Whelan Construction collapses in Newcastle
Published: 08 July, 2011
NEWCASTLE-UPON-TYNE: Whelan Construction has collapsed with the loss of nearly 50 jobs.
Administrators from PricewaterhouseCoopers were called in by the directors yesterday and the business immediately ceased trading.
Administrator Nick Reed, of PricewaterhouseCoopers in Newcastle said: "Like many businesses in the construction sector the business has experienced difficult trading conditions throughout 2010 and 2011 with margins coming under significant pressure.
"There has been less work available in the market and the company has been unable to replace work with new contracts at appropriate margins.
"As a consequence the directors have reached the difficult decision to appoint administrators as the company has insufficient orders to continue to trade solvently."
Whelan has been trading since 1972 and had a turnover of £18m last year.