Erith Group

Last updated
Erith Group
Company typePrivate, Employee-owned
IndustryConstruction, Civil engineering
Founded1967;59 years ago (1967) [1]
FounderTom Darsey [1]
HeadquartersErith House, Queen Street, Erith, London
Key people
Steve Darsey, Group chair
Steven May, CEO
ProductsDemolition, asbestos removal, land remediation, site preparation, enabling works
RevenueIncrease2.svg £243.1 million (2024)
Increase2.svg £8.3 million (2024)
Increase2.svg £9.0 million (2024)
Number of employees
500+ [1]
Parent Erith Holdings Ltd [2]
Website www.erith.com

Erith Group is a British construction and civil engineering group specializing in site preparation, demolition, remediation, and infrastructure services. Founded in 1967 and headquartered in Erith, London, the group operates through multiple subsidiary companies providing comprehensive enabling works, plant services, waste management, and haulage across major UK infrastructure and commercial projects.

Contents

The group's principal operating company, Erith Contractors Limited, was fined £17.6 million in 2023 by the UK Competition and Markets Authority for participating in bid-rigging activities in the demolition sector. [3]

History

Erith Group traces its origins to 1967, when Tom Darsey founded a single-vehicle haulage business in Erith, London. [4] Throughout the 1970s and 1980s, the business expanded from local haulage into demolition and civil engineering services, gradually developing the multi-company structure that forms today's Erith Group.

In 2017, the Darsey family transferred ownership of the entire Erith Group into an Employee Ownership Trust. Under this structure, qualifying employees across all group companies receive annual bonuses and dividends, and the business is managed for the collective benefit of its workforce. The EOT model has been maintained as the group has continued to expand its operations and subsidiary companies. [5]

Group Companies

Erith Contractors Limited

Erith Contractors Limited is the principal operating company within Erith Group and its largest subsidiary. The company was formally incorporated as Erith Demolition and Construction Co. Limited on 15 March 1973, [6] changing its name to Erith Contractors Limited in 1987. [7]

Erith Contractors specializes in demolition, asbestos removal, land remediation, and civil engineering works for major infrastructure and commercial development projects across the UK. The company serves as the primary contracting entity for the group's largest and most complex projects.

Financial Performance

For the financial year ending 30 September 2024, Erith Contractors reported revenues of £243.1 million (up 13.8% from £213.7 million) and pre-tax profits of £9.0 million (up from £6.0 million the previous year). [8] The company's balance sheet showed net assets of £23.6 million and approximately £27 million in cash reserves. [9]


Erith Plant Services

Erith Plant Services, established in 2014, operates as the group's dedicated plant and equipment division. [10] The company manages the group's fleet of heavy machinery and specialized vehicles, valued at over £8.5 million, including excavators, crushers, recycling machinery, and heavy transport equipment.

Erith Plant Services provides equipment procurement, maintenance, and management services for projects across the Erith Group, as well as offering plant hire services to external clients. The division ensures the availability and reliability of specialized equipment required for large-scale demolition, earthworks, and civil engineering operations.

Incidents

Death of Liam McArdle

In September 2021 a 24‑year‑old worker, Liam McArdle, was fatally crushed by a demolition grab while working at Erith Plant Services Ltd’s workshop in Eastern Quarry (Swanscombe, Kent). [11] An HSE investigation found Erith Plant Services had “failed to ensure there was a safe method of work” when loading attachments onto excavators, including lack of driver training, poor vehicle/pedestrian segregation, and inadequate supervision. [12] In March 2024 Erith Plant Services Ltd pleaded guilty to breaching Section 2(1) of the Health and Safety at Work Act 1974 and was fined £175,000 (plus ~£37,800 costs) by Woolwich Crown Court. [13]

