Burnley-based building firm Gavin Ward has gone into administration, but its heating and plumbing division will continue trading.

The company provides heating, insulation, renewables, plumbing and building services, and employs around 50 people.

The decision of the Coalition Government to scrap the Warm Front grants scheme for insulation is blamed for the decision to call in the administrators, reports the Burnley Express.

A spokesman for Gavin Ward said: “For some time staff have been aware of the difficulties the business has been facing and I am grateful for the tremendous effort they have all put in.

“A cut-throat trading environment and major changes to government policy in how domestic insulation services and repairs are funded is hitting our industry hard. It has become necessary to focus Gavin Ward Ltd’s efforts solely on the heating side of the business.

“As a result, it is with regret that I can confirm the closure of the company’s insulation and building services divisions, with the loss of those people employed in that division. Unfortunately, we will lose some good people. The heating and plumbing division will remain with us. We must now look forward as a company.”

Manchester firm of chartered accountants CLB Coopers has been appointed as administrator.

Partner Mark Getliffe said: “We are hopeful that part of the business value can be realised.”

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