Administration · 4 April 2023

Lane END Developments Construction

Main contractor · Warrington · North West England

What happened

LANE END DEVELOPMENTS CONSTRUCTION LTD (company number 09948160), incorporated in 2016, entered administration on 4 April 2023. Its status at Companies House is now: liquidation.

Why it failed

Covid delays and supply problems raised material costs, making pre-pandemic build contracts unprofitable; clients issued pay less notices and hoped-for investment did not materialise, leaving no working capital.

Main reason: Cost inflation
Losses on contracts
Covid-19
Delays
Clients not paying or failing
Cash flow
Sale or investment failed

Our summary of the reasons given in the administrators' proposals. These record the administrators' and directors' account of what happened.

An administrator, a licensed insolvency practitioner, takes control of the company to try to rescue it, sell the business or get a better result for creditors than a liquidation.

Timeline

The last accounts and payment report before the failure, then what happened, with the time between each.

31 May 2022
Last accounts filed were made up to this date
11 months later
4 April 2023
Administration started
3 years later
16 April 2026
Administration ended
16 April 2026
Creditors' voluntary liquidation started (shareholders resolved to wind up)

AccountsPayment reportInsolvency

Before it failed

Key figures

Turnover in its last accounts, year to May 2022: £81.1m; Accounts at Companies House
Profit before tax, year to May 2022: £245k; Accounts at Companies House
Staff, year to May 2022: 106; Accounts at Companies House
Net assets, year to May 2022: £1.3m; Accounts at Companies House
Owed to suppliers and subcontractors (estimated), Administrators' proposals (trade creditors): £11.8m; HMRC owed £700k. a further £80k owed to its lenders. Expected return to unsecured creditors: uncertain; Administrators' proposals (trade creditors)

The last accounts filed were full accounts made up to 31 May 2022, 10 months before it went into administration.

The full filing history, including any late filings, charges and director changes, is on Companies House.

Lessons learned report

We're writing plain-English reports on major construction failures: who was involved, why it happened, the warning signs and how long they were visible, and what to look out for next time.

In the news

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