Newcastle University buildings unfinished after construction company collapse

The university says around £4m of work is still outstanding

A construction firm has gone into administration leaving two Newcastle University buildings unfinished.

Clugston, a Lincolnshire-based construction firm, was due to handover a £39m extension and a £25m sports centre early next year, but its collapse has left the buildings unfinished and the completion date unclear.

A spokesperson for the university said the buildings, which were due to open in stages between January and March next year, still have around £4m of work yet to complete.

The company had suffered losses on other contracts and the insolvency of a key subcontractor, a statement from administrators KPMG said.

A Newcastle University spokesperson said: “The Dame Margaret Barbour Building and new sports centre are two projects led by Clugston, which went into administration.

“Work has currently ceased on the sites and the buildings have been secured while we are liaising with the administrator.”

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The university had hoped to open the new sports centre and the Dame Margaret Barbour Building in the new year.

According to the university, the Dame Margaret Barbour building was due to open in two stages in mid-January and mid-March. The first four floors of the building, which were to open first, have a complete shell and core, but levels four and five, which were to open in the second phase, are “still a shell”, the spokesperson said.

The Sports Centre is open and operational and needs “only finishing touches”, the university confirmed. The centre is expected to house offices and teaching facilities for sport, nutrition, psychology and medical education disciplines.

The university said it was awaiting instructions from KPMG on the next steps.

The Unite union is seeking a meeting with KPMG over unpaid wages.

 

 

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