CITB levy row sparks £10.5m training grant claim

Grant Prior 5 years ago
Share

A multi-million pound row between payroll specialist Hudson Contract Services and the CITB has intensified.

Hudson managing director Ian Anfield delivers two pallet loads of evidence backing its claim for £10.5m back in training grants
Hudson managing director Ian Anfield delivers two pallet loads of evidence backing its claim for £10.5m back in training grants

The Court of Appeal ruled in the CITB’s favour this week stating that Hudson was within scope of it’s levy raising powers and owed the training body £7.9m.

Now Hudson has hit back with a £10.5m grant claim and dismissed the latest ruling as “ridiculous.”

The long-running dispute between both sides started in 2014 and the current judgement focuses on levy-money owed in 2016.

Ian Anfield, Hudson managing director, said: “The latest judgment opens up the prospect of Hudson Contract Services Ltd, which had a staff of 30 payroll and auditing employees, becoming the largest levy payer since CITB was set up in the early 1960s.

“The levy at the centre of this dispute is for 2016 and amounts to £7.9m. This would be double the levy typically paid by a major contractor if it ever falls due.”

Hudson has consistently insisted that it is not a construction company because it did not enter into contracts to carry out construction work and simply provided business services to small and medium-sized construction firms.

It has now issued a protective grant claim of £10.5m to the CITB for 2016 containing a mountain of supporting evidence which was delivered on two pallet trucks in February.

CITB spokesman Mike Hobday said: “The Levy due from Hudson in this case will enable CITB to invest in skills for the future of the construction industry.

“We have for some time invited Hudson to submit a grant claim for any construction-related training that they identify, organise and fund.

“CITB will of course consider the new claim in accordance with the scheme rules.”

Anfield added: “We don’t know exactly how or when this dispute will end. We will either be found to be out of scope at the next round of appeal, or there will be an offset of grant against levy which could itself involve the courts.

“While we have far more important issues to deal with for clients of our other businesses – such as IR35 and reverse charge VAT – the CITB dispute will rumble on in the background for as long as it takes to achieve the correct result.”

 

Latest news

Balfour Beatty terminates Danny Sullivan labour deals

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

Trio face prosecution after Hinkley site death

Main contractors and client to face charges over death of site supervisor
2 days ago

Buyers see recovery in house building sector

But civil and commercial work still in the doldrums
3 days ago

Apprentice saws-off thumb on hotel refurb site

Court hears how digit was reattached and teenager continued training with another firm
3 days ago

Laing O’Rourke tops June contracts league

£919m animal super lab dominates new orders
3 days ago

TSL turnover smashes £500m as profit almost trebles

Data centre and logistics contractor rises high on surging demand
3 days ago

Gleeson Homes chief exec leaves business after restructure

Management revamp after "challenging" year
3 days ago

Green light for 1,600-home Oldham town centre overhaul

Plans for over 1,600 homes across six regeneration sites approved
3 days ago

DSM wins Norwich city centre clearance job

Anglia Square shopping centre clearance for £300m scheme
3 days ago

13-year-old becomes UK’s youngest qualified digger driver

Grandson of Gallagher Group chairman sets industry record
3 days ago

Cubby reborn in £12m Svella-backed takeover

£50m revenue target set as 14 firms combine under new Cubby Group banner
4 days ago

North East NHS trusts plot £3bn health estate overhaul

Market engagement begins for major construction push across four trusts
4 days ago

HG goes green on cranes in £1.2m switch to battery power

Diesel-free crane drive cuts fuel bills by 94%
4 days ago

Developer fined £165,000 for fire safety failings

Firm ignored fire safety orders on apartment job in Preston
4 days ago

Bidding to start for £1.8bn North West framework

Contractors invited to bid for latest Procure Partnerships deal
4 days ago

Hill hits record £90m profit as homes pipeline swells

Build-to-rent push and £4.8bn contracting book to fuel next growth phase
4 days ago

Rayner unveils £39bn plan to build 300,000 social homes

Council building revival and rent reform feature in social and affordable homes plan
5 days ago

Keltbray bounces back with £3.2m profit

Tighter controls and smarter project selection fuel strong turnaround
5 days ago

VINCI JV wins 500-home twin town centre revamps

Chester Northgate phase 2 and Northwich Weaver Square schemes move to delivery stage
5 days ago

80 energy projects unlocked as Ofgem backs grid expansion

£24bn energy networks deal gets green light from regulator
6 days ago

How to see your stories on the Enquirer

Join our Suppliers and Buyers directory to get your news published
5 days ago

Henley lands Midland Mill revamp on Leeds tower scheme

Restoration of 18th-century mill kicks off on South Bank regeneration project
5 days ago

New boss at Eric Wright Civil Engineering

Gavin Hulme takes top job as Diane Bourne moves to group role
5 days ago

Pinewood submits £1bn data centre plan

Studio giant adds green and learning spaces to tech hub blueprint
6 days ago

Record results after TClarke goes private

Britain's biggest M&E contractor flourishes after de-listing
6 days ago

Dalkia lands £200m nuclear maintenance deal

1,000 nuclear FM staff to join M&E contractor
6 days ago

Construction comeback to outpace wider economy

Arcadis forecast fueled by spending review optimism
7 days ago

First steel goes up on giant car battery site

Severfield gets to work on McAlpine Somerset site
6 days ago

Permasteelisa wins cladding deal on Bovis city tower

Facade specialist lands package at 60 Gracechurch Street
6 days ago

Fox buys recycled asphalt specialist Fisher

Acquisition adds major recycled asphalt capacity in north west
6 days ago