Jobs lost as firm collapses and building projects halted

Building projects in the West Country have ground to a halt after Midas fell into administration

The Midas group has fallen into administration
Author: Andrew KayPublished 9th Feb 2022
Last updated 9th Feb 2022

The collapse of a Devon-based construction firm has left question marks over the future of a number of West Country building projects.

It is estimated Midas supports over 10,000 jobs in the supply chain across the region, and The Bell Group has taken over the group's property services division called Mi-Space - but it remains unclear which projects will continue.

Midas were involved in building the £11 million Premier Inn in Torquay and two under-construction hotels on Paignton seafront.

Midas is also involved in the Yeovil Refresh project and Taunton's Coal Orchard development.

Greatest Hits Radio has contacted a number of councils across Devon and Somerset to ask for their understanding for what will happen for each project.

Stephen Hindley, group chairman, said: "The disruption and supply chain inflation caused by the Covid-19 pandemic resulted in a number of critical contracts being postponed or cancelled.

"It has been a great privilege to work with our many employees, suppliers and customers over the years and my heartfelt thanks goes to them for the tremendous support that they have given to the business."

Richard Hawes, joint administrator from Teneo Financial Advisory Limited, said: "We are pleased that we have been able to deliver a sale of the group's property services division

"However, this is a very challenging period for the group's stakeholders, and in particular its employees and sub-contract supplier base. Our immediate focus is on ensuring the impact on employees, creditors and customers is minimised."

Midas Group Limited has a number of offices across the South West including Exeter, Plymouth, Indian Queens, Bristol and Newton Abbot.

A spokesperson for the Bell Group said the acquisition of Mi-space (UK) Ltd protected an estimated 110 direct and indirect jobs.

The said: "Bell is a market leader in the sector and already has offices across the South West; in Plymouth, Taunton, Bristol, and South Wales, with plans to open up a new office in Exeter in 2022. The family-owned firm has more than 2,200 employees nationally, with 312 of those in the South West, where it also supports a further 220 supply chain jobs.

"The deal to purchase the Mi-space business and certain of its assets out of administration secures economic activity valued at up to £20m annually to the local economy, significant supply chain links and indirect employment."

Craig Bell, Bell Group Chief Executive, said: "We are very pleased to have been able to complete this acquisition of Mi-space (UK) Ltd and to be protecting some of the jobs and a significant part of the Midas Group business.

"The expertise and enthusiasm within Mi-space (UK) Ltd is an excellent fit for Bell Group as we continue to grow our business based on true family values, excellent customer service and our support for our employees and for local communities.

"We look forward to welcoming the Mi-space team into Bell Group and we would also like to thank current Mi-space customers for working with us and helping us support local jobs and local supply chains.”

Hear all the latest news from across the UK on the hour, every hour, on Greatest Hits Radio on DAB, at greatesthitsradio.co.uk, and on the Greatest Hits Radio app.