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Crackdown on directors who fold firms to rip-off creditors
Rogue bosses who dissolve their companies to rip-off staff, creditors and the taxpayer can now be disqualified from being a director.
The Insolvency Service has been granted new powers to tackle unfit directors who place their firm in administration to avoid paying subcontractors and suppliers.
The new legislation extends the Insolvency Service’s powers to investigate and disqualify company directors who abuse the company dissolution system.
If misconduct is found, directors can face sanctions including being disqualified as a company director for up to 15 years or, in the most serious of cases, prosecution.
The Business Secretary will also be able to apply to the court for an order to require a former director of a dissolved company, who has been disqualified, to pay compensation to creditors that have lost out due to their fraudulent behaviour.
Insolvency Service accountants will also be able to scruntinise live companies where there is evidence of wrongdoing.
The Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Act will also help tackle directors dissolving companies to avoid repaying Government-backed loans taken out during the Coronavirus pandemic.
Business Secretary Kwasi Kwarteng said: “These new powers will curb those rogue directors who seek to avoid paying back their debts, including government loans provided to support businesses and save jobs.
“Government is committed to tackle those who seek to leave the British taxpayer out of pocket by abusing the covid financial support that has been so vital to businesses.
Stephen Pegge, Managing Director of UK Finance, said: “The ability to dissolve a company when necessary is a right reserved in legitimate circumstances where there are no outstanding creditors, however, it can be open to abuse.
“The banking and finance industry therefore supports this legislation which will provide much needed powers to the Insolvency Service to help hold rogue directors to account by providing additional deterrents and easier enforcement of the rules.”
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Top Ten best read stories of 2021
The Enquirer is putting out its last daily newsletter of the year today as the industry winds-down for its traditional Christmas break.
The website will be updated with any major breaking stories during the holiday season with the full daily news service returning on January 4.
It has been an eventful 12 months and a busy news year for construction as the Enquirer keeps the industry up to date with what is really going on.
These were the best read stories during the year:
Our most popular stories in 2021
(Number of times they were read)
Mass brawl breaks out on London site – (65,706 page views)
Nmcn goes into administration – (53,228 page views)
Timber and steel shortages set to intensify – (46,462 page views)
Scaffold brought down on City of London site – (41,727 page views)
Six planned skyscrapers to change London city skyline– (41,340 page views)
Timber batten prices go through the roof – (35,604 page views)
Facebook site flooded by burst pipe– (31,793 page views)
Gove declares war on construction companies – (30,675 page views)
British Steel stops taking orders in face of ‘extreme’ demand – (30,558 page views)
National highways halts first smart motorway job– (30,015 page views)
The Enquirer enjoyed another year of growth as busy professionals turn to us for a fast and insightful news fix.
Our daily newsletter now has more than 49,000 subscribers.
Google Analytics show the Enquirer enjoyed more than 19.6 million page views this year from more than 4.3 million users – numbers which dwarf any of our traditional construction media rivals.
Our growing band of advertisers enjoy industry leading response rates and all the details about booking a campaign for 2022 can be found here.
Display adverts were clicked on more than 120,000 times during the year generating a staggering 3,500 hours – or 145 days – viewing time of our advertisers’ websites by Enquirer readers.
Our recruitment pages are thriving thanks to our unrivaled reach into construction companies while our Suppliers and Buyers Directory has already signed-up more than 4,700 firms from across the supply chain.
We’d like to wish all our readers a very Merry Christmas and here’s to a happy New Year after a well deserved break.
Green light for major Bristol office scheme
Plans for three new office blocks around a ruined church at the edge of Castle Park in Bristol have got the go-ahead from city planners.
Developer MEPC can now proceed with its plan to replace three former 1960s bank buildings at the corner of Wine Street and High Street with one nine-storey and two eight-storey office blocks, offering ground-level shops and cafes.
Under plans drawn up by architect FCBStudios, the ruined St Mary le Port church tower will be restored, and three historic city centre streets that were lost during the Blitz will be restored.
Roz Bird, commercial director at MEPC, said “After two years of detailed consultation with local stakeholders in the community, we are delighted that the Development Control Committee voted in favour of our application to rejuvenate the St Mary le Port site.”
An increase of 85% in biodiversity will be provided across the scheme, with an extensive planting scheme that will include over 70 new trees in and around the site, improvements to Castle Park itself and biodiverse terraces and green roofs.
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Southern Rail starts hunt for £3bn signalling and track partners
Network Rail’s southern region has alerted firms to a forthecomming bid race to find two partners for a new 10-year-plus deal to deliver signalling and track across the territory.
The region is hoping for step-change in the way renewals are delivered on its network, making the most of modern methods of working and technology, collaboration and relationship-focused contracting.
The fresh delivery approach known as the Southern Integrated Delivery model will involve a switch to integrated and collaborative Project 13 principals of delivery for an estimated work total work programme of up to £9.6bn over Control Periods 7 and 8.
