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'Shockwaves' warning as two Jersey construction firms close
'Shockwaves' warning as two Jersey construction firms close

BBC News

timea day ago

  • Business
  • BBC News

'Shockwaves' warning as two Jersey construction firms close

Business leaders in Jersey have warned of "shockwaves across the economy" after they were informed of two construction companies Jersey Chamber of Commerce (JCC) said it was "devastating" for the families of the staff after it said Style Group had ceased trading and Amplus Limited had announced its closure on established in 1999, did not give a reason for closing but wrote on its website, "the time has come to 'hang up our hard hats' and close the doors". The reason for Style's closure is not known by the BBC. The JCC said it was "concerned the island will lose its capacity to deliver housing, schools and other essential projects if more firms go under". 'Clear need' Chief executive of the JCC, Murray Norton, said: "Chamber has been consistently calling for the release of capital projects as the government is by far the biggest customer for building and construction services."Without headline projects that local construction companies can bid for, we are concerned that further closures in this sector will be inevitable and skilled tradespeople will be lost to Jersey's economy."There is a clear need for a broad range of investment, including infrastructure, housing, repairs, maintenance and improvement. We must make it happen."In its statement, the chamber said: "The latest closures of well established business will send shockwaves across the economy, with many secondary businesses affected by unpaid bills or cancelled work."The JCC warned costs would rise as the island became reliant on off-island contractors and local jobs would disappear. The construction firms' closures follow the shutdown of building firm Mitchell Building Contractors in October 2024, Kalmac, Kalmac Ltd, Mac Energy Ltd and Eden Interiors Ltd in July 2024 and Camerons Ltd and JP Mauger in Osborne, chair of the JCC's building, housing and Environment committee, said "tangible action" was needed to reduce the risk of further businesses getting into said: "Government is the biggest client and influencer of activity in the construction sector, but it needs to understand the importance of the multiplier effect that comes through construction value into the broader economy."We need a procurement process that is rapid, reduces bureaucracy and supports local business."That will allow them to invest, employ, train and ultimately maintain a sector that will thrive again."The minister who oversees the sector has said the government could do more to support the Kirsten Morel said he would push fellow politicians to move projects forward, especially those working in health, infrastructure and education.

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