In a significant development, a new contractor has been assigned to complete the Clay Cross Active scheme in Chesterfield, following the collapse of ISG.
- North East Derbyshire Council, in collaboration with Alliance Leisure, has selected Universal Civils & Build to take over the project.
- The leisure centre project includes the demolition of the existing structure, construction of a new facility, and associated external works.
- ISG’s financial troubles have left numerous projects unfinished, with substantial debts to creditors and former employees.
- Universal Civils & Build, recognised as a specialist in leisure construction, is set to secure and expedite the completion of the project.
In a pivotal move, North East Derbyshire Council has appointed Universal Civils & Build to complete the Clay Cross Active scheme in Chesterfield after the original contractor, ISG, ceased operations. The decision emerged following ISG’s administrative collapse, which left a trail of unfinished projects and significant financial liabilities. The Chesterfield-based leisure project, initially entrusted to ISG in 2023, remains only partially completed. Key tasks completed include the demolition of the old Sharley Park Leisure Centre and the framework installation for the new building. However, critical work on external brickwork and facades is pending, necessitating intervention by a new contractor.
The Council, alongside development partner Alliance Leisure, acted swiftly to appoint Universal Civils & Build to assume responsibility for the remaining construction. Universal Civils, headquartered in Nottingham, brings extensive expertise in leisure facility construction, promising a seamless transition and completion of the Clay Cross Active project. With a project value estimated at £24 million, Universal Civils is tasked with not only completing the new build but also executing landscaping, access, and car park works integral to the facility’s infrastructure.
This transition is underscored by ISG’s financial debacle, which revealed debts exceeding £195 million to trade creditors alone at the time of its administration filing. Additionally, former ISG employees are reportedly owed a staggering £72.3 million, and HMRC is due more than £54.4 million from ISG’s subsidiaries. This insolvency scenario reflects broader systemic challenges within the construction industry, where economic pressures and strategic missteps can culminate in substantial operational disruptions.
Universal Civils has already initiated steps to secure the construction site, ensuring safety and setting a timeline for project completion. The firm’s proactive rescheduling efforts underscore its commitment to minimizing delays and fulfilling project objectives efficiently. The Council’s statement reassures stakeholders that contractor activities will visibly resume shortly, signaling renewed momentum in the project’s progression.
In the larger context, this development highlights persistent vulnerabilities in the construction sector, exacerbated by financial mismanagement and the subtle complexities of large-scale project execution. The resolution of the Clay Cross Active scheme is not only pivotal for local community infrastructure but also serves as a cautionary exemplar of the criticality of fiscal diligence and strategic foresight in construction undertakings.
The appointment of Universal Civils & Build marks a promising step towards the completion of the Clay Cross Active project, underlining the importance of effective management in large-scale construction.
