Firm reveals extent of losses last year as it winds down its operations

L&G Modular has posted a pre-tax loss of more than £120m last year.

The latest losses for the firm, which has closed its factory in Yorkshire and is winding down its operations, comes on top of a combined £174m of losses in the seven years since it was founded.

L&G Modular LG2202_Wolverhampton_1

L&G Modular’s 400-home canalside scheme in Wolverhampton

In its accounts for the year to 31 December published today, it said the losses in 2022 were “largely the result of increased costs to deliver at each of the existing sites, additional overhead costs incurred in support of business growth objectives and balance sheet impairment impacts following the decision to close the factory and reduce business completions.”

L&G Modular increased its revenue from £12.2m to £39.9m as it delivered 75 homes to three sites, at Bristol, Broadstairs, Kent and Selby, north Yorkshire. However it said it will close its remaining sites and commitments on a phased basis by June 2025.

>> See also: Growing pains or cause for concern? What recent financial failures mean for the modular market

>> See also: Capital ambitions: Why Nigel Wilson is persisting with L&G’s huge housing push

>>See also: What went wrong for Ilke Homes?