Civil engineer NRS fails with loss of 45 jobs
Construction services and civil engineering business NRS has collapsed as a result of spiralling supply chain costs and administrators have made 45 staff redundant.
The Livingston-based company serves a wide range of blue chip private and public sector clients.
Recent Scottish projects include the St Andrews Cross substation in Glasgow, Seagreen Offshore wind farm off the Angus coast, Hunterston substation, Sauchiehall Street civil engineering works and electricity substations in Wishaw and Glenlee.
Founded in 2010, Noel Regan & Sons (NRS Group) had a turnover of £33m but cash flow problems have seen the business cease trading with immediate effect. Two staff have been retained to assist in the short term with the administration process.
It is understood agency workers were told to down tools last Friday. The administration was announced today.
Latest filed accounts show the company made a pre-tax loss of £2.3m in 2020 on a turnover of £18.2m.
Its financial forecasts for 2021 and 2022 were a turnover of £32.7m and £32.8m generating an underlying profit of £3.1m and £2m.
Michelle Elliot, partner and joint administrator FRP Advisory said: “NRS UK is an established and highly regarded civil engineering and energy construction specialist with an impressive portfolio of projects across Scotland and England.
“The business has been exposed to the well-documented problems of surging costs affecting supply chains and from fixed price contracts that resulted in involuntary losses. Despite the best efforts of the sole director, the business faced a range of cash flow challenges in recent weeks due to these issues and could not continue trading.”
“We will now market the business and assets of the business for sale and would encourage any interested parties to make contact as soon as possible.
“We will also ensure the employees receive every assistance to register any claims that they may have with the Redundancy Payments Office (RPO) and with accessing support services from PACE and other government bodies.”