This partnership approach will be used to deliver all categories of railway asset work including signalling & telecoms, track, buildings & civils, electrification and plant and minor works.
Building and civils is already out to tender with the search for separate signalling and track business partners on Kent Sussex and Wessex routes completing the shake-up.
Buildings and civils will account for 30% – 45% of spend, track 15% – 25%, signalling 5% – 15%, electrification and plant 5% -10% while minor works will constitute 20%- 30% of the overall estimated value.
Works programme
Lot 3: The Signalling Integrator Business Partner
• Early-stage development including all work types (renewals and refurbishment) typically GRIP 1 to 3
• Detailed design, construction and commissioning of all work types (GRIP 4 to 8) including targeted Interventions, Level Crossings and telecommunications associated with the signalling works, with the exception of major renewals
• Manage, coordinate and oversee the delivery for all appointed Eco-System OEM providers – who will be remitted to undertake major Signalling renewals
• Self-delivery of mid-size schemes/asset-life extension works.
Lot 4: Track business partner
Site investigation, survey, design, planning and installation of track works, including renewal, removal, refurbishment or new installation of plain line track, track drainage or switches and crossings by whatever means.
This includes re-alignment, lifting and lowering of track, 3rd Rail, remote condition monitoring, removal, replacement or new installation of lineside plant such as rail lubricators, fencing and rail crossings
Successful bidders will initially sign into a development phase agreement, scheduled to commence in January 2023 and run up until April 2024.
Following this, the partners will sign into a multi-party SID Agreement based on an Network Rail’s alliance form of contract.
Network Rail will host a virtual market briefing event on Thursday 20 January 2022, from 10.00 to 12:00 to brief interested firms.
To register for the event email the attendee’s name, organisation and contact number no later than 13 January. Title email “Southern Integrated Delivery (SID) – Market Briefing – Signalling & Track”.
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Plan submitted for 30-floor Salford resi tower
Manchester-based property developer CERT property has submitted plans for a 30-floor residential tower on Salford’s Clippers Quay.
The vertically zoned tower block, designed by OMI Architects, will offer a range of private living experiences from lower level affordable to top-floor luxury.
Local Manchester builder Domis Construction has been lined up for the project.
The lower brick-clad 9 floors will be set aside for co-living studios for people who want to try out the lifestyle available in the building with an affordable rental cost.
Above will be 15 floors of one and two-bedroom flats with high specification kitchens, bathrooms and all bills included.
In the top section of the building will be 15 luxury penthouse apartments with views Salford Quays and a top floor skybar.
In its consultation CERT said: “Successful urban areas such as Salford are seeing an influx of talented people from across the world.
“Cities have responded by delivering more city-centre residential accommodation, but these are often focused on the luxury areas of the market, meaning adults at the earlier stages of their career, or on lower incomes, may be forced to live in a less convenient and desirable location.
“Not with community living, our Clippers Quay development provides a variety of private living options for all.”
Project team
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Ameon lands £10m M&E package on twin Leeds towers
Building services specialist Ameon has landed a £10m mechanical and electrical contract from John Sisk & Son at Latitude Purple – the Hub Group’s twin-tower residential development in Leeds city centre.
Ameon will start on its 72-week phase of the contract next November and will deploy up to 80 operatives at peak on the projec.
Work will involve design and installation of the services infrastructure serving 463 residential apartments and communal areas in the 17 and 21-storey towers and the single-storey podium deck, linking the taller structures.
Ameon contracts director, Rod Bunce said: “We’ve demonstrated our capabilities on many high-rise residential tower blocks, particularly in the development hotspots of Manchester, Liverpool and Leeds in recent years; therefore I believe we’re a perfect fit for Latitude Purple, which will be a fantastic addition to the skyline of city centre Leeds.
“We’re also delighted to be working again with Sisk, with whom we have enjoyed excellent working relationships on previous projects and look forward to helping to bring Latitude Purple to life.”
Alan Rodger, Managing Director for UK North, John Sisk & Son, added: “I am delighted that we will be working with Ameon on this prestigious development for Hub Group, which will expand the city centre, and provide hundreds of quality homes for the local community.
“We have a brilliant working relationship with the company, forged on previous high-quality projects, and I am excited that we will get to strengthen that relationship further on Latitude Purple.”
To promote your latest contract package wins and your company products and services join the Enquirer Suppliers and Buyers directory here.
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Firms on notice for 20-year Suffolk highways upkeep deal
Suffolk County Council is calling up firms for market engagement feedback ahead of inviting bids for a long-term highways maintenance deal worth up to £1bn.
Kier currently holds the contract, which is a 10-year deal expiring at the end of September 2023.
The council is enticing contractors with the prospect of a long-term 20-year deal for the highways maintenance services, worth around £50m a year.
The initial contract length is anticipated to be 10 years from October 2023 to September 2033 with the option to extend for up to a further 10 years.
