Occupational health firm acquired
A STOCKPORT-based occupational health specialist has been acquired after going in to administration.
Occupational Medicals, which carries out workplace medicals and health assessments, has been bought by Berkshire-based Evidence Health. The business, led by director Meena Modi, will continue to trade as Occupational Medicals.
Administrator Bev Budsworth of Trafford-based insolvency firm The Debt Advisor said the business went into administration because it was potentially facing a large VAT liability following a two-year wrangle with HM Revenue and Customs.
She said: “HMRC has been arguing with the health sector for some time that this sort of work should be zero rated – VAT shouldn’t be charged. Occupational Health has been arguing against this for several years and there was the potential for a huge VAT liability.”
It will take several months to resolve the dispute, said Ms Budsworth, but if it is settled in the company’s favour creditors will be paid in full.
In a statement the business said the deal would give it a wider range of expertise. “All senior directors from both previous organisations will serve in the new executive which will bring together a formidable and experienced team who will deliver to organisations a new way of delivering occupational health services,” said the company.
