RE: Recovery28 Apr 2026 14:44
Construction Quality Concerns: The firm faces pressure regarding build quality, with reports of "weak mortar" and other snagging issues
Housing Market Downturn: The UK housing market has been under pressure due to high interest rates, impacting buyer sentiment and reducing sales
Reduced Profitability: A combination of increased building safety provisions, rising construction costs, and a drop in home sales prices has severely reduced operating margins
The list is as long as the snagging
Cladding and Fire Safety Costs: The company has taken massive "exceptional charges" to fix cladding and fire safety issues on buildings constructed over the past two decades, including widespread issues with cavity barriers hidden behind brickwork
Failed Contractors & Operational Issues: The company reported one-off costs from failed contractors, along with safety issues on sites, including an £800,000 fine for a site safety breach