Schools projects could be delayed as firm hits financial problems
Work to build two multi-million pound schools in Welshpool is under threat after a construction company hit financial problems.
Subcontractors for Dawnus, which is building the new English medium school and a Welsh medium school in Welshpool, have said the construction firm has entered administration.
On Wednesday, Powys County Council said they had received no formal contact from Dawnus, but projects in Welshpool, and a planned all-through school in Machynlleth could be delayed.
Work on the English-medium school on land adjacent to Welshpool High School is well under way, with completion scheduled for this September. The other two projects are still at the planning application stage with no work under way.
Cabinet member for Learning and Welsh Language, Councillor Myfanwy Alexander said; “The county council is aware of media reports commenting on the company’s financial position and is monitoring the situation closely.
"The council has not received any formal contact from the company. Dawnus is a key partner in a number of our school modernisations projects and we will be working to mitigate any potential issues which arise.”
County councillor Elwyn Vaughan, who is vice chair of governors in Machynlleth wants to see new contractors in place as soon as possible.
He added: "This is very disappointing news and will inevitably cause further delays in the delivery of these important projects.
"In order to minimise those delays I'll be asking Powys Council to take steps in inviting new contractors as soon as possible and to proceed with all the relevant planning and statutory needs in order that the work can commence immediately upon appointment of new contractors."
On Thursday morning, subcontractors said the construction firm had gone into administration, with workers in South Wales being sent home after being called into a meeting.
Work has been halted on the £12m Kingsway redevelopment in Swansea and a road project in Manchester, with others around the country also grinding to a halt.