A CONSTRUCTION equipment hire company and property developer based in Swanage has gone into administration following “health issues” with the chief executive. 

D&P Lovell Limited, based in Prospect Business Park, had just £22 left in the company’s account with Handelsbanken, administrators Mazars LLP has revealed in documents. 

As recently as 13 months ago, the family-run construction machinery specialist seemed to be a company on the up. 

Chief executive Allen Lovell had investment in a new junior team for the Bennetts British Superbike Championship. 

Dorset Echo: Flats are being built by the company in Victoria Avenue, SwanageFlats are being built by the company in Victoria Avenue, Swanage (Image: Google)

But in a statement of administrator's proposal report, the administrators said D&P Lovell’s chief executive had been suffering “health issues and has been incapacitated since September 2023”. 

Since then, the company “effectively ceased to trade” as a result of Mr Lovell’s absence, Mazars LLP said in its report on Companies House. 

Two flats and two maisonettes which are in the process of being built in Victoria Avenue, Swanage and are advertised for sale in excess of £2m stand unfinished. 

But after the administrators delved into D&P Lovell’s finances, it has been found that the company owes millions of pounds. 

Dorset Echo: The business is based in SwanageThe business is based in Swanage (Image: Daily Echo)

According to the documents, it is believed Metro Bank is owed £449,411, loans provider BIG Property Finance, based in Birmingham, is owed £673,592 while HMRC is estimated to be owed £69,295. 

Dorset-based businesses are owed money, too, including £7,200 to AJ Dean Transport in Wimborne, £28,505 to Crescent Motorcycle in Verwood and £87,600 to Kingston Contractors in Swanage. 

Nick Wright Limited, from Swanage, is owed £60,000 while Southern Works, from Hyde, near Wareham, is owed £16,565. 

In total, £3,572,112 is owed to the company’s creditors and it is believed £2.37m is owed to around 135 unsecured creditors, according to the documents. 

Ten people are employed by the company, including the bosses, and more than £36,000 is owed to staff in unsecured and preferential credit. 

Founded in 1995, D&P Lovell had to cut costs in June 2023 and told three employees they were to be made redundant the next month. 

D&P Lovell has been approached by the Echo for a comment.