Suffolk council said that it recognised the challenges involved in delivering highways services as well as the many possible approaches, lessons learned and improvements that it wanted to adopt in developing its own strategy.
A key part of the procurement the council aims to embed social benefits and the council’s aim to be carbon net zero by 2030.
Interested parties should contact the council for a copy of pre-market engagementus questionaire ahead of the Project Launch Session and/or one-to-one discussions to be held on 27-28 January.
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Midas wins new £23m warehouse for power tool giant STIHL
Midas Construction has been appointed main contractor for a new warehouse and headquarters for power tools company STIHL.
Work will see the creation of a new 11,285m2 purpose-designed facility off the A331 in Camberley, Surrey.
Construction information specialist Barbour ABI has the project valued at £23m.
The deal will allow STIHL and its local workforce of 95 employees to move from their existing premises nearby in the Yorktown area of Camberley which the company has now outgrown.
The Southampton-based Southern Division of Midas Construction is expected to begin preparatory work on site this month.
The project will deliver an automated industrial warehouse for storage of machines and spares with ancillary office and workshop space, as well as a retail display area and staff facilities such as canteen.
New road access will be constructed from the A331 into the site, together with associated parking, earthworks and landscaping.
Steve Lee, Director of Midas Construction’s Southern Division said: “We are delighted to be working with STIHL GB and to have been entrusted to deliver this important project for the company.
“As well as being a high-profile international brand, STIHL has been an important local employer in Surrey for the last four decades and we are pleased to be playing a role in this major investment by STIHL which secures its future in the area and will allow the business to continue to thrive and grow.”
Kay Green, Managing Director of STIHL GB, added: “Our new purpose-built headquarters represents a significant capital investment and is a commitment to the future for our local workforce.
“This cutting edge facility will allow us to plan for many years of future growth which will continue to benefit the local economy. We are looking forward to working with Midas Construction on this vital project.”
The new building has been designed by architects Hale to combine contemporary materials with modern and simple detailing, creating a high-quality appearance. Extensive landscaping will include habitat creation and significant tree, native shrub and wildflower planting.
The first stage of works will see Midas Construction carry out site clearance and levelling of the former Thames Water Utilities site, in readiness for a start on the main build project in February 2022.
The project is scheduled to be completed in December 2022.
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Worker loses leg after demolition roof collapse
A self-employed builder has been fined £20,000 after a contractor working for him had to have his leg amputated after a single-story roof he was demolishing by hand collapsed at a site in Cobham, Surrey.
Brighton Magistrates’ Court heard that, on the 15 April 2019, the contractor was standing on the roof of a partially demolished single-story extension of a domestic building undergoing refurbishment.
While he was on the roof, it collapsed and the worker suffered significant injuries to his right leg including a fractured tibia and fibular. Due to the damage sustained, his leg was later amputated above the knee.
An HSE investigation found there was no safe system of work in place and the demolition work had not been adequately planned. The stability of the structure during the demolition work had not been assessed, and there were no measures in place to prevent falls from the roof.
Patrick Sheehan of Walton-on-the-hill, Surrey, trading as Mastercraft Building Services, pleaded guilty to safety breaches and was fined £20,000 and ordered to pay costs of £4,383.
Speaking after the hearing, HSE inspector Leah Sullivan said: “The contractor’s injuries were life-changing and he could have easily been killed. This serious incident and the devastating effects on his life, could have been avoided if basic safe systems of work been put in place.
“Companies should be aware that HSE will not hesitate to take appropriate enforcement action against those that fall below the required standards.”
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Gove declares war on construction companies
Secretary of State for Levelling Up, Housing and Communities Michael Gove is getting tough on construction companies four-and-a-half years after the Grenfell Tower tragedy.
Gove has turned his ire on Rydon Homes and blocked them from the government’s Help to Buy home ownership scheme with immediate effect.
It means they no longer have government support and cannot market their properties to first time buyers, with the offer of government backed loans.
He thundered: “It is in the public interest to exclude Rydon Homes from the Help to Buy scheme with immediate effect given the extremely concerning evidence heard by the Grenfell Tower Inquiry about its sister company.
“The development and construction industry should be in no doubt: I will continue to go after those who put lives at risk, are responsible for the building safety crisis and are failing to play their part in fixing it. The Grenfell community and innocent leaseholders deserve better.”
Rydon was the main contractor on the refurbishment of the Grenfell Tower which was destroyed by fire in June 2017 with the loss of 72 lives.
Gove has also warned the construction industry “there will be consequences for those who are responsible for the building safety crisis and those who are failing to help fix it.”
A government statement on the ongoing Grenfell inquiry said: “The Grenfell Tower Inquiry is considering worrying evidence of potentially unacceptable practices by Rydon Maintenance Ltd – the lead contractor for the refurbishment of the Grenfell Tower – before the tragedy that occurred in 2017, in which 72 people lost their lives.
“Rydon Maintenance falls under the same parent company as Rydon Homes Ltd and has directors in common.”
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