Jehu Group goes into Administration
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Jehu Group was a Welsh based building contractor and property developer. Formed in 1935 by Jack Jehu it had a turnover of over £100million and employed around 100 people.
The business specialised in social housing and was a fourth generation business.
The groups businesses included Jehu Group, Jehu Project Services and Waterstone Homes all of which have been included in the administration.
We wanted to record that Jehu went out of business as it is a good reminded that big builders can go out of business tomorrow. Therefore Clients must avoid overpayment at all costs.
Jehu blamed its financial woes on a series of fixed priced contracts that became immensely unprofitable once building materials price increased during 2020 and 2021.
What this outcome means is that all of Jehu’s Clients will have to find a new builder to complete their projects. The Clients hopefully will have not overpaid Jehu for the works that have been completed but if they have then they will have to pay the new contractor again for these works.
Even if the Client has only paid Jehu the correct amount for the works completed to date, the Client will still have to pay more that it expected to complete the project. This is because no builder wants to come in and finish another builders work as they will be taking on the warranty for unknown works.