DUFF & Phelps has been appointed administrator to Construction Partnership UK Limited (CPUK), a contractor which mainly operates across the north of England and the Midlands.
CPUK delivers building services across both the private and public sectors, undertaking new build and refurbishment contracts carried out under traditional and design and build arrangements. Its workload includes the construction of education and healthcare facilities, sport and leisure outlets and office & retail premises together with all aspects of residential development.
The employees will remain on furlough leave, with the administrators now looking at a sale of the business and assets as a going concern in the first instance.
Steven Muncaster of Duff & Phelps said, “CPUK has come under increasing pressure over the past 12 months due to a combination of factors including an increasingly competitive market and raw material price increases. The company exhausted all options in terms of finding a solution to the current financial issues, caused by a combination of problem contracts and bad debts.
“The combined effect of these, coupled with the uncertain outlook for the construction industry in the wake of the coronavirus pandemic has caused a drain on the company’s cash reserves and it had no other option but to appoint administrators.”