Anchor Bay Wharf roof-fall accident

In January 2015 two drivers from Erith Haulage Co. Ltd. undertook unscheduled roof‑cleaning work at their yard in Anchor Bay Wharf (Erith, Kent). One driver fell through an unprotected skylight 4.5 m to the floor, suffering serious injuries (skull fractures, broken arms, etc.). [14] The HSE prosecuted Erith Haulage for failing to properly plan or supervise work at height. [15] In March 2017 Erith Haulage pleaded guilty to breaching Regulation 4(1) of the Work at Height Regulations 2005 and was fined £215,000 (plus ~£10,600 costs). [16]

CMA investigation into Erith Contractors

In 2023 Erith Contractors was implicated in a UK Competition and Markets Authority (CMA) investigation of bid-rigging in the demolition and asbestos-removal sector. In March 2023 the CMA fined Erith £17.6 million for its role in colluding on contract tenders with other firms. (The CMA’s investigation, which covered five years of contracts in London and the South East, resulted in fines against Erith and several other companies.) Erith did not admit its involvement in the scandal and so did not have its fine reduced. [17] Notably, Erith reported in April 2025 that it had paid off the entire £17.6m fine ahead of schedule – completing repayment two and a half years earlier than originally planned. The company has stated that it resumed normal operations and returned to profitability following the settlement, and that the early repayment was enabled by a strong trading performance. [18]

Sewage spill in Wales

In late September 2023 Erith Contractors Ltd (a subsidiary of Erith Group) caused a pollution incident in Cardiff. A demolition crew demolishing a former HMRC building accidentally ruptured a main sewer line, discharging raw sewage into Llanishen Brook and Roath Park Lake. Natural Resources Wales (NRW) investigated after a public report and worked with Erith to contain the spill. [19] In June 2025 NRW announced that Erith Contractors had accepted responsibility and signed an enforcement undertaking. As part of that undertaking, Erith agreed to donate £150,000 to the South East Wales Rivers Trust to fund river conservation projects in the affected area. [20]

John Doyle Construction Ltd v Erith Contractors Ltd (2021)

John Doyle Construction Ltd (in liquidation) v Erith Contractors Ltd
CourtCourt of Appeal (Civil Division)
DecidedOctober 7, 2021 (2021-10-07)
Citation[2021] EWCA Civ 1452; [2021] WLRD 516
Holding
An insolvent company is not entitled to summary judgment to enforce an adjudication award unless the insolvency set-off has been finally determined or "clear, evidenced and unequivocal" security is provided for the award and potential costs.
Court membership
Judges sitting Lewison LJ, Coulson LJ, and Edis LJ
Keywords
Construction Law, Adjudication, Insolvency, Summary Judgment, Set-off

John Doyle Construction Ltd (in liquidation) v Erith Contractors Ltd [2021] EWCA Civ 1452 is a Court of Appeal case on enforcing adjudication awards against an insolvent company. JDC was a subcontractor on the Queen Elizabeth Olympic Park project. JDC went into liquidation and disputed its final account with Erith: JDC claimed about £4 million was due, while Erith said JDC had already been overpaid by about £3 million. [21] After a five-month adjudication, the adjudicator awarded roughly £1.2 million to JDC. Erith challenged enforcement. At first instance (Fraser J, TCC), the court refused summary judgment enforcing the award because JDC had not provided adequate security against Erith’s counterclaims. JDC appealed. [22]

The Court of Appeal (Coulson LJ, Lewison LJ, Edis LJ) upheld the refusal. Coulson LJ held that a liquidated claimant must show any payment is safely ring-fenced. In particular, any offer of security must be “clear, evidenced and unequivocal”. [23] In Doyle v Erith, the proposed security (an insurance policy and a letter of credit) was held insufficient. [24] The Court emphasized that judges should not be expected to conjure security from vague suggestions; a claimant must make formal, unambiguous undertakings to protect any funds. In short, if a company in liquidation seeks to enforce an adjudication, it must be beyond doubt how the award will be ring-fenced against future claims. [25]

The judgment also (in obiter) dealt with the effect of insolvency set-off. Because an adjudicator’s decision is provisional, it cannot finally fix the net balance between mutual claims. Coulson LJ noted that if the paying party has an unresolved counterclaim or set-off, the adjudication award does not determine the true balance of what each owes. [26] On that basis, the Court held an insolvent claimant is generally not entitled to enforcement by summary judgment when a genuine cross-claim remains. Enforcement can only proceed if the net balance can be determined at once – for example, if the cross-claim is undisputed or can itself be decided immediately. [27] Otherwise, the Insolvency Rules (and set-off) prevail, and the liquidated party must pursue its net claim in full litigation.

