A mechanical and electrical firm based in a UK seaside city has collapsed owing more than £1.4million - a significant portion of which may be unlikely to be recovered.

Contractor LandD Construction South West Ltd has entered compulsory liquidation with substantial outstanding tax liabilities and creditor debts. Records lodged at Companies House revealed that whilst liquidators anticipated recovering nearly £1million in assets, over £400,000 was expected to remain unpaid. The Plympton-based company delivered extensive plumbing and heating solutions for major property developers, housing associations and local authorities, participating in the construction of hundreds of homes.

Established in 2015, it specialised in fitting, servicing and maintaining central heating systems and air source heat pumps on new-build and regeneration schemes, with 24 engineers on its books, reportsPlymouth Live.

Locally, it contributed to developments including new properties at Ham Drive and in Elburton, the St Neots Surgery in North Prospect, and the substantial Stonehouse Arena apartment complex.

However, in 2024, prominent UK plumbing and heating supplier Wolseley UK Ltd filed a petition for LandD Construction South West Ltd to be wound up. Records indicated that Wolseley was owed nearly £229,000 as an unsecured creditor.

On February 3, 2025, directors of LandD Construction South West Ltd voted to wind up the company voluntarily, appointing liquidators. However, the High Court subsequently ordered the firm to be wound up following Wolseley UK's petition.

The insolvency was handed to the Official Receiver and a creditors' meeting was scheduled for last month. A new liquidator, Paul Palmer, of Manchester-based Marshall Peters, has been appointed.

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A spokesman for Marshall Peters told PlymouthLive: "I can confirm we were appointed liquidator of LandD Construction South West Ltd on February 18, 2026, after a winding-up order was made on February 4, 2025, against the company.

"The Insolvency Service, via the Official Receivers office, handled the liquidation prior to our appointment and we have only recently received their handover file.

"Our enquiries are ongoing in this matter and as such we are not in a position to make further comment."

LandD Construction South West Ltd's statement of affairs, lodged at Companies House last year, reveals that nearly an estimated £983,000 in assets were available, including £600,000 from an insurance claim.

This will settle £802,000 owed to HM Revenue and Customs and £80,000 owed to Barclays Bank, leaving £101,000 for 16 unsecured creditors.

Yet they are claiming £543,000 and it is therefore estimated that they will ultimately fall short by £442,000.

Amongst those creditors were Plymouth's Jem Scaffolding, owed £207,000; Plymouth City Council, claiming £1,383; and Wolseley UK.

LandD Construction South West Ltd was due to submit accounts by the close of 2024, however, they are currently overdue. The accounts for the year ending March 2023 indicated net liabilities of £376,428 and disclosed that it employed 44 individuals.

The website of LandD Construction remains accessible and states that the firm prides itself on "professionalism and exceptional service, but with the added capability to manage large-scale projects" and has "earned a solid reputation for reliability, quality, attention to detail and unbeatable customer service".