But the heating and plumbing division has escaped the administration and continues to trade.

Gavin Ward  employed around 50 staff and specialised in the government grant funded sector for central heating and home insulation, particularly through the last Government’s Warm Front scheme across the north west.

The Coalition Government’s decision to scrap the scheme last year is understood to have seen sales fall leading to a cash crisis.

“A cut-throat trading environment and major changes to government policy in how domestic insulation services and repairs are funded is hitting our industry hard,” a spokesman told the Burnley Express.

He added: “It has become necessary to focus Gavin Ward Ltd’s efforts solely on the heating side of the business,”

“As a result, it is with regret that I can confirm the closure of the company’s insulation and building services divisions, with the loss of those people employed in that division.

“The heating and plumbing division will remain with us. We must now look forward as a company.”

The company, which employs around 50 people, provides heating, insulation, renewables, plumbing and building services from its base in Northbridge House, Elm Street.