The steelwork giant said its Modular Solutions division based in Sherburn would be discontinued following a board-level assessment of markets, operations and group structure.<\/p>\n
Chief executive Paul McNerney said the closure was an early step in reshaping the group\u2019s strategy, with a broader update on growth plans due later this year.<\/p>\n
The modular unit generated \u00a324m of revenue and \u00a30.4m of underlying pre-tax profit in the year to March 2025 but has since been hit by a tougher trading backdrop and a slowdown across the wider modular construction market.<\/p>\n
Severfield said it had considered a range of strategic options before deciding to pull the plug, describing the operation as non-core to the group\u2019s long-term focus on structural steelwork.<\/p>\n
The move does not affect Construction Metal Forming, which will continue as a separate joint venture.<\/p>\n
The group said it was working with affected staff and stakeholders to limit the impact of the closure, including through consultation and redeployment where possible.<\/p>\n
Severfield said the decision would not change its expectations for FY26 underlying pre-tax profit or net debt. <\/p>\n
Modular Solutions will be treated as a discontinued operation and the group does not expect a material cash impact.<\/p>\n
The business continues to lean on its core steelwork operations, backed by a diversified \u00a3479m order book as at 1 January 2026.<\/p>\n<\/p><\/div>\n
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