The immediate outcome was that JDC’s appeal failed – it neither proved adequate security nor overcame Erith’s set-off. Coulson LJ remarked that the sort of security needed (essentially an indemnity and a ring-fenced escrow) would make summary enforcement a “futile gesture” for liquidators. [28] Commentators note that the Court effectively reaffirmed a “fundamental incompatibility” between the quick-pay adjudication regime and the insolvency set-off regime. [29] In practice, an insolvent claimant may now have to rely on full court proceedings to recover its net claim, even after “winning” an adjudication.

Major projects and operations

Old Oak Common station under construction in March 2022 Old Oak Common station 12-3-22 photo 10.jpg
Old Oak Common station under construction in March 2022

Erith Contractors has worked on numerous major UK infrastructure and commercial projects, typically providing demolition, site clearance and remediation. Recent examples include:

Other large projects (from Erith’s project portfolio) have included enabling works on London developments and tunnels, such as early-phase demolitions on the Thames Tideway and Silvertown Tunnel projects, and major building redevelopments in the South East.

References

  1. 1 2 3 "Haulage Brochure (July 2025)" (PDF). Erith Group. Retrieved 2026-01-10.
  2. "Erith Holdings Limited". GOV.UK. Retrieved 7 January 2026.
  3. India Fahy, Edward Coulson. "Demolished by the CMA - collusion in the demolition industry". JD Supra. Archived from the original on 2026-01-10. Retrieved 2026-01-07. On 23 March 2023 the UK Competition and Markets Authority ('CMA') issued an announcement that it has issued fines totalling nearly £60m to 10 construction firms for illegally colluding to rig bids for demolition and asbestos removal projects in both the public and private sectors. The largest fine of £17.5m was issued to Erith.
  4. Fieldfisher LLP. Employee Ownership Case Studies: Transitions and Success Stories 2015-2017. The Erith Group was founded in 1967 by Tom Darsey
  5. "Erith pays down bid-rigging fine over two years early". Construction Enquirer. Retrieved 2026-01-06. At year-end, headcount stood at 544, with 447 qualifying for the Employee Ownership Trust bonus scheme. Since its inception, back in 2017, the EOT has paid out over £5.3m to staff – including £540k in the latest financial year.
  6. Companies House, Office of the Registrar of Companies. Certificate of Incorporation - Broth Demolition and Construction Co. Limited (1973).
  7. Companies House, Companies Registration Office Cardiff. Certificate of Incorporation on Change of Name - Erith Contractors Limited (1987).
  8. Butler, Rory (2025-04-09). "Robust revenue and profits for Erith". Construction Wave. Retrieved 2026-01-07. Turnover for the year ended 30 September 2024 increased 13.8 per cent to £243.1 million from £213.7 million the year prior, generating a pre-tax profit of £9 million, up from £6 million in FY2023.
  9. Butler, Rory (2025-04-09). "Robust revenue and profits for Erith". Construction Wave. Retrieved 2026-01-06. At the year end, the family-run business had improved net assets and total equity of £23.6 million, up from £18.2 million the year before, with increased cash reserves too of £27 million.
  10. Companies House, Registrar of Companies for England and Wales. Certificate of Incorporation and Registration Documents - Erith Plant Services Limited (2014).
  11. "Construction firm fined £175k after worker fatally crushed". Kent Online. 2024-04-04. Retrieved 2026-01-10. The fatal crush happened at Erith Plant Services Limited's workshop in Ebbsfleet's Eastern Quarry in Watling Street, Swanscombe, the site of a major garden city homes development.
  12. "Demolition grab fatality leads to £175k fine". www.theconstructionindex.co.uk. Retrieved 2026-01-10. A Health & Safety Executive (HSE) investigation into the incident found that Erith Plant Services had failed to ensure there was a safe method of work while loading and unloading excavators and attachments.
