Social housing firm 'on brink of collapse'
Social housing giant Connaught is on the brink of collapse, it was reported today.
The property services group has £220m (€264m) of debt and will be put into administration by its bank creditors, under UK insolvency procedures, according to the BBC.
The group, which employs 10,000 people, is expected make an announcement later.
Shares in the company have lost about 90% of their value since June when it emerged its contracts would be hit by public sector spending cuts.
Royal Bank of Scotland recently provided £15m (€18m) to help keep the business going.
But its creditors are thought to have rejected a rescue plan and decided instead to put the group into administration.
The Devon-based company, which was founded in 1982 as a concrete repair specialist, describes itself on its website as a leading integrated services group for the environmental, social housing, public sector and compliance markets.
