PKF LITTLEJOHN APPOINTED ADMINISTRATOR AS £58M CONSTRUCTION FIRM COLLAPSES
Caldwell Construction Limited, a groundworks specialist supplying several national housebuilders, has entered administration, underscoring the continued strain facing the UK construction sector despite tentative signs of stabilisation elsewhere in the economy.
The company, which operates from bases in Stoke-on-Trent and Warrington, has appointed PKF Littlejohn Advisory as administrator. Caldwell employs more than 400 people and reported revenues of approximately £58m for the year to March 2025.
Paul Smith, partner at PKF Littlejohn Advisory UK LLP, said the collapse reflected persistent pressures that have weighed heavily on construction businesses over recent years. “The construction sector has faced challenging trading conditions over recent years, including increasing costs, delays to schemes and wider market uncertainty,” he said. “These pressures were exacerbated at Caldwell in recent weeks, placing significant strain on cashflow and operations.”
Mr Smith said advisers had worked intensively with management in an effort to secure a viable future for the business. “The PKF Littlejohn Advisory team in Manchester and Leeds had worked closely with Caldwell’s management over the past few months to explore all available options and potential solutions for the business,” he said. “Unfortunately, despite extensive efforts, it was not possible to secure a way forward that would allow the company to continue trading outside of an insolvency process.”
Caldwell Construction has built its position as a key subcontractor to large housebuilders, providing groundworks services across multiple sites. However, rising input costs, project delays and tighter cashflow conditions across the residential development pipeline have increased financial pressure on suppliers throughout the sector.
Oliver Collinge, joint administrator at PKF Littlejohn Advisory, said the decision to enter administration had not been taken lightly. “The directors at Caldwell have taken the difficult decision to place the company into administration,” he said. “Our immediate focus is now on supporting employees and stakeholders while we assess the position of the business and its assets.”
The administration adds to a growing list of construction and contracting firms that have failed amid prolonged market volatility, as developers reassess project pipelines and subcontractors face higher financing and operating costs.
PKF Littlejohn Advisory said it would continue to engage with affected parties as the administration process progresses. Stakeholders have been advised to contact the administrators directly for further information.
