Member Article

Vital Services Group enter administration

Manchester-based workforce provider Vital Services Group have entered into administration following cash flow pressures.

Vital Services Group predominantly operate in the mechanical and electrical engineering sectors, employing 208 people.

In addition, through its supplier relationships it contracts approximately a further 2,000 people, primarily to rail network providers including Network Rail, Tube Lines and London Underground, as well as infrastructure engineering contractors.

Dan Smith, Bill Dawson and Dan Butters of Deloitte have been appointed Joint Administrators across seven companies in the Group, including: Vital Services Group Limited, Vital Rail Limited, Ematics Limited, Vital Resources Limited, Quality Recruitment Limited, Vital Consulting UK Limited and Vital Power (UK) Limited.

On appointment, the trade and assets of these companies were acquired by Morson Group, another workforce provider. This transaction will result in all employees of these companies transferring to Morson Group.

Dan Smith, joint administrator and partner in Deloitte’s Reorganisation Services practice, said: “The Group has suffered recently from cash flow pressures. The sale of the trade and assets of these companies minimises disruption in the continued delivery of these essential services to the rail industry and secures jobs.”

Administrators have not been appointed to three other companies in the Group: Vital Skills Training Limited, Sicura Systems Limited and Vital Technology Limited.

This was posted in Bdaily's Members' News section by Tom Keighley .