory

New site for suppliers and buyers showcases products, services and latest stories
8 months ago

Essex contractor collapses after posting record results

Bolt and Heeks Ltd in administratron with 55 job losses
4 days ago

Science park starts contractor hunt for £12m office scheme

Construction work up for grabs on trio of buildings near Liverpool
4 days ago

Hitachi to pull out of £14bn Anglesey nuclear power plant

Hitachi plans for Anglesey nuclear power plant now in doubt
4 days ago

M&E specialist Ameon replaces Imtech on Graham site

Subcontractor steps in to keep project on track
4 days ago

Marshalls to buy rival concrete brick maker

Marshalls to buy Edenhall for up to £17m
4 days ago

Argent gets go-ahead for major Tottenham Hale revamp

Contractor hunt to start soon with construction set to start next summer
4 days ago

Drylining boss banned for tax dodging

Insolvency Service investigators uncover huge CIS and VAT payment discrepancies
4 days ago

£2bn Elephant & Castle shopping centre scheme final go-ahead

Demolition to start after London mayor nods through vast scheme
5 days ago

Modular building specialist goes into administration

Timber accommodation pod maker Carbon Dynamic runs out of cash on major contract
5 days ago

Structural engineer crushed under scaffold tubes

Housing giant and scaffold contractor fined a total of £180,000
5 days ago

Consultant MHBC merges with Cumming

City of London based firm now part of global giant
5 days ago

Crossrail delayed again as costs rise by another £2bn

Mayor attacks previous management team who insisted project was "on time and on budget"
5 days ago

Top housing association hires Lendlease resi chief

Richard Cook will lead Clarion Group's ambitious development plans
5 days ago

UK’s tallest Premier Inn plan in Docklands

Premier Inn books in at 30-storey mixed resi and hotel scheme
5 days ago

Kier wins £45m Cambridge schools campus phase one

Northstowe education campus includes a new 1,800 pupil secondary
5 days ago

Ian Lawson to advise McLaren on growth plans

Former Severfield and Kier boss becomes consultant at expanding contractor
5 days ago

Contractor services