  13. "Erith Plant Services fined £175,000 after worker crushed to death | Agg-Net". www.agg-net.com. 2024-04-05. Retrieved 2026-01-10. Erith Plant Services, who pleaded guilty to breaching Section 2(1) of the Health and Safety at Work etc. Act 1974, were fined £175,000 and ordered to pay £37,804 in costs at Woolwich Crown Court on 27 March 2024.
  14. Efthmyiou, George (2017-02-03). "£215,000 Fine After Fall From Height". Shout Out Safety. Retrieved 2026-01-10. After some time cleaning, the driver noticed a section of roof left uncleaned and while walking along a section of the roof he fell through a skylight. He landed on a concrete floor 4.5 metres below. The fall caused the man to spend a month in hospital sustaining significant injuries to his skull with multiple facial fractures. He also suffered damage to bones in both arms which needed pins and plates.
  15. "Cleaning Matters Magazine - Company sentenced after worker seriously injured during roof cleaning". www.cleaning-matters.co.uk. Retrieved 2026-01-10. HSE prosecuted the company for its failure to ensure that work at height was properly planned, appropriately supervised and carried out in a manner which was safe, so far as reasonably practicable.
  16. "Cleaning Matters Magazine - Company sentenced after worker seriously injured during roof cleaning". www.cleaning-matters.co.uk. Retrieved 2026-01-10. Erith Haulage Company Limited of Erith House, Queen Street, Erith, Kent pleaded guilty to breaching Regulation 4(1) of The Work at Height Regulations 2005, was fined £215,000 and ordered to pay full costs of £10,622.
  17. "Construction industry in firing line again as CMA imposes fines of circa £60m and secures director disqualifications - Macfarlanes". www.macfarlanes.com. Retrieved 2026-01-06. Erith (which received a fine of approximately £17.5m) was not one of the settling parties that admitted its involvement in the conduct.
  18. "Erith pays down bid-rigging fine over two years early". Construction Enquirer. Retrieved 2026-01-07. Kent-based demolition specialist Erith has paid off its £17.6m bid-rigging fine two and a half years early after another strong trading performance.
  19. Capel, Michael (2025-07-02). "Company donates £150,000 to local rivers trust after polluting a Cardiff river". Water Magazine. Retrieved 2026-01-10. A demolition crew had damaged a main sewer line, causing raw sewage to discharge into a tributary of Llanishen Brook, which ended up in Roath Park Lake. Working closely with staff from Erith Contractors Ltd and Dŵr Cymru Welsh Water, NRW officers ensured that the damaged sewer was repaired and the pollution contained later that same day.
  20. "Natural Resources Wales / Company donates £150,000 to local rivers trust after polluting a Cardiff river". naturalresources.wales. Retrieved 2026-01-10. A company responsible for polluting Llanishen Brook and Roath Park Lake in Cardiff has agreed to donate £150,000 to a local environmental charity, following an enforcement undertaking secured by Natural Resources Wales (NRW).
  21. Maris, Gatehouse Chambers-Michael (2022-02-16). "Insolvency and Adjudication in John Doyle Construction". Lexology. Retrieved 2026-01-06. Erith for £4 million they claimed to be due, and attempted to assign their claim to a litigation funder, Henderson & Jones ("HJ"). Erith denied the claim and submitted that JDC had already been paid out more than £3 million too much.
  22. Maris, Gatehouse Chambers-Michael (2022-02-16). "Insolvency and Adjudication in John Doyle Construction". Lexology. Retrieved 2026-01-06. The adjudicator decided in JDC's favour, in the sum of around £1.2 million, and Erith immediately challenged the decision by way of a Notice of Dissatisfaction. JDC then submitted a letter before claim which tacitly recognised that, if Erith paid out the adjudication sum to JDC, the money could be distributed, and that little would be recovered if it transpired that the adjudicator had been wrong.
  23. "Wayback Machine" (PDF). www.judiciary.uk. Archived from the original (PDF) on 2025-04-28. Retrieved 2026-01-06. In particular, any undertakings or security being offered by a claimant company in liquidation need to be clear, evidenced and unequivocal.
