Residential developer EcoWorld London is planning job cuts as the housing market continues to stall.

The Enquirer understands that around 40 jobs are at risk with the first wave of 25 redundancies set to hit this week among the firm’s 120-strong workforce.

A source close to the company said: “The staff have been given the headline bad news and now it is just a case of working through the consultation process and the details of who is going when.”

EcoWorld London is part of Malaysian based EcoWorld International and is also partly owned by Willmott Dixon who have a 30% stake in the business.

The source said: “We had a company meeting recently and Rick Willmott turned up so we knew it was going to be something serious.”

EcoWorld London was created in 2017 after Willmott Dixon agreed to sell a 70% stake in its London-based residential development business Be Living to EcoWorld International.

Two years ago the developer closed its self-delivery construction arm as part of a restructure and plans to tender future developments to main contractors.