It is very sad to see the demise of another family owned construction company, not least due to the impact on employees, subcontractors and suppliers. In this case there are reports of a significant loss attributed to a residential construction contract. In my experience these projects can often be more challenging for contractors than commercial developments, due to factors such as the large number of variations, potential unavailability of adjudication, high level of expectation around quality of finish and the emotional involvement of the clients.
In the year to February 2018 Pochin’s Limited made a pre-tax loss of £3.4m on revenue of £59m. That loss was attributed to a residential construction contract causing problems.