Resi specialist says new legislation continues to delay starts
Family-owned contractor Higgins crept back into the black after two successive years of losses caused by delays on schemes because of second staircase rules and building remediation work.
The Essex-based firm posted a pre-tax profit of just £278,000 in the year to July – but a significant improvement on the near £26m loss it posted last time.
It said it spent close to £7m on “rectification works” on legacy schemes during the year and added that it had earmarked a further £10m for remaining repairs.
It said it completed 520 homes across eight projects during the year and started on a further 757 homes across four projects.
But in a note accompanying the accounts, the firm said jobs were continuing to take time to get off the ground.
“The requirements of the Building Safety Regulator coupled with a challenging planning system has created uncertainty resulting in delayed project starts, particularly in London,” it said.
The firm said its year-end cash position was up 15% to £9.4m with turnover up 21% to £208m.
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