Yuill set to axe 50 as slowdown takes its toll

Dec 2 2008 by Karen Dent, The Journal

A HOUSEBUILDER taken over in a management buy-out deal in October is looking to shed at least 50 staff because of the slowdown in the housing market.

Yuill Homes, which is based in Hartlepool and has around 150 staff at 12 sites, has launched a consultation with workers over the potential job losses.

In a statement, the company said: “We have reluctantly consulted with our staff over job losses.

“We will continue to do everything possible to keep job cuts to an absolute minimum and to ensure that we remain a strong employer in the North East.”

The company, which was bought by Newbridge Enterprises Ltd, a shareholding company owned by the directors of Yuill Homes and the Bank of Scotland (Ireland) in October, is understood to be considering a number of options to help it weather the storm.

They include a switch to working alternate weeks or a temporary shutdown. It is also considering shifting its focus to building for the public rather than the private sector.

The region’s construction sector has been hard hit by the steep decline in the housing market.

In the last six months, hundreds of jobs have been axed by house builders including industry giants Barratt, Bellway, both based in Newcastle, and York-based Persimmon.

Yuill, which has roots going back 80 years, remained determined to carry on trading during the downturn.

Newbridge Enterprises said the business was virtually a North East institution when it acquired Yuill in October and that it was well-placed to tackle the downturn.

Managing director David Mullins said at the time: “Yuill Homes has a long and successful track record and this ensures that we are in the strongest position to handle what is a difficult market place for any house builder.

“For now it is very much business as usual, continuing to work with our staff, stakeholders and partners to ensure our customers receive the highest level of quality in delivering homes with a touch more imagination.”

Yuill has built more than 30,000 homes since it was founded by Cecil Yuill in 1927. The company remained in family hands until 2006 when Phillip Yuill sold up to Belfast housebuilder Taggart Holdings.

Taggart Holdings itself was placed in administration just over a month ago by its banking partners Ulster Bank and Bank of Ireland.