  24. "Going for broke - The Court of Appeal decides the limits on insolvent party enforcement of adjudication awards | DLA Piper". www.dlapiper.com. Retrieved 2026-01-06. outstanding matters between the parties (whether under the same construction contract or not), and whether appropriate security is put forward to ensure the paying party can recover the sums paid, and their legal costs, in the event of a subsequent challenge to the adjudicator's decision. On the facts, Fraser J held that the security offered by John Doyle was inadequate, and declined summary enforcement of the adjudicator's decision on that basis.
  25. "Wayback Machine" (PDF). www.judiciary.uk. Archived from the original (PDF) on 2025-04-28. Retrieved 2026-01-06. decision, notwithstanding its own liquidation, it needs to be unequivocal about any offer that it is making to ring-fence that money or otherwise protect it. Where there is a dispute about the sufficiency of the undertakings or security on offer, it must at least be beyond argument what has been offered and why.
  26. "Going for broke - The Court of Appeal decides the limits on insolvent party enforcement of adjudication awards | DLA Piper". www.dlapiper.com. Retrieved 2026-01-06. The Court of Appeal went further however, and found that as an adjudication is necessarily provisional, an adjudicator's decision could not finally determine the net balance between the parties even where all relevant claims and cross-claims had been considered in the course of the adjudication. In a dispute such as between John Doyle and Erith, where both parties claimed they were owed money in relation to the final account, Erith had an on-going set off against the amount claimed by John Doyle because it was open to Erith to challenge the adjudicator's decision in final proceedings and assert its own full claims.
  27. "Going for broke - The Court of Appeal decides the limits on insolvent party enforcement of adjudication awards | DLA Piper". www.dlapiper.com. Retrieved 2026-01-10. This finding carries substantial implications. While, following Bresco, insolvent parties have the right to adjudicate and obtain a decision on their claims, they will not be able to enforce that decision by summary judgment unless it is possible to show at a summary judgment application that the 'net balance' between the parties can be determined. This may be possible where there is no disputed cross claim, or where the disputed cross-claim can be decided or dismissed summarily, but where the final position between the parties remains subject to substantive further proceedings, an insolvent party will have difficulty obtaining judgment on the adjudicator's decision.
  28. fifteen (2021-12-22). "Adjudicating while insolvent". Archor. Retrieved 2026-01-10.
  29. "Henderson & Jones | News & Insights: John Doyle Construction v Erith Contractors". www.hendersonandjones.com. Retrieved 2026-01-10. For many, it is therefore surprising that, despite Lord Briggs's findings in Bresco, the Court of Appeal (with the leading judgment again given by Coulson LJ) has today concluded in John Doyle Construction v Erith Contractors [2021] EWCA Civ 1542 that there remains a "fundamental incompatibility between the adjudication regime and the insolvency set-off regime" (paragraph 93).
  30. Johnson, Thomas (2026-01-06). "Kent Council awards £18.6M contract for Bean Road tunnel to link Whitecliffe and Bluewater". New Civil Engineer. Retrieved 2026-01-06.
  31. "UK's biggest building wrap unveiled on hospital site". Construction Enquirer. Retrieved 2026-01-06.
  32. "Sheds demolished ahead of HS2 super-hub". CompeteFor. 2019-08-01. Retrieved 2026-01-06.
  33. Ebbsfleet Development Corporation. Ebbsfleet's Social Value Impact Report 2024/25: Maximising Positive Impact for Local Communities. Erith Contractors, based in Ebbsfleet for 11 years, have played a key role in land remediation and road infrastructure for housing. As a long-term regeneration partner, they are committed to local employment, with 75 staff from Dartford and Gravesham – 13% of their 577-strong workforce.