A construction company and sister haulage firm have plunged into administration causing the loss of 181 jobs.

Allma Construction based in Barrhead near Glasgow, has been a supplier of specialist groundwork services to housebuilders since 1991. The company operated mainly through the Central Belt and Ayrshire. 

Centre Plant hired plant & machinery and provided haulage services mainly to Allma Construction.

The businesses had a combined turnover of £25m with Allma Construction employing 184 staff and Centre Plant four. Seven are being retained to assist the joint administrators FRP Advisory in the short term.

The collapse of the companies was blamed on a sharp downturn in recent activity in the housebuilding sector, rising raw material prices and delays to new developments which have caused unsustainable financial and cash flow pressures.

The businesses have ceased trading and the joint administrators will now market the assets for sale.

Joint administrator Stuart Robb said: “Despite the best efforts of the directors in exploring other options, administration was the only option.

“We will now focus on marketing the assets for sale and on providing every possible support to the staff for claims to the Redundancy Payments Office and accessing support agencies such as PACE.”