MORE than 50 people have lost their jobs as a Chard-based company collapsed after 37 years trading.

RG Spiller, a construction company based on Jarman Way which incorporated in 1981, and it’s non-trading parent company, Howard Contractors, ceased trading on July 3.

The company had been struggling with cash-flow problems for some time, so was forced to close its doors before it completely ran dry of funds.

In total, 57 people were made redundant following the financial difficulties.

Chard & Ilminster News: CLOSED: RG Spiller, Jarman Way, Chard. INSET: Some of the RG Spiller vans

The company's headquarters on Jarman Way.

The companies went into administration on July 10 after advice from Jonathan Williams, head of business recovery and insolvency for Exeter-based accountants Bishop Fleming, which runs throughout the South West and Midlands.

He said: “Bishop Fleming were called in by Andrew Howard, RG Spiller’s director, and the company’s accountants to advise the company after suffering with cash flow difficulties for some time.

"Their cash flow forecast projections showed they were close to running out of funds.

“We looked at the possibilities of a creditors voluntary arrangement and trading for a short period to complete current contracts, but the cash requirements for this were too great.

“We advised the director there was no alternative but to stop trading because there were insufficient funds to make any further payments to creditors and the workforce.

“Accordingly, 57 staff have been made redundant by the company. RG Spiller Ltd is not continuing to trade.

“Following our appointment as administrators, we will be working to realise as much of the assets for benefit of the companies’ creditors.”

Former employee Hamish Fenwick, from Donyatt, worked at RG Spiller for 24 years.

He said the news of the closure came as a shock to himself and his fellow employees, some of whom have been working there for decades.

“It was very abrupt,” he said.

“No one knew what was going on, it came as a shock. They took us out into the yard to tell us.

“It’s quite a big company, it’s been running for a while. I know most of us will be okay, you have to try and adapt to these things. It shows you can never get complacent.”