More than 400 jobs are in jeopardy after a major UK construction firm collapsed into administration this week.
A Sudden Collapse After Months of Struggle
Caldwell Construction Limited, a groundworks and civil engineering company established in 2007, has formally appointed administrators from PKF Littlejohn Advisory. The firm, which operated from offices in Stoke-on-Trent and Warrington, reported a turnover of £58.4 million last year, yet its operating profit was under £1 million.
Paul Smith, a Partner at PKF Littlejohn Advisory UK LLP, explained that the wider construction sector has endured "challenging trading conditions" in recent years. He cited rising costs, project delays, and general market uncertainty as key factors. "These pressures were exacerbated at Caldwell in recent weeks, placing significant strain on cashflow and operations," Mr Smith stated.
Efforts to Save the Business Prove Futile
The administrators revealed that their teams in Manchester and Leeds had worked extensively with Caldwell's management over preceding months to find a viable solution. "Unfortunately, despite extensive efforts, it was not possible to secure a way forward that would allow the company to continue trading outside of an insolvency process," Mr Smith added.
Joint Administrator Oliver Collinge confirmed the directors' difficult decision to place the company into administration. "Our immediate focus is now on supporting employees and stakeholders while we assess the position of the business and its assets," he said.
Second Major Administration Hit in January
This collapse follows another significant administration earlier in January 2026, though the companies are unrelated. Consumer Energy Solutions, a south Wales-based energy provider, also ceased trading, impacting nearly 300 staff.
The company, with sites in Swansea and Rhondda Cynon Taf, posted a notice on its website confirming James Saunders and Michael Lennon of KR8 Advisory Limited were appointed joint administrators on January 9, 2026. The notice stated the company had "ceased trading with immediate effect" and could not complete any further customer work.
An unnamed employee told WalesOnline that staff were "in turmoil" after learning of the risk to their jobs just before Christmas. The proposed restructure was linked to the end of the UK Government's Energy Company Obligation 4 scheme, which funded home energy upgrades.
