George Birchall Service falls into administration

Grant Prior 4 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

Wates names Midlands construction chief

Matt Johnson promoted after just 10 months at family-owned builder
3 hours ago

Glencar lands £28m Peel Ports Liverpool shed job

240,000 sq ft Alexandra Docks warehouse will be five football pitches long
4 hours ago

Private equity giant buys United Living

US based investment group Apollo makes latest swoop on UK construction market
8 hours ago

Quartet secure Thirteen Group £500m new homes deal

Esh, Morris & Spottiswood, ReGen and Henry Boot secure spots on new build framework
8 hours ago

Luton Town FC to start new stadium before end of 2023

Talks already underway with contractors ahead of submission for detailed planning this summer
7 hours ago

Plans for renovation of historic Cardiff Market

Subject to planning and final funding work could start next year
8 hours ago

£53m race to cut Magnox reactor buildings down to size

Trawsfynydd reactor buildings to be reduced in height by a third
8 hours ago

Cyclist dies in lorry collision outside Keltbray site

Work shut down after fatal collision with truck delivering to central London site
4 days ago

Another demolition director banned after bid rigging probe

Brown and Mason boss becomes fourth director disqualified after cartel investigation
4 days ago

Five hospitals at risk of collapse added to new build programme

Weak concrete crisis and soaring costs force £20bn hospital programme rethink
5 days ago

Scottish South West Hub names new partners

Balfour Beatty joins construction partners for first time
4 days ago

RC frame specialist Getjar revenue tops £100m again

Profit margins nearly halved in face of labour and material price rises
4 days ago

London’s Camden Council advances £470m King’s Cross scheme

Camley Street scheme to consist of 350 homes and 200,000 sq ft of offices
4 days ago

Vinci issues fraud alert to suppliers

Subcontractors targeted by scammers posing as main contractor
5 days ago

Solar panels set to cover commercial buildings

Latest government taskforce targets power potential of non-residential roofs
4 days ago

Quantum Construction collapse costs suppliers £4.3m

Liquidator reveals scale of debts at Staffordshire contractor
5 days ago

Jaguar Land Rover set to build huge gigafactory in Somerset

The vast battery plant would be one of the biggest buildings in the UK
5 days ago

Tender race starts for £95m Victoria Tower repair job

Up to five firms will be invited to bid with work set to start by end of next year
6 days ago

Go-ahead for Brum iconic curved truss HS2 bridge

Balfour Beatty Vinci will carry out one of the largest bridge launches in the UK
6 days ago

Green light for Trafford Waters 85-bed care home

Montpelier Estate advances specialist dementia nursing home at major regeneration site
5 days ago

Fusion21 awards £300m building and refurb framework

Over 60 firms secure places on national building and refurb deals
6 days ago

Supply chain owed £3.8m after collapse of London builder

ME Construction went into administration in March
6 days ago

Ferrovial Construction UK plunges to £30m loss

£54m provisions for Silvertown Tunnel fixed-price contract tip firm into the red
7 days ago

HG Construction hits record revenue but profit slides

Material and labour inflation halves operating margin
6 days ago

Aggregate Industries buys big Midlands concrete block maker

Telford-based Besblock makes 1.7 million m² of aggregate building blocks a year
6 days ago

McAlpine starts Paradise Birmingham green office

10-storey Three Chamberlain Square office project finally gets underway
6 days ago

Wates regional MD joins McLaughlin & Harvey

John Carlin to lead expansion plans in the Midlands
6 days ago

Contractor collapse causes losses at Watkin Jones

Results at build to rent specialist also hit by redundancy costs
1 week ago

Helical to start £100m London office refurb job

Developer gears up to deliver 790,000 sq ft pipeline of projects in the capital
1 week ago

Barratt board requests chairman John Allan resigns

Chair designate Caroline Silver will take over three months earlier than planned
1 week ago

Contractor services