East Yorkshire Emergency Vehicle Manufacturer Collapses, 157 Positions Lost
Administrators have officially confirmed the closure of O&H Vehicle Conversions, a Goole-based manufacturer of emergency vehicles, ending more than three decades of operation at its Larsen Road facility. The insolvency process has resulted in the loss of 157 jobs, dealing a significant blow to the local manufacturing sector.
Financial Struggles and Delivery Delays Prove Fatal
Insolvency experts from BDO LLP were appointed last week after the company filed a notice of intention to appoint administrators. The administrators revealed that the business had been severely affected by delivery delays which directly impacted revenue and cashflow. According to their assessment, directors were left with no alternative but to place the company into administration.
Mark Thornton, one of the joint administrators, stated: "It is always a sad day when a longstanding business is forced to close. Given the financial position and outlook for the company, securing a sale of the business as a going concern was not possible."
Failed Rescue Attempts and Plant Closure
Attempts to market the business had been ongoing even before BDO's appointment, but a sale as a solvent, going concern could not be achieved. The 64,000 square foot plant, which specialized in manufacturing ambulances and other rapid response emergency vehicles, is now permanently shut.
The most recent accounts for O&H Vehicle Conversions Group Ltd, covering the year up to the end of February 2024, reveal a turnover of £22.3 million alongside operating losses exceeding £9.7 million. Company executives attributed significant delays to multi-year NHS Trust orders for ambulances that required new post-Brexit accreditations.
Leadership Statements and Employee Impact
Just weeks before the administration, CEO Mark Brickhill released a statement indicating that approximately £2.2 million in sales had been postponed since November of the previous year. He noted that O&H had received substantial support from shareholders over the years, amounting to over £25 million in what he described as a "very challenging industry."
A former director expressed deep sadness about the closure: "It's a difficult day, saying goodbye to so many talented and dedicated colleagues at O&H. People who showed up every day with pride, resilience, and a genuine commitment to doing things the right way. Watching a team like that be broken apart is heart breaking."
The former director continued: "I'm incredibly proud of what we achieved together, and I'm grateful for the friendships, the support, and the professionalism you all brought to work every single day. To everyone affected, I wish you nothing but success in finding your next role."
Current Priorities and Employee Support
Administrators have stated that their priority now is to support employees impacted by the closure and realize assets in line with their duties to maximize returns for creditors. Several O&H employees have already taken to social media in recent days to search for new employment opportunities, highlighting the immediate personal impact of the business collapse.
The closure represents a significant loss to the emergency vehicle manufacturing sector in East Yorkshire and underscores the ongoing challenges facing specialized manufacturing businesses in the current economic climate.
