Thank you for your interest in this story
To continue reading this article, subscribe to the Stray Ferret for as little as £1 a week
Already a subscriber? Log in here.
25
Oct 2023
Flaxby firm Ilke Homes enters liquidation with debts of £320 million
Collapsed housebuilder Ilke Homes has been put into liquidation.
The company, which was based alongside the A1(M) at Flaxby, ceased trading and entered administration in June, causing the loss of 1,100 jobs and leaving a long list of creditors.
A final report from administrators AlixPartners shows the firm left debts of £320 million.
Among the sums owed by Ilke Homes was to government housing agency Homes England, which had an estimated debt of £68.7 million.
A court order has since been filed to Companies House on October 19 which states the firm will be placed into liquidation.
According to its report, AlixPartners estimated that HMRC, employees and unsecured credits are estimated to receive no money.
Main entrance to Ilke Homes' Flaxby factory.
Meanwhile, Homes England is likely to receive £82,000 — some 0.1% of the overall debt it is owed.
Employee claims were estimated to be £724,614, while HMRC was owed £2.1 million and unsecured creditors debt at the company totalled £249.3 million.
Catherine Williamson, administrator at AlixPartners, said in her report that during the administration period it was determined there was “significantly less value to be realised than originally anticipated” from the company’s assets.
She said:
AlixPartners has been appointed as liquidators of the company.
Read more:
- 600 Ilke Homes staff join legal action over job losses
- Ilke Homes: More than 1,000 staff made redundant
Shortly after Ilke Homes collapsed, administrators said the firm had “faced the challenges of unprecedented inflation and a lack of land supply linked to planning processes”.
Officials at Ilke Homes said previously that it needed additional funding to fulfil a £1 billion order book and to protect jobs, adding that new investment was needed to build its pipeline of 4,200 new homes.
Meanwhile, the Stray Ferret reported in August that more than 600 former employees of the company were to take legal action following the administration announcement.
Manchester-based law firm Aticus said it had been instructed by staff members to investigate concerns around how the redundancy process was managed.
0