Hydrock places remediation arm into administration

Aaron Morby 9 months ago
Share

Engineering consultant Hydrock has decided to exit contracting putting specialist remediation arm QDS Contracting into administration with up to 95 jobs at risk.

The collapse comes just five weeks after management at Hydrock separated out the remediation business, rebranding what was then Hydrock Contracting as QDS Contracting.

Hydrock said the move followed a strategic review of its business which concluded that the loss-making remediation arm could no longer be supported.

The business was formed when Hydrock Contracting bought rival contractor QDS for £450,000 back in April 2013. But latest published results show that the combined firm was struggling with balancing risk and was burdened with legacy contracts.

2017 accounts for Hydrock Contracting show it lost £2.5m from a revenue of £24m.

The firm’s biggest job was for EDF at Hinkley Point C where it completed a £40m site remediation package.

Announcing this decision, Dr Brian McConnell, Hydrock group managing director, said that going forward, Hydrock would focus solely on its core business of multi-disciplinary engineering design and consultancy.

He said: “It is with great sadness and reluctance that as a board of directors we have had to take this decision.

“Remediation contracting work is increasingly high risk and low margin due to the number of organisations expanding their reach into what had traditionally been a very specialist and technical sector.

“This situation has resulted in work packages proving to be commercially unsustainable in the long term. Coupled with some challenging, legacy projects, this has led to our decision to place QDS Contracting Limited into administration.”

He added: “By contrast, Hydrock’s core business of multi-disciplinary engineering design and consultancy is well-established and successful, delivering for blue-chip clients, leading architects, developers and contractors across the UK.

“This business has grown markedly over the last three years to become the most significant part of the group in terms of turn-over, profit and staff numbers, with over 400 staff employed in our consultancy business.

“We’re regularly out-performing the competition to offer clients an outstanding multi-disciplinary design approach that unlocks complex sites, creates value from property assets, and secures planning permission for future development.”

 

 

Latest news

Essex contractor collapses after posting record results

Bolt and Heeks Ltd in administratron with 55 job losses
5 hours ago

Architects win post-Brexit talent deal

Designers win concessions but construction trade bodies still floundering
52 mins ago

Science park starts contractor hunt for £12m office scheme

Construction work up for grabs on trio of buildings near Liverpool
5 hours ago

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

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

M&E specialist Ameon replaces Imtech on Graham site

Subcontractor steps in to keep project on track
4 hours ago

Marshalls to buy rival concrete brick maker

Marshalls to buy Edenhall for up to £17m
5 hours ago

Argent gets go-ahead for major Tottenham Hale revamp

Contractor hunt to start soon with construction set to start next summer
1 day ago

Drylining boss banned for tax dodging

Insolvency Service investigators uncover huge CIS and VAT payment discrepancies
1 day ago

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

Demolition to start after London mayor nods through vast scheme
1 day ago

Modular building specialist goes into administration

Timber accommodation pod maker Carbon Dynamic runs out of cash on major contract
1 day ago

Structural engineer crushed under scaffold tubes

Housing giant and scaffold contractor fined a total of £180,000
1 day ago

Consultant MHBC merges with Cumming

City of London based firm now part of global giant
1 day ago

Crossrail delayed again as costs rise by another £2bn

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

Top housing association hires Lendlease resi chief

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

UK’s tallest Premier Inn plan in Docklands

Premier Inn books in at 30-storey mixed resi and hotel scheme
1 day ago

Kier wins £45m Cambridge schools campus phase one

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

Ian Lawson to advise McLaren on growth plans

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

Boost your online presence – join the Enquirer Directory

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

Interserve shares collapse as rescue talks continue

Shares slump to all-time low as firm now worth under £13m
3 days ago

Forrest falls into administration

Construction and housing divisions to cease trading while Engie buys refurb and energy contracts
5 days ago

Wates chief draws up first best behaviour code for private firms

Wates Principles to raise corporate governance standards at private firms
2 days ago

Plan for Bristol Finzels Reach £140m phase 2

Former Avon Fire and Rescue HQ to be transformed with 300 homes and offices
2 days ago

Labour calls for public contract bidding ban on Interserve

Shadow minister demands action to protect taxpayers
2 days ago

£750m East of England framework out for rebid

Construction work to be broken into four project value bands
2 days ago

Lakehouse staff let go as subcontractors quit sites

Workers made redundant and suppliers leaving sites just months after sale
5 days ago

Kier scores November contracts league double

£300m London luxury flats project extends Kier's lead at top of annualised league
5 days ago

Green light for £300m Norwich mixed used scheme

Weston Homes to build 1.2m sq ft scheme creating a "Covent Garden" style urban quarter
5 days ago

Former Kier boss joins McCarthy & Stone

Nigel Turner to lead drive to reduce construction costs
5 days ago

Vermont replaces Forrest on £100m Liverpool site

Elliot Group moves quickly to secure new main contractor as existing site team taken on
6 days ago

Bristol contractor goes into administration

Majority of 50-strong workforce at Helm Construction made redundant
6 days ago

Contractor services