Jobs go as Irwins wound up

Leeds-based construction company Irwins appointed KPMG as administrators after experiencing difficult trading conditions.

Today, KPMG said the administrators will be winding up the business and have had to make 56 employees redundant.

Mark Firmin, KPMG Restructuring Partner and Joint Administrator, said: "Irwins suffered a significant drop in turnover over recent months as a large proportion of its work related to public sector projects.

"Given the limited order book of the business, a sale was not a viable option and the company has had to be closed."

Commenting on the prospects for the construction sector, Mr Firmin said: "The public sector's austerity agenda is already being felt by construction businesses and the impact will deepen as the purse strings tighten.

"Many projects put on hold around the election in May have now been released for completion, keeping some construction companies busy delivering work already tendered.

"However the flow of new tenders is significantly lower than the levels seen even over the past couple of years, so in time, work will decline, seriously straining cashflow at a number of businesses in this capital spend reliant industry."

Irwins had live contracts at 13 sites in Yorkshire at the time of the administrators' appointment, including the University of York and the Lambert Memorial Hospital in Thirsk.