A civil engineering and groundworks company, Caldwell Construction Limited, has gone into administration, jeopardizing more than 400 jobs. Founded in 2007, the company has enlisted administrators from PKF Littlejohn Advisory to handle the situation. Despite a turnover of £58.4 million last year, Caldwell’s operating profit was under £1 million. The company struggled with escalating costs, project delays, and market uncertainty, leading to significant cash flow and operational challenges in recent weeks.
Paul Smith, a Partner at PKF Littlejohn Advisory UK LLP, highlighted the tough trading conditions in the construction sector. Efforts were made to explore all options to sustain the business, but ultimately, the decision to enter administration was made by Caldwell’s directors. The focus now is on assisting employees and stakeholders while evaluating the company’s assets.
In a separate event, Consumer Energy Solutions, an energy provider in south Wales, also entered administration, affecting nearly 300 employees. The company’s closure was immediate, leaving staff members shocked and uncertain about their future. The situation was attributed to the end of a government-supported energy scheme operated by the company. The administration process does not involve any other entities within the City Energy Group.