Two more construction companies are facing administration, according to court filings.
Norwich-based steelwork contractor Fourbay Structures filed a notice of intention to appoint an administrator on Thursday (15 August). It came a day after Hodgkinson Builders Limited, the social housing division of Derby-based contractor Hodgkinson, did the same.
A spokesperson for Hodgkinson said its brickwork division “remains completely separate and unaffected” by the move, adding that the company is in discussions to sell Hodgkinson Builders Limited.
Fourbay Structures was founded in 1993 and, according to its website, undertakes the “design, detail, manufacture, shot blast, paint, erect[ion] and clad[ding] of steel frame buildings from 2 tonnes or less to 600+ tonnes”.
The company, which employed about 19 staff in 2023, has worked on the eight-storey Tower Bridge Court building in central London, as well as Bedford Police Station, several schools, a building for the University of Essex and a waste facility in Hounslow.
Fourbay Structures did not answer a telephone call or respond to a written request for comment.
Hodkinson Builders Limited, meanwhile, was founded in 2011 and had an average of 28 employees in its 2022-23 financial year. The company is believed to be working on around three sites for social housing providers.
A spokesperson for the company said: “Due to the construction inflation over the last few years, the rising cost of living and the resulting financial pressures on construction businesses such as ourselves, we have taken the very difficult decision to close our social housebuilding division.
“We have taken this difficult decision before more costs are accrued from the subcontractors and suppliers, who we value most highly.
“But there is potential good news on the horizon, as we have since been approached by a number of parties who have expressed an interest in taking on the social housing business.
“Negotiations are currently underway and so we are hopeful of a positive outcome for all concerned.”
The spokesperson added: “In terms of our own challenges, despite the previous government directives for housing associations to engage smaller contractors and developers, there has been a clear lack of support for such contractors in practice, and the current situation has impacted us and those we work with massively.
“We want to emphasise that the Hodgkinson contracting brickwork division remains completely separate and unaffected by our social housing decision. Business operations in that division will continue as usual.”
Last week, North of England contractor Trent Civils UK filed a notice of intention to appoint an administrator, while 19 construction companies entered administration in July.
