Five giant UK construction companies recently went into administration. Jobs were saved for the most part, but some roles were cut.
Construction has been hit hard by difficult trading conditions in the UK (Image: Getty)
Five major UK construction firms have recently gone into administration. Unfavourable trading conditions, resulting in higher costs for businesses, have affected many sectors, including construction. Materials and labour costs are some of the things that have seen an increase, leading to more hardships for construction firms. Recently, five major construction companies entered administration, with some citing the aforementioned reasons for the decision.
One of the administrators cited market uncertainty and increased costs as the causes of issues for the business, resulting in reduced cash flow and operations. Administration involves an outside party (the administrator) taking over control of a business and its debts to rescue it. It typically happens when a business has not been performing and begins to struggle. Oftentimes, it can lead to company restructures, which sometimes means widespread job losses, especially at larger firms.
Here are the five major UK construction companies that recently went into administration.
Caldwell Construction
Caldwell Construction entered administration in January 2026. The Stoke-on-Trent and Warrington-based groundworks specialist operated across the Midlands and the North West of England, and had more than 400 employees.
Administrators from PKF Littlejohn Advisory UK LLP were appointed. Paul Smith, a partner at PKF Littlejohn, said: “The construction sector has faced challenging trading conditions over recent years, including increasing costs, delays to schemes and wider market uncertainty. These pressures were exacerbated at Caldwell in recent weeks, placing significant strain on cash flow and operations.”
Meanwhile, joint administrator Oliver Collinge explained that the decision to enter administration was not made lightly. He said: “The directors at Caldwell have taken the 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.”
FK Construction
FK Construction, which had been in business since 1979, entered administration in January. Administrators were appointed over the FK Group after it collapsed following rising costs and wider challenges in the market. The firm is based in Greater Manchester.
Administrator Keenan Holdings has rescued 54 jobs and key live contracts. David Hopkins, partner at joint administrator BTG Begbies Traynor, said: “This is a significant restructuring of the Group’s assets and operations. The directors of the Group explored a number of avenues prior to this decision and established that this was the best route forward for all stakeholders, creditors and the future of the Group.
“As part of this restructuring process, we will be focused on delivering the best outcome for all creditors. This will include realising the Group’s assets for the benefit of creditors.”
Administrators blamed rising costs and market uncertainty (Image: Getty)
EJ Taylor and Sons
EJ Taylor and Sons, based in Chelmsford, Essex, appointed administrators on January 22. This came just weeks after a proposed restructuring plan outlined emergency measures to prevent its collapse. The family firm filed a notice of intention (NOI) to appoint administrators in early December.
Samantha Peck, managing director of the business, said it was “working with professional advisors to achieve the best outcome for everyone associated with the business via a sale to a new company backed by existing stakeholders”. Administrator Glyn Mummery, of FRP Advisory, added: “We are supporting the director of EJ Taylor and Sons through a restructuring process that is intended to safeguard the long-term future of the business.”
The company had around 140 employees, but made a pre-tax loss of £2.8 million on a turnover of £41.1 million in the year to March 31, 2024, according to its most recently published accounts.
Cliffedge 10 Newquay Limited
Cliffedge 10 Newquay Limited, which is linked to the Stephens & Stephens Group, recently entered administration. The company isn’t that old, having only been established in 2021. It focused on luxury property development, including new-build apartments along the scenic and highly sought-after coast of Cornwall.
“It is deeply regrettable that Cliffedge 10 Newquay has been forced to cease trading, due to a series of difficult circumstances,” said Quantuma managing director and Joint Administrator Nick Simmonds.
The company was responsible for building the Cliff Edge 2 development overlooking Tolcarne Beach in Newquay, which remains unfinished after being under construction for months. Local media reports that access to the site has been locked.
Jerram Falkus Construction
Jerram Falkus Construction suddenly shut down last week after collapsing into administration. It had been in operation for 142 years, but it recently started to face financial struggles. The notice of appointment of an administrator was confirmed on Tuesday, February 17.
It came as a surprise to many, with one supplier telling the Construction Enquirer: “We turned up at one of their jobs to make a scheduled delivery on Monday, and the gates were locked.
“Their people seemed in total shock as to what’s going on.”
The firm has been in business since 1884 operating across London.
