Plastics firm cracks under pressure and enters administration

Ledwell Plastics, a plastic injection moulding firm based in Leicester, has gone into administration after more than 50 years in the industry.

The company has now closed its doors after struggling with escalating costs and cash flow issues.

On March 17, Nathan Jones and John Lowe, partners at FRP Advisory, were appointed joint administrators.

While 17 employees are being supported with redundancy payments, 14 staff members remain to assist with the winding-down process.

Despite decades of experience, Ledwell Plastics was unable to overcome mounting financial pressures. Administrators at FHP said: “The company couldn’t overcome the financial pressures of a challenging operating environment.

“Despite having future work lined up, increasing costs and cash flow problems led to the company’s insolvency. Unfortunately, Ledwell Plastics had no choice but to enter administration.”

Administrators are in talks with potential buyers interested in its assets.