Hundreds of jobs have been put at risk with the entry of Nottingham construction firm J Tomlinson Ltd into administration.
Founded in the 1950s, the business, which employs more than 400 people, has gone under after failing to attract additional finance.
The company is said to have been affected, primarily in its Care division, by long-term contracts with hyper inflation and schemes priced pre-covid, which ultimately impaired the group’s cash-flow.
Accounts for the year ended 30 September 2021 show a turnover increased to £106m, with a reduced £616,000 operating loss.
FRP Advisory has been appointed administrator.
In a statement, Mark Davis, CEO, said: “It is with a heavy heart that I have to announce that J Tomlinson Ltd will be filing a notice of intention to the court today to enter into administration, the proposed administrator will be FRP Advisory, which we anticipate will take place later today (10 July).
“JTL have a number of divisions across Facilities Management, Regeneration, Refurbishment, Engineering Services, and Care. It is the latter division which has been battling long-term contracts with hyper inflation, schemes priced pre-covid which ultimately has impaired the groups cash-flow.
“We as a board have worked tirelessly to attract additional overall finance into the group to invest for the future. Sadly today, we have to announce we have been unsuccessful in this regard. Since COVID-19 impacted the world and the local business community, we have worked tremendously hard to build the JTL brand across our chosen sectors with great success, which is testament to all our people.
“We have many very long service colleagues who have spent a good portion of their lives supporting our business, along with their family and friends, we hoped we would end their journey with a bright future for the next generation, sadly we have run out of time.
“I would like to express my gratitude to the JTL family for their proactive attitude to our customers, to each other, and the supply chain who have supported us over a long period of trading and especially post-COVID and the impact this outcome will have on them, their business, and their employees.
“We have employees with 30 years time invested and customers lasting 15-20 years, which is incredible and tragic. We have done our upmost to communicate timely and provide the support to our teams, which is very difficult when decisions of this magnitude are taken and implemented in the tightest of timelines.
“We will do our utmost to provide support and guidance throughout the forthcoming difficult period.”
