Clugston files for administration

Aaron Morby 4 years ago
Share

Scunthorpe-based Clugston Group has filed a notice of intention to appoint administrators with the courts.

Chairman John Clugston was due to retire next month
Chairman John Clugston was due to retire next month

For several weeks subcontractors have been contacting the Enquirer warning that payments have been stopped with no explanation.

The firm is also understood to be bogged down in several legal claims for payment.

Sources told the Enquirer that staff were told to return cars and phones on Thursday ahead of an announcement expected Friday morning to confirm that insolvency partners with accountant KPMG are to be formally appointed.

One subcontractor working on a major education site said: “We were not paid at the end of last month and neither were a lot of other specialists on the site.

“We couldn’t get in touch with them to talk about what was happening, which set the alarm bells ringing.”

According to documents filed with the court on 3 December, Clugston Group, Clugston Construction and the haulage business Clugston Distribution Services have all filed notices of intention to appoint administrators.

Latest published accounts for the family-owned business in the year to 31 January 2018 revealed record revenue had been achieved, up 49% to £176m.

But this failed to translate into profits with the group booking a £500,000 loss.

At the time, Clugston also reported net assets of £14m with year-end cash of £30m and no bank debt.

Chairman John Clugston, the son of founder Leonard Clugston, last month announced he would be retiring in January 2020, with the plan to hand over to David Clugston.

The business, which was founded 82 years ago, earned a reputation for treating its staff well, and grew rapidly on the back of the boom in energy for waste plants where it built up a strong business relationship working with French process engineering business CNIM.

Presently it is working on an £800m energy recovery facility on Deeside, a £220m resource recovery centre in Avonmouth and £210m combined heat and power plant in Grangemouth.

Latest news

John F Hunt wins 24-storey Battersea tower

Specialist to carry-out demolition, enabling works and RC frame construction
10 hours ago

William Hare wins steelwork on £500m Broadgate towers

Specialist to work on 2 Finsbury Avenue with McAlpine
11 hours ago

McAlpine appoints MD to grow ventures business

Owain Thomas will build on private rental and healthcare development successes
9 hours ago

BAM Co-op Live Arena opening delayed yet again

Another gig cancelled last night amid last minute safety concerns
14 hours ago

National Grid unveils winners for £9bn network upgrade

New 'enterprise model' to deliver infrastructure schemes quicker and cheaper
1 day ago

Turkish insulation panel maker to build £45m UK factory

Assan Panel to open first UK plant at Freeport East
15 hours ago

Expanding consultant Stantec swoops for Hydrock

Stantec UK business expands by a third as 950 staff join from Bristol-based engineer
1 day ago

Contractors wanted for £800m highways deal

Bids invited for Eastern Highways Alliance Framework 4
14 hours ago

Galliford Try names group head of infrastructure

David Lowery promoted to Divisional Managing Director – Infrastructure.
15 hours ago

Chigwell Group looks at stock market listing

Essex contractor registers as Public Limited Company
2 days ago

A57 Mottram Bypass clears final legal challenge

Balfour Beatty to get go-ahead to start shortly
2 days ago

100 jobs axed as Geoffrey Osborne confirms administration

Chairman Andrew Osborne calls it a 'sad day' as board loses fight for survival
2 days ago

Midgard set for Notting Hill office tower overhaul

Landmark project edges towards final approval after 10-year planning saga
2 days ago

Cumbrian civils firm clinches £40m Sellafield contract

Civils specialist Stobbarts will support McAlpine on groundworks and concrete
2 days ago

Designers named for London 2000-bed student rooms job

Bouygues will build £400m London School of Economics student scheme next to Tate Modern
2 days ago

£117m-turnover contractor files administration notice

ARJ Construction lodges court notice
3 days ago

£1bn London Blackfriars tower blocks approved

Trio of buildings rising to 45, 40 and 22 storeys approved by Southwark Council
3 days ago

Council decides to end Balfour deal after 13 years

Contractor has been maintaining roads across Herefordshire since 2013
3 days ago

Six civils clients to switch to low carbon concrete and steel

National Highways, Northumbrian Water and Sellafield sign fresh decarbonising pledge
3 days ago

Fortem extends homes repair deal across Birmingham

Willmott Dixon owned firm adds another two years to deal worth £170m
3 days ago

Kier wins £118m civil service Darlington hub

Work is expected to start towards the end of this year
3 days ago

Green light for 34-storey Digbeth apartments tower

480 flats will be delivered for Clarion housing association
3 days ago

LHC starts race for major retrofit and decarb framework

Hunt starts for firms to help with 6.1m social homes upgrade target
4 days ago

Windows giant Everest crashes into administration

Around 350 jobs at risk while hunt starts for a buyer to salvage business
4 days ago

Green light for £500m Newcastle health complex

Mixed use scheme will promote healthy living across all stages of life
4 days ago

Olympian Homes gets go-ahead for Bristol’s tallest building

Work on student and co-living towers to start this summer
4 days ago

ISG gets nod to start £20m Glamorgan school job

Ysgol y Deri specialist needs school is to built at Cosmeston, near Penarth
4 days ago

Walker Modular lands £5m bathroom pod contract

Specialist to work with Graham and Watkin Jones on major build-to-rent scheme

Banned building boss jailed for fraud

Court hears how disqualified director siphoned off cash from new housing company
4 days ago

Osborne staff start looking for new jobs

"Open to Work" flags appear on LinkedIn profiles
7 days ago

Contractor services