The contractor, which was founded in 2018 by a former Knight Haywood project manager and Willmott Dixon business manager, has now filed for administration.

Around 30 staff are expected to be laid off.

A source told ther Enquirer: “DAKO took on student accommodation work from North Midland Construction when it went bust in 2021.

“It looks like they took on more than they could deal with.”

In a letter to staff, founder and managing director Assan Hussain said: “The last 14 months have been challenging for the business as it has had to deal with Covid, a recession and soaring material prices and although we are working hard to navigate through, recent non payment from certain clients has meant the situation has become untenable.

“I would like to put on record my thanks for all your hard work while working for DAKO and I wish you all the best for the future.”