Derbyshire-based Wildgoose Construction has fallen into administration after struggling with rising raw materials prices, supply chain distribution and labour shortages.
Wildgoose, founded in Matlock in 1896 and now based in Alfreton, has been under the ownership of the same family for four generations and operates in the housing, education, health, commercial and social care sectors. It was recently responsible for the transformation of Northampton Museum and Art Gallery.
In addition to the “significant margin pressure” the company has been experiencing, administrator Interpath Advisory said its problems had been compounded by one-off costs including the insolvency of a number of subcontractors and the bad debts arising from the insolvency of a key client.
All work on live projects ceased prior to the appointment of administrators and a total of 46 staff have been made redundant, with a small number retained to assist with the wind-down of the business.
Jonathan Wildgoose, chairman of Wildgoose Construction, said: “In light of the multiple challenges being faced by the business, our efforts since the commencement of the pandemic have focused on exploring all possible options in an effort to secure a solution which would have safeguarded the future viability of the business. It is with great sadness that we had no alternative but to cease to trade and take the necessary steps to place the company into administration. On behalf of all of the directors, I would like to place on record our thanks for the huge efforts of our employee base and all other stakeholders.”
Howard Smith, managing director at Interpath Advisory and joint administrator, said: “These are extremely difficult times for companies across the construction sector, with recent surges in the price of raw materials, coupled with supply chain disruption, acute labour shortages and wage inflation putting businesses under significant pressure.
“Unfortunately for Wildgoose Construction, these issues ultimately resulted in a number of its fixed-cost contracts becoming unsustainably loss-making, and when combined with the other unexpected significant one-off costs and liabilities which had arisen, the directors had no alternatives other than to place the company into administration.”
“Our immediate priority is to assist those members of staff who have been made redundant, providing them with the information and support they need to claim their statutory entitlements from the Redundancy Payments Office.”
