{"id":9544,"date":"2025-12-08T22:46:31","date_gmt":"2025-12-08T22:46:31","guid":{"rendered":"https:\/\/cita.co.uk\/news\/?p=9544"},"modified":"2025-12-08T22:46:31","modified_gmt":"2025-12-08T22:46:31","slug":"london-new-build-freeze-drags-mulalley-to-3-2m-loss","status":"publish","type":"post","link":"https:\/\/cita.co.uk\/news\/london-new-build-freeze-drags-mulalley-to-3-2m-loss\/","title":{"rendered":"London new-build freeze drags Mulalley to \u00a33.2m loss"},"content":{"rendered":"

London\u2019s sharp slowdown in public-sector housing new build along with rising costs pushed Mulalley to a \u00a33.2m pre-tax loss last year.<\/p>\n

But the Essex-based firm\u2019s powerhouse housing maintenance and upkeep division helped cushion the blow, with strong demand from councils and social landlords driving a 15% uplift in group turnover to almost \u00a3200m in the year to March 2025.<\/p>\n

Mulalley said the development landscape had become increasingly hostile as stalled viability, high mortgage rates and the growing weight of Building Safety Act regulations left clients delaying or cancelling schemes altogether. <\/p>\n

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Sales rates remained sluggish, interest costs rose and the cost of compliance continued to escalate.<\/p>\n

At the same time, councils and housing associations shifted their investment priorities, accelerating refurbishment, decent homes and fire-safety programmes. This surge in lower-risk upgrade workstreams helped offset the collapse in new-build activity, where high borrowing costs and tightening regulatory gateways continue to choke the pipeline.<\/p>\n

Chief executive Eamon O\u2019Malley said: \u201cDespite the challenges, the directors are pleased to report another year of satisfactory trading for the company. <\/p>\n

“While turnover and profitability have been under pressure, we have maintained positive operations and secured substantial forward workload in lower risk sectors at margins consistent with our trading expectations.\u201d<\/p>\n

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In response to the turbulent market, Mulalley has paused bidding on further local authority new-build schemes until its current developments are completed. Instead, the contractor is doubling down on its most resilient income streams in long-term refurbishment, planned maintenance and decent homes work where funding remains stable and demand continues to grow.<\/p>\n

The strategy is reflected in Mulalley\u2019s \u00a3991m forward order book, bolstered by multi-year public-sector frameworks worth hundreds of millions. Cash performance was another bright spot, swinging from a \u00a310m net overdraft to \u00a320.5m in hand at year-end.<\/p>\n

O\u2019Malley added: \u201cWe remain confident that our diverse mix of businesses, supported by a strong balance sheet and a big secured forward workload, places us in an excellent position to take advantage of opportunities when market conditions stabilise.\u201d<\/p>\n

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from Construction Enquirer https:\/\/ift.tt\/SqyQxJH<\/p>\n","protected":false},"excerpt":{"rendered":"

London\u2019s sharp slowdown in public-sector housing new build along with rising costs pushed Mulalley to a \u00a33.2m pre-tax loss last year. But the Essex-based firm\u2019s powerhouse housing maintenance and upkeep division helped cushion the blow, with strong demand from councils and social landlords driving a 15% uplift in group turnover to almost \u00a3200m in the […]<\/p>\n","protected":false},"author":1,"featured_media":150,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[1],"tags":[9],"class_list":["post-9544","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-construction-enquirer"],"_links":{"self":[{"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/posts\/9544","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/comments?post=9544"}],"version-history":[{"count":1,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/posts\/9544\/revisions"}],"predecessor-version":[{"id":9545,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/posts\/9544\/revisions\/9545"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/media\/153"}],"wp:attachment":[{"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/media?parent=9544"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/categories?post=9544"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cita.co.uk\/news\/wp-json\/wp\/v2\/tags?post=9544"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}