The firm said the project delays had particularly hit its Rock & Alluvium expected work pipeline.

In a Stock Market trading statement, Van Elle said: “The group has experienced widespread project delays, including the ongoing impact of the well-publicised delays to Building Safety Act approvals.

“These delays have primarily impacted trading for Rock & Alluvium, which is focused on taller residential schemes in London and the South East.

“There are over 40 projects currently in the approvals process, the majority of which are now expected to commence in FY26 and will result in a FY25 performance for Van Elle’s UK operations slightly below the board’s expectations.”

The firm added that its Canadian business also faced work delays on a major infrastructure upgrade programme for the Toronto rail network. This has prompted Van Elle to review its strategic plans for North America.

Van Elle Canada had secured places on several key frameworks in Canada but may now decide to sell the business amid fresh uncertainty about the wider economic outlook.

“With the near-term uncertainty around the timing of key investment programmes, the board is reviewing its strategic options with respect to its operations in Canada,” said the firm this morning.

Van Elle said that in light of the trading pressures the group was facing, it had an ‘acute focus’ on careful working capital management and aligning its cost base to drive operating efficiencies. 

The firm said recent contract awards for the General Piling operation and further progress in the water and energy sectors gave it confidence for the financial year ahead, while recognising that the pace of market recovery may be slower than previously expected.