Administrators KPMG to Wind Up Irwins’ Plight in Trading

Lucas Gilmore, “Big 4″ observer
November 29, 2010 /

KPMG will serve as administrators to wind up transactions at Irwins, a construction firm based in Leeds, after the firm has experienced difficulty in its trading conditions. The administrators have declared 56 redundancies.

Mark Firmin, restructuring partner and joint administrator at KPMG, said a major proportion of Irwins’s public sector-related projects have sustained a considerable decrease in turnover in the past couple of months.

Firmin added that resorting to sale would not be a viable option “given the limited order book of the business,” saying there is no other way to address the situation but to close Irwins.

During the appointment of the administrators KPMG, Irwins had existing contracts with 13 sites in Yorkshire including St Josephs School, Moorthorpe; Parson Cross CE School, Sheffield; St Peter’s CE School, Sheffield; St John the Baptist CE School, Mexboroug; Travellers Rest, East Keswick; Badsworth J&I Primary School, Badsworth; Windmill Primary School, Leeds; Valley Park Children’s Centre, Sheffield; Hucklow Primary School, Sheffield; Nostell Priory, Wakefield; Saxton C of E Primary School, Tadcaster; Lambert Memorial Hospital, Thirsk; and The University of York, York.

Firmin said construction firms like Irwins are already feeling the austerity measures made by the public sector and that the effects would not fade out anytime soon “as the purse strings tighten.”

“Many projects put on hold around the election in May have now been released for completion, keeping some construction companies busy delivering work already tendered,” Firmin added.

But the flow of tenders over the recent years is still higher compared to the current one, which will force the work of Irwins to go down, impacting largely the construction firms’ cashflow, Firmin said.

KPMG was previously appointed as administrator in Connaught and Stokes Plc.


Share your opinion

SEO Powered By SEOPressor