Lancs recycling firm goes under

A LANCASHIRE recycling firm has fallen into administration.

KPMG partners Brian Green and Paul Dumbell were appointed to Lancaster-based Ellel Recycling last week and are now looking for a buyer.

The business operates as a recycling operation of inert materials with a state-of-the-art waste washing plant; it also owns a quarry and landfill site at Ellel near Lancaster, together with associated ancillary and agricultural land. 

KPMG said two employees, who worked at the 110 acre site, have been made redundant.

Paul Dumbell, restructuring director at KPMG, said:  “The business has lost a number of customers in recent years, in part due to the recession and its impact on the construction industry which was a major source of custom for its products and services.

“The subsequent reduction in turnover has left the business with insufficient cash to pay its creditors as and when they fell due, and an inability to comply with environmental requirements.”

The administrators say they are reviewing the options for the business and the site.