Bardsley crashed owing £45m to trade creditors

Aaron Morby 4 years ago
Share

Manchester-based building contractor Bardsley collapsed owing £45m to unsecured creditors.

Paul Strutt, managing director of Bardsley Construction and chairman Roly Bardsley in happier times when the business was growing strongly
Paul Strutt, managing director of Bardsley Construction and chairman Roly Bardsley in happier times when the business was growing strongly

Administrators for the £80m revenue group said that claims from out-of-pocket trade contractors and suppliers were still being processed and it had yet to quantify the amounts owed.

According to a directors’ report, Bardsley Construction owed £31m, Bardsley Construction Holdings nearly £11m and Bardsley Group just over £3m.

Administrators from insolvency specialist Duff & Phelps said that they expected to raise sufficient funds to pay all prefered creditors and a small part of what is owed to unsecured creditors.

At the time of the collapse, Bardsley had 11 sites on the go with around £11m owed to the builder.

So far around £1.4m has been raised. There are also £5m of retentions being held by clients.

In a update to creditors, joint administrator Steven Munster said that Bardsley had been toppled by a toxic mix of challenging market conditions, contractual disputes with private clients and new work opportunities being delayed.

He said: “The main reason for the group’s failure was as a result of contractual issues in late 2018 on three major projects, which negatively impacted revenues by £3.2m, ultimately resulting in a trading loss of £2.6m being accrued for the year.

“New work streams had been slow in the first half of 2019 with several opportunities turned down due to the nature and risk related to them.”

He added that despite securing several new jobs in October and November, which strengthened the 2020 order book, work was not due to start until the New Year leaving the firm with no cash.

Latest news

Police ban mobile cranes from roads over Easter

Plant hire bosses livid as forces across the country extend abnormal load embargoes
19 hours ago

Director jailed for exposing workers to asbestos

Ten tonnes of asbestos insulating board stripped out by unqualified workers
23 hours ago

Site labour rates start rising again

Industry's biggest payroll firm says "it feels like things could be turning round"
1 day ago

Council finds extra £33m for Buckinghamshire link road

South East Aylesbury Link Road costs soar by nearly 30% to £147m
1 day ago

Quartet win £490m North West & Central railway works deal

Skanska, Kier, Octavius Infrastructure and Story Contracting bag major projects deal
1 day ago

Unite Students plans first major mixed-use scheme

Developer's first mixed BTR and PBSA project to be built in Edinburgh
2 days ago

Galliford Try names new finance director

Rentokil's Kris Hampson joins contractor to replace Andrew Duxbury
1 day ago

Council boss hits out at bat threat to £274m road job

Natural England could scupper scheme due to be built by Ferrovial
1 day ago

Hydrogen-fuelled diggers to be allowed onto highways

Government to raise barrier to widespread use of hydrogen fuelled plant in construction
2 days ago

Plans in for £118m Government hub in Darlington

Work pencilled to start later this year on new home for 1,450 civil servants
2 days ago

New contractor highlights Henry Construction jobs on website

New firm lists jobs by failed contractor to show its experience
2 days ago

Contractors line up for £2.6bn Anglian Water AMP8 deal

Eight big names land places on pioneering @one Alliance
3 days ago

McAleer & Rushe bags first major later living project

Work to start this month on 167-flat Royal Tunbridge Wells project
2 days ago

Kier starts first all-electric prison houseblock job in Kent

Next-generation fully electric T60 prison houseblock to be built at HMP Elmley
2 days ago

Keepmoat sees better times ahead in housing market

Profits dip in 2023 despite construction of record number of new homes
2 days ago

Vistry signs partnership deals for 1,900 mixed tenure homes

West Sussex former airfield and Newmarket sites to break ground
3 days ago

Turnover at Wates tops £2bn for first time

Construction division exceeds £1bn turnover as average contract value hits record high of £48.3m
3 days ago

L&G looks to sell Cala Homes in exit from house building

Insurance giant reported to be preparing to offload 3,000 homes-a-year developer
4 days ago

Multiplex profit almost trebles as margin hits 5.5%

Revenue jumps 20% to £675m as big London scheme complete
3 days ago

TopHat puts plans to open huge Corby factory on hold

Advanced manufacturing facility was due to employ 1,000 people
3 days ago

Laing O’Rourke lands Calderdale hospital job

Enabling works to start by the end of this year at West Yorkshire site
3 days ago

Go-ahead for £475m Sunderland film and TV studios

Work to start this year on first phase Corwn Work studios
3 days ago

Willmott Dixon set for £20m Stockport Community Hub

Planning decision expected in June on Marple leisure and health clinic project
3 days ago

Police hunt for blundering dumper truck thief

Raider drove into a fence before getting stuck on a bank
3 days ago

Beattie Passive files administration notice

Passivhaus pioneer has been in business for more than ten years
4 days ago

McAlpine set for £50m space and tech centre

Northumbria Uni sign pre-con deal for new satellite research hub
4 days ago

VolkerFitzpatrick seals £34m Kent road viaduct

Work to start next year on Sturry Link Road near Canterbury
4 days ago

Eight win £600m Scottish civil engineering framework

Balfour, Farrans, Graham and Morgan Sindall win major works lot
4 days ago

Site engineer crushed to death by excavator

22-year-old victim died just months after graduating from university
6 days ago

NG Bailey fined £135,000 after hospital site death

Worker died after striking overhead beam while navigating a mobile elevating work platform
7 days ago

Contractor services