Setback for new £40m courthouse after firm's collapse

The new magistrates court is planned for Blackpool but a contractor leading the plans has folded

A new £40m magistrates courthouse is facing building delays after the project's main contractor collapsed.

Blackpool's magistrates court was one of 22 projects belonging to construction giant ISG, which was working on the scheme for the Ministry of Justice.

But the firm went into administration in September, leaving 2,200 workers at risk of redundancy, the Local Democracy Reporting Service said.

Work was due to start early next year with a completion date expected in 2026.

Proposals for the new three-storey courthouse, on the corner of Devonshire Road and Talbot Road, were unanimously approved by the council’s planning committee in February after being submitted by the MoJ in October 2023.

'Efforts ongoing'

A report to a meeting of the council’s tourism, economy and communities scrutiny committee said: “efforts are ongoing" to complete the decommissioning of the existing courts building on Bonny Street in the meantime.

But no further information on the next steps in constructing the new building has been detailed.

ISG was reported to be holding more than £1bn worth of government contracts before falling into administration.

The existing courts were permanently closed in November 2023 due to the discovery of potentially dangerous RAAC (reinforced autoclaved aerated concrete).

It means defendants, lawyers and court staff must currently travel to alternative courts outside the town.

Money set aside towards the new courthouse included £40m from the previous government's Levelling Up Fund and £8m from the Town Deal.