270-year-old York conservation firm set for administration

A York-based construction and heritage restoration company is set to go into administration after failing to secure a rescue deal with creditors.

William Anelay Ltd, York, which has been in business since 1747, was hoping to survive cashflow difficulties by seeking a company voluntary arrangement (CVA) with creditors.

The family business approached creditors after running into cash-flow difficulties following a period of expansion with projects outside its usual sphere which proved “financially and operationally difficult.”

Under a CVA, businesses pay creditors an agreed percentage in the pound to stay in business and avoid administration.

A proposal such as this is binding on all parties only if creditors representing more than 75% of the outstanding debt agree to it.

Directors of the William Anelay Ltd hopedl that creditors would accept the CVA as, at the time of its proposal, the company had a secured workload of £33m and £9m worth of projects under consideration in the current financial year with an additional £12m of work already secured for 2017-18.

However, the proposed CVA is believed to be no longer viable.

A £38m turnover business, William Anelay Ltd has 190 staff including in associated businesses Lowery Roofing, Hare and Ransome Joinery, Anelay Traditional Masonry and Anelay Building and Conservation, which are unaffected and will continue to trade as normal.

Charles Anelay, the company’s chairman and special projects director, said that there had been a high level of support in favour of the proposals, but the actions of a small number of suppliers had shaken the confidence of key clients.

He also said that the steps the company took to protect its positions had in turn had a devastating effect on the company’s projected cash flow within the proposed arrangement.

At the time of the CVA, William Anelay Ltd had 17 schemes on site, including those at York Mansion House, Bradford City Hall and Lancaster Castle.

Charles Anelay, the eighth generation of the founding family, added: “We have worked very hard to save the business and do the best for our creditors by proposing a CVA. We really believed that we had a good plan to get through our cash difficulties, and were supported by our bank and HMRC.

“Unfortunately, the CVA proposal is no longer viable because some of our creditors have destabilised the situation by their actions on site and in relation to the CVA, and some of our clients have acted in ways that have meant that our expected cash flows, which were a key part of the CVA, will not happen.

“The last few weeks have been the worst of my life. We are hugely disappointed that it has come to this. We thank all our staff for their commitment and loyalty, apologise to those clients and creditors who have given their support and who will now lose out, and thank all past friends of the firm and members of the public who kindly gave their support.

“All I can hope is that at some point in the future people will look back at William Anelay Ltd and recognise 269 years of skilled craftsmanship which gave us the privilege to restore parts of our country’s architectural heritage with some amazing projects on some very special buildings which will be admired far into the future.”

Julian Pitts and Bob Maxwell of Begbies Traynor were appointed as joint administrators of William Anelay Ltd.

Andrew Walker and Doug Robertson from Irwin Mitchell in Leeds are advising the administrators.

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