All staff at the Real construction group have been made redundant as Chief Executive Officer Paul Nicholls admitted the business “will have no future”.
An email from Nicholls seen by the Enquirer delivered the bad news to around 90 staff employed by the Real Places Ltd holding company yesterday.
It said: “Although we are not as yet in administration and/or liquidation, it now appears inevitable that the business will have no future and the Real Places Board, in agreement with our principal creditor, have taken the decision to make all staff redundant immediately.
“I have seen so much amazing talent in this business and hope all of you continue to develop your careers and yourselves in the future. I am very sorry we have ended up here but hope you have enjoyed your time at Real and thank you again for your hard work.”
Two subsidiary companies – Real LSE and Real RSW – confirmed notices of intention to appoint administrators last week.
Nicholls added: “I wanted to thank you for you patience and hard work over the last few months as we have collectively tried to trade through a very challenging period.
“Unfortunately, despite a lot of hard work, the wider market conditions have got the better of us.
“A perfect economic storm has hit the industry leading to unprecedented inflation and extensive project delays.”
Latest accounts for Real Places Ltd show the group had a turnover of £56.9m for the year to February 28 2022 generating a pre-tax loss of £3.7m.