Barratt problem concrete frames and cladding bill hits £163m

Grant Prior 4 years ago
Share

Barratt has confirmed the cost for rectifying concrete design defects and unsafe cladding at several blocks  has risen to £163.1m – and could go even higher.

Serious concrete cracking at Croydon's Citiscape scheme prompted a review of 26 other buildings
Serious concrete cracking at Croydon's Citiscape scheme prompted a review of 26 other buildings

Problems with several multi-storey concrete frames built over 10 years ago were uncovered during post-Grenfell cladding and building checks.

Significant structural problems were found at its Citiscape residential high-rise in Croydon town centre last year which had suffered large cracks.

This prompted Barratt to survey 26 other developments where reinforced concrete frames were designed for Barratt by either the same original engineering firm or by other companies within the group of companies which has since acquired it. 

In a trading statement today the house builder said it has incurred charges of £163.1m since 2018 in respect of legacy properties with £85.6m of that yet to be spent.

It added: “Whilst the charges reflect the current best estimate of the extent and future costs of work required, as assessments and work progresses or if Government legislation and regulation further evolves, estimates will be updated.”

The figures were contained in a first quarter trading statement this morning which was full of more positive news.

Construction activity continued to rise with 321 homes built a week as forward sales recovered to historic levels.

David Thomas, Chief Executive said: “We have seen strong demand for our high quality, energy efficient homes on well-designed developments which means we now expect to increase wholly owned completions to between 16,000 and 16,250 homes this year, along with around 650 JV home completions.

“As construction activity has increased our employees and sub-contractors have worked hard to maintain our high standards of quality and service and we are proud that for the 12th successive year, our customers have rated us as a 5 star housebuilder.”

Latest news

Acheson Construction collapse costs suppliers £8.5m

One frustrated creditor seized a telehandler after contractor went into administration
5 hours ago

Dominus wins go-ahead for 173-bed Glasgow scheme

Old Wynd Street job expected to cost around £25m to build
5 hours ago

Safety Regulator misses deadline to clear Gateway 2 backlog

Investors pulling out of funding high rise buildings
12 hours ago

CITB still sitting on £95m cash pile

Staff numbers jump from 666 to 763 as training body wage bill soars
13 hours ago

£500m road surfacing framework market call

NEPO goes out to consultation on north east regional highways deal
13 hours ago

Two share £220m Scottish rail repairs and minor works deal

AmcoGiffen and CPMS win civils and building repair deals
13 hours ago

Builder wanted for £60m London leisure and flats job

Tower Hamlets aims to replace St George’s Leisure Centre in Shadwell
13 hours ago

Contractor confirmed for business park expansion

Roe Developments to start on next phase of Castle Donington scheme
13 hours ago

Driver escapes injury as scaffold collapses onto van

Major three-lift scaffold fall blocks north London high street
6 days ago

Gilbert Ash to be sold to staff

£267m turnover contractor to transition to an Employee Ownership Trust
6 days ago

M Group seals biggest-ever deal with Telent takeover

Digital infrastructure specialist deal lifts turnover to £3bn
6 days ago

Aggregates firm Ashville went down owing more than £3m

Debts revealed in Companies House update
6 days ago

Cardo saves 100 jobs at Breyer roofing arm

Private equity-backed Welsh maintenance group continues to expand
6 days ago

Excavator knocked off lorry going under bridge

Traffic Commissioner inquiry after accident in south London
6 days ago

Czech energy tycoon buys UK’s biggest rebar supplier

Spanish offload Celsa UK operation to be rebranded 7 Steel UK
7 days ago

Caddick Construction targets £400m turnover

Regional shake-up pays off at contracting arm
1 week ago

Redrow chief steps down after Barratt merger

Matthew Pratt leaving after 22 years
1 week ago

United Living names new property services senior team

New CEO and COO appointed to lead growth in housing upkeep and retrofit
6 days ago

Wynne triples turnover in three years to over £90m

Five-year growth strategy pays off
7 days ago

Speedy Hire blames Budget for branch closures

National Insurance rises accelerate closure programme
7 days ago

Builder gets suspended sentence for Covid loan fraud

M&E specialist inflated turnover to claim maximum loan
7 days ago

Scores of M&E firms win places on £400m CHIC framework

Axis Europe and Seddon secured spots on social housing deal
1 week ago

Coroner hears how worker was crushed under digger

Inquest opens into tragedy at Rose Builders site
1 week ago

Billington lowers 2025 forecast amid pricing pressure

Tender prices under pressure due to project delays and cancellations
1 week ago

Willmott Dixon lands Dover town centre revamp

Alliance agreed to regenerate several key council sites
1 week ago

Go-ahead for London City office-to-flats scheme

Hub's 150 Minories job in Aldgate to create 280 co-living homes
1 week ago

Wates mobilises as £200m Middlesbrough scheme approved

Gresham Street scheme includes a hotel, 240 flats and over 400 student rooms
1 week ago

Crashed M&E contractor TNA owed supply chain £7m

Sister company buys assets including company vans
1 week ago

Renaker eyes bumper 2025 despite Gateway 2 concern

Strong construction pipeline to support another record year
1 week ago

Wessex Water picks civils firms for £65m framework

Over 40 smaller firms will support AMP8 civils spending programme
1 week ago

Contractor services