George Birchall Service falls into administration

Grant Prior 6 years ago
Share

Building services maintenance contractor George Birchall Service has been placed into administration.

Hundreds of workers at the firm were sent home without pay last Friday as notifications were sent out that they had been formally made redundant.

The services arm of George Birchall employs 400 people on sites across the country.

Letters have also been sent out by administrator FRP Advisory calling on workers to return tools, equipment and phones.

The firm was left as the main trading business when its sister mechanical and electrical contracting division was placed into administration last September with the loss of 141 jobs.

At the time director Ian Birchall said: “We would like to make it clear that our larger facilities management and maintenance business, George Birchall Service Ltd continues with business as usual and continues to employ over 400 people at its offices in Newcastle-under-Lyme and London.”

One worker said: “We were told on Friday that we wouldn’t be paid and some people were escorted off site.

Another told the Enquirer: “This has happened towards the end of the month and left us all out-of-pocket.”

FRP Advisory said it was now assessing options for the transfer of remaining customer contracts and a small number of employees at the company’s Newcastle-under-Lyme and London offices have been retained to support an orderly wind down.

Steven Stokes, partner at FRP Advisory in Birmingham, said: “George Birchall Service had suffered severe cashflow pressures in recent months, which forced the business into administration.

“Every attempt had been made by the directors to secure a more positive outcome for all concerned, however, when it became apparent in recent days that a sale of the business could not be achieved, the extremely difficult decision was made to place the company into administration.

“Our immediate priority is now to support affected employees and work closely with clients to ensure the smooth transition of contracts.

“We are hopeful that this will include the further transfer of a significant proportion of the workforce to alternative contractors.”

Companies House records show the latest accounts for George Birchall Service Ltd are overdue.

Results for the year to March 31 2017 show the company made a pre-tax profit of £246,000 from a turnover of £21.7m.

Latest news

BSR backlog swells as new build approvals run to 36 weeks

First official Government figures expose full extent of Gateway project logjam
1 hour ago

Repair slowdown drags down construction output

New work activity rises in May despite overall 0.6% output fall
1 hour ago

Equans suffers £29m loss as new build exit drags on

Refocused retrofit contractor still dogged by legacy losses despite profitable core work
53 minutes ago

Scaffolding trade body NASC facing discrimination claim

Former training manager to take trade body to Employment Tribunal
2 hours ago

ACS lands lead role on Stafford transformers lab

Contractor to start main £20m expansion in live site environment
59 minutes ago

GRAHAM sees profits rise despite dip in turnover

Record order book as contractor confident about future prospects
2 hours ago

Nixon Hire sells 200-strong welfare van fleet to Sunbelt

Sunbelt more than doubles mobile site welfare capability
24 hours ago

Henry family and directors face claims topping £31m

Administrators chasing dividend payout, unpaid loans and family benefits
1 day ago

Vistry eyes second-half affordable homes work surge

Government rent reforms and funding pledges power-up work pipeline
1 day ago

JV picked to progress Severn-Thames water transfer plan

AtkinsRéalis and Stantec to map pipeline or canal link
1 day ago

Police catch on the run construction boss

Director missing for months after failing to appear in court after site death
1 day ago

Green light for £800m Poplar estate revamp

Construction to start next year at Teviot Estate
2 days ago

Civil engineering trade body boss leaves to join Mace

CECA Chief Executive Alasdair Reisner joins consulting arm
2 days ago

House builders offer £100m to drop competition probe

CMA set to strike deal with cash going to affordable housing programmes
2 days ago

Transport Secretary axes £1.4bn road jobs in south east

Alexander pulls plug on A12 and A47 upgrades in budget crackdown
2 days ago

Fusion taps HG for first Birmingham student job

622-bed Bristol Road scheme kicks off contractor’s Midlands push
2 days ago

VolkerWessels UK parent group to sell core Dutch business

UK, German and North American operations remain with Dutch owner Reggeborgh
2 days ago

Union claims sex pests are rife in construction

Shock assault figures following Unite survey of 100 workers
2 days ago

Green light for two more City of London towers

Combined 77 more storeys of office schemes approved
3 days ago

John F Hunt starts enabling works on £200m Strand Premier Inn

Main contractor due to be appointed this summer
3 days ago

£200m deal unlocks full 1,000-home Digbeth scheme

Caddick has started early works on the Moda-led Stone Yard project
3 days ago

10 big road and rail upgrades get funding green light

£1.3bn A66 dualling, Simister Island junction upgrade and Midlands Rail Hub get funding
3 days ago

Design, build and finance plan for £1bn Cheddar 2 reservoir

South West Water starts pre-bid market engagement on 75km pipeline and reservoir
3 days ago

Illegal working blitz catches Indian builders

Home Office raids target migrants working cash-in-hand on sites
4 days ago

Major Sizewell concrete win for local supplier

Eastern Concrete Ltd wins its biggest ever contract
3 days ago

SIG chief put on gardening leave

New CEO appointed as Gavin Slark steps down immediately
3 days ago

Adjustable hard hat launched for different hair types

AtkinsRéalis initiative will also make PPE more comfortable for bald builders
3 days ago

Lynch appeal sees £800,000 abnormal load fine reduced to £10k

Judge rules original fine was was 'manifestly excessive'
4 days ago

Government calls up firms to explore PPP healthcare projects plan

New public-private partnership idea to be scoped out with contractors
4 days ago

Balfour Beatty terminates Danny Sullivan labour deals

Around 500 workers on HS2 will be moved to alternative agencies or be taken on direct
6 days ago