Collapse of construction firm hits £12 million high-tech engineering centre

Elgan Hearn, local democracy reporter

A company converting a former factory into a £12 million state of the art high-tech further education facility has gone bust.

Last week it was announced that the ISG group of companies had entered administration and that their UK operation had stopped with “immediate effect.”

This puts thousands of construction industry jobs at risk at the firm which builds prisons and police stations as well as schools.

Blaenau Gwent County Borough Council has confirmed that the HiVE (High Value Engineering Centre) in Ebbw Vale is also the victim of the collapse.

Terminated

A spokeswoman for Blaenau Gwent said: “Both contracts have been terminated and the sites are in the ownership of the council and made secure.

“ISG were contracted to deliver the new HiVE facility in Ebbw Vale and the new Welsh Medium seedling school in Tredegar.

“As a result of these unforeseen circumstances which were beyond our control, there is a high likelihood that the expected completion dates of these projects will be affected.

“We can confirm that we are working with Welsh Government and all other key partners to ensure both projects will continue to be delivered.

“We will be able to provide further information in due course.”

Monwel Hankinson factory

Work on the HiVE which is at the site of the former Monwel Hankinson factory, Ebbw Vale, started a year ago.

The new 21,808 square foot facility is supposed to provide state-of-the art training and education for young people and businesses in the fields of robotics, advanced materials, and manufacturing, and digital and enabling technologies.

In partnership with Coleg Gwent, and industry partners, the council secured over £12 million from the Welsh Government’s Tech Valleys programme and the UK Government to bring the redundant factory building back into use and create the HiVE facility.