UK cladding giant Lakesmere in administration

Aaron Morby 7 years ago
Share

Specialist cladding and roofing contractor Lakesmere has been placed into administration.

Sales and administration staff axed, while site staff retained for now
Sales and administration staff axed, while site staff retained for now

Stunned staff at the £120m revenue business were told the firm had collapsed in a series of meetings yesterday.

Lakesmere’s £37m turnover major project subsidiary, McMullen Facades, has avoided administration.

The search is now on for a buyer for this part of the group and the various international businesses that also continue to trade solvently.

Around 109 jobs were axed yesterday from the 241 staff working for Lakesmere in England. Around 275 jobs in Northern Ireland have been preserved while a buyer is sought for McMullen.

Administrators from Deloitte targeted sales and estimating staff while keeping design and site staff while the business assets are put up for sale.

Deloitte administrator Richard Hawes said: “Lakesmere Limited has experienced financial challenges, arising from a number of unprofitable contracts.

“This has resulted in Lakesmere Limited being placed into administration. Unfortunately a number of redundancies have to be made in the UK and we are offering those affected support at this difficult time.

“We are currently assessing the options available, including a potential sale of McMullen Facades , which is continuing to trade solvently.”

Now staff at the firm have taken to social media looking for new job opportunities.

One said: “Today, the beloved company I’ve worked for the past 13 years, the Lakesmere group, sadly went into administration.  A great company with just the best people – a very sad day indeed. ”

Another said: “I couldn’t believe it. I thought we were too big for that to happen. Good luck to everyone.”

The specialist envelope firm has four contracts on the Crossrail project. It is understood Crossrail will now step in to directly fund the work. But other jobs are set to grind to a halt as the administration process proceeds.

The first signs that things may not be going well for Lakesmere emerged when finance director Mark Johnson left the firm last month.

Lakesmere Group has been investing heavily in the last few years opening a major facility in 2016 at Portadown in Northern Ireland.

The firm has been operating in the Middle East since 2009 and recently also established a manufacturing facility in China as it worked to deliver projects in Hong Kong.

The firm ranked as the largest installer of Kalzip standing seam roofing in Europe and the Middle East.

Lakesmere grew rapidly in recent years establishing a group structure with seven main businesses covering home and key international markets

According to the most recent results international work accounted for £19m of the near £120m turnover, helping the group to generate a pre-tax profit of £3.5m.

In recent years Lakesmere had built up an impressive portfolio of projects including: the London Aquatics Centre, Ricoh Stadium, Aintree Racecourse grandstand development, the O2 Arena, Diamond Synchrotron and Heathrow Airport’s Terminal 2 building.

Companies owed cash by Lakesmere should contact the administrators via Jessica Hough on 0121 695 5723 or email [email protected].

Latest news

Deck falls off huge scissor lift at Winvic site

Two men seriously injured as platform plunges to the ground
2 days ago

Bouygues seals deal for £119m Cardiff college campus

Construction to start in June on two new buildings
2 days ago

Bid race starts for £15bn schools framework refresh

DfE throws framework open to more contractors
2 days ago

Berkeley’s £600m Borough Triangle project approved

Controversial scheme features two towers of 38 and 44-storeys
3 days ago

London Mayor calls in blocked 600-bed student scheme

Refused 20-storey London PBSA block may still be built
2 days ago

HG to build 500-bed London Stratford student scheme

Work will start later this year subject to gateway 2 safety approval
3 days ago

Arrest after pedestrian death on construction site

Tragedy during site preparation works for new Wigan car park
2 days ago

British Steel threatens closure of Scunthorpe blast furnaces

Chinese owners say sectional steel and rail supplies will be maintained
3 days ago

Planning green light for Sheffield warehouse site

Existing factories to be demolished in new scheme for Rula Developments
2 days ago

New rail property company to unlock land for 40,000 homes

First four sites released in Newcastle, Cambridge, Manchester, and Nottingham
3 days ago

Drainage specialist Subscan files administration notice

Specialist employing 131 people files court notice
3 days ago

Four win Network Rail £300m engineering design deal

Eastern region deal will include design for Northern Powerhouse Rail
3 days ago

Funding go-ahead for Banwell bypass after fresh cost hike

Galliford Try contract rises £14m to £64m after final design change
3 days ago

Graham wins Southport £75m Marine Lakes Centre

Firm replaces Kier which parted ways with backer Sefton Council
3 days ago

Chancellor unveils extra £2bn capital spend a year

Construction promised a defence dividend in military base and homes upgrade work
4 days ago

McLaren confirms subcontractor team on £135m warehouse job

Work starts on TN2 Gateway site in Kent.
4 days ago

Vistry profits slump after site costs reporting debacle

House builder launches internal whistle-blowing service in business culture review
4 days ago

Severfield chief to step down

Alan Dunsmore to leave structural steel group by end of June
4 days ago

Funding hurdle remains as Lower Thames Crossing gains consent

Government claims £9bn project may start in 2026 as private finance options explored
5 days ago

Mace wins £600m Euston Tower overhaul

1970s tower's foundations and core to be retained as floor plates extended
5 days ago

Summer start for main works on London green tower

Axa sanctions start at 50 Fenchurch Street 36-storey office block
4 days ago

Japan’s leading flats builder JVs with L&G for UK push

Partners plan to build over 1,000 rental homes in London
4 days ago

Wates submits plan for 1,000 homes Harrow council scheme

Former civic centre Poets' Corner site kicks off housing partnership
4 days ago

Morgan Sindall upgrades forecast for next 12 months

Overbury fit-out arm gets off to a flying start in 2025
5 days ago

Restructure underway at Henry Boot Construction

New management team restructures business after drop in turnover
5 days ago

Government pledges £2bn stop-gap funding for 18,000 homes

Funding avoids cliff-edge in social housing delivery before new grant programme agreed
5 days ago

Just two major new roads schemes to start this year

National Highways sets out one-year interim spending plan after RIS3 delay
5 days ago

Plans go in for £400m GRAHAM Manchester site

Demolition and enabling works underway with main construction set to start next year
5 days ago

Building safety levy rate set at up to £10,000 a home in London

Levy introduction pushed back a year to Autumn 2026 - list of new rates
6 days ago

BAM wins £100m revamp of Broadgate Tower in London

Front of tower 3-storey extension to use cross laminate time and re-used steel
6 days ago

Contractor services