No takers for remaining Connaught contracts

Published:  15 September, 2010

CREWE: Administrators have ruled out the prospect of finding buyers for Connaught's remaining five social housing maintenance contracts.

The Daily Telegraph cites sources close to negotiations that the contracts were "heavily loss-making" and no interest from third parties had been received after talks with Enterprise Plc over Connaught's contract with Norwich City Council, one of its biggest, broke down.

The other unsold contracts are with Arun District Council, Raglan Housing Association, Southern Housing and Town & Country Housing.

Connaught Plc and Connaught Partnerships, the social housing division, went into administration last week. Management blamed the problems on public spending cuts. However, the difficulties in offloading the Norwich contract provide further evidence that the Connaught may have been bidding too aggressively for contracts.

Sign Up

For the Builders' Merchants News enewsletter.

In the spotlight

We have vacancies all over the UK for those who work within the Building Supplies sector.