You are viewing 1 of your 1 free articles
Rydon makes no Grenfell provision in accounts
The firm which carried out the 2016 refurbishment of Grenfell Tower does not expect to face a fine following the public inquiry into the disaster.
Rydon Group’s accounts for the year up to the end of September 2018 show it achieved pre-tax profits of £20.8m, more than double the £9.2m earned the year before.
And the construction and maintenance contractor has maintained its view from last year that no money should be set aside pending the Grenfell Inquiry – the first phase of which finished in December.
It said in the accounts: “In the previous financial year, Rydon reviewed the specific work carried out by Rydon Maintenance Limited and given the limited nature of the work commissioned, the approvals received in relation to it and the interrelationship with work undertaken by other parties, no provision was made in the accounts for any matters arising from these tragic events.
“Having taken into consideration the events and information that has become available since the previous financial year end, similarly no provision has been made in these accounts.”
READ MORE
The company added that it welcomes the inquiry, which is expected to start its second phase looking at the refurbishment of the tower next year.
Rydon was the main contractor appointed to refurbish Grenfell Tower – including by having new cladding installed – on behalf of Kensington and Chelsea Council, the building’s owner, and ALMO Kensington and Chelsea Tenant Management Organisation.
The refurbishment has been widely criticised following a deadly blaze in June 2017 which killed 72 people.
A number of organisations were involved in the refurbishment and have been asked to submit evidence to the inquiry, including subcontractors and product suppliers.
Residents of the tower have described a strained relationship with Rydon during the refurbishment works, including concerns about how some jobs were carried out.
Rydon’s after-tax profits for the year to September 2018 rose from £7.4m to £16.6m, while turnover fell from £230.1m to £227.2m.
It said its construction business had been “particularly successful”, adding: “Effective resident liaison is core to Rydon’s legacy of successful regeneration projects.”
A spokesperson for Rydon said: “Rydon’s performance reflects the benefits of a diversified business mix, which has continued to deliver sustainable growth despite wider market and economic uncertainties.”
Rydon also maintains 10,700 homes for social landlords in London and the South East, and develops through Rydon Homes.
It warned that ongoing negotiations over the UK’s future relationship with the EU “are perpetuating a state of business uncertainty”, while skills shortages and increasing building materials costs “could prove challenging for the industry in the future”.
