Main contractor bad debts force painting specialist under

Grant Prior 5 months ago
Share

Painting and decorating specialist Wetheralds has been forced into liquidation  by a string of bad debts from main contractors.

The Leeds based specialist has been trading for 33 years and worked on high profile jobs across the UK.

But a series of unpaid and disputed bills and the legal cost of chasing bad debts has forced the firm under.

The final blow to Wetheralds was £150,000 outstanding for work for Simons Group which went into administration last month.

That came on top of £911,000 worth of unpaid work for Shaylor which went into administration this summer and other disputed  bills still owed by main contractors and clients.

Wetheralds director Mark Murphy told the Enquirer: “We’ve never seen anything like this in all our years in business.

“In all that time we’ve never not paid a supplier but bigger firms are a law unto themselves now.

“Just this morning I’ve had a pay less notice from a main contractor looking to knock thousands of our bill.

“The evidence for that is a few spurious photos of damage to our work which was done by someone else.

“Pay less notices and major firms not paying are driving good firms out of business.”

A letter sent to suppliers by Wetheralds said: “On the strength of advice from different specialist lawyers as to the recoverability of monies contractually due, we have soldiered on.

“But months down the line, little if any progress has been made, apart from some eye watering legal bills none of the debts were secured or cleared. 

“The amounts involved for a company of our size are unsustainable.

“I am very sorry for the impact this will have on you as a longstanding supplier, but trust that in the circumstances you will understand the reasoning behind the decisions.”

Latest news

Wates to furlough a quarter of its workforce

1,000 staff furloughed. Pay cuts for remaining workers won't apply people on live sites
7 hours ago

BAM confirmed for Manchester £350m indoor arena

Preferred design and build partner named for UK largest indoor arena
11 hours ago

Sprinklers to be compulsory in high rise flats over 11m

Fresh fire tests confirm certain high pressure laminate panels must be replaced
32 mins ago

Network Rail switches to immediate supplier payment

Cash is now being released faster to contractors and suppliers
12 hours ago

Solar shading specialist starts making Covid-19 face shields

While fencing specialist CLD sets up rapid response team to protect vital NHS and military supplies
10 hours ago

Keep the industry updated by joining the Enquirer Directory

Membership lets construction know you are open for business now or in the future
2 years ago

McAlpine to furlough most of 2,000 workforce

"If we don’t act quickly, we will run out of cash before this pandemic is over"
18 hours ago

Boris urged to save UK construction industry

Industry leaders demand tax breaks, retentions returned and quick payment from clients
2 days ago

Laing O’Rourke cuts pay for 8,000 workers

Contractor confirms cuts of up to 30% as part of "war effort" during coronavirus crisis
1 day ago

Free training cash offer extended to larger companies

CITB grants of up to £25,000 now available to bigger contractors
1 day ago

£160m retirement housing framework winners

Anchor Hanover Group's national framework will deliver schemes from £1m to £25m-plus
17 hours ago

Chinese developer names builder for London debut scheme

Bennett Construction bags first phase of £380m Mill Hill scheme
16 hours ago

Coronavirus update for construction: Thursday April 2

The latest advice and information from industry trade bodies
17 hours ago

Marlborough Highways signs £100m London deal

Eight-year contract for Hackney Council covers road surfacing and street lighting
16 hours ago

Amey wins back £400m Scottish South West highways upkeep

Transport Scotland confirms Amey will take over from Balfour's Transerv consortium
18 hours ago

Kier closes Reading office with over 40 job losses

Lack of pipeline work and cost-saving plan cited as reason for closure
2 days ago

Amey pledges full pay for sick and self isolating workers

U-turn on statutory sick pay after claim workers faced wealth or health choice
2 days ago

Taylor Wimpey cuts exec pay and bonuses

Board takes 30% pay cut and cancels today's 2% annual pay increase
2 days ago

Secretary of State pays tribute to construction industry

Letter from Alok Sharma spells out current official government guidance on keeping sites open
2 days ago

Amey/McAlpine told to start M6 junction 19 job

Enabling works get underway on £50m Cheshire motorway junction
2 days ago

Clugston and Covid 19 sink Leeds civils firm

Coronavirus contract termination with zero payment notice proves final straw for Oaklands
2 days ago

Giant Battersea Power Station site shut until end of April

Client decides to extend work pause after discussions with Mace and McAlpine
2 days ago

Coronavirus update for construction: Wednesday April 1

The latest advice and information from industry trade bodies
2 days ago

Network Rail calls for fresh engineering ideas for tunnel upgrades

Hunt on for less disruptive solutions to upgrading ageing railway tunnels
2 days ago

Police stops create more confusion for contractors

Sites can stay open but officers are trying to stop builders getting to work
3 days ago

William Hare chief executive dies after contracting coronavirus

David Hodgkiss was the grandson of steel company founder William Hare
3 days ago

Costain banks on critical projects to save 50% of revenue

Directors join ranks of firms taking 30% pay cut
3 days ago

Plans go in for £258m Birmingham resi tower

Moda submits 722 homes for rent plan as it looks beyond coronavirus epidemic
3 days ago

Coronavirus update for construction: Tuesday 31

The latest advice and information from industry trade bodies
3 days ago

BAM Construct restarts work on sites

Mace pauses all work for another week under "rolling suspension"
3 days ago

Contractor services