A GROUP of engineering companies that has worked on projects throughout the region and nationally has gone into administration.

The Allerton Group, in Northallerton, North Yorkshire, which has been based in the town for more than 50 years, employs about 100 people.

Hunter Kelly and John Sumpton, of Ernst and Young, were yesterday appointed joint administrators of the group, which includes Allerton Industries, Allerton Engineering and Allerton Bridges.

Most staff outside Allerton’s headquarters, in Thurston Road, declined to comment yesterday, while one said staff had been told not to say anything.

Allerton Engineering has been involved in a number of high-profile projects, such as the recent redevelopment of the Landsdowne Road sports stadium, in Dublin.

Administrators stressed that Allerton Engineering and Allerton Bridges – a specialised steel fabricator and bridge manufacturer respectively – were profitable businesses and would continue to trade.

Mr Kelly praised the group’s “highly skilled” staff and said he had already received expressions of interest from potential buyers.

He said: “The group had to seek the protection of administration due to cash-flow pressures.

“The underlying business of Allerton Engineering and Allerton Bridges is profitable, with a strong order book and a highly skilled workforce.

“These businesses are continuing to trade while we pursue a sale of the business as a going concern.

“We have already received expressions of interest from potential purchasers and are hopeful of achieving a successful outcome.”

Northallerton Mayor Tony Hall is a former employee who joined the company as a trainee draughtsman in 1966.

He said: “I had heard unofficially that it might be going into administration, but I did not want to believe it.

“Allerton is a company that is very close to my heart. It is a sad day and a very big blow to the town. The company has given a lot to Northallerton.

“There are staff working there that have been there since I was. Those skills, in bridge-building and steel work, will have been built up over time.We will have to wait and see if it can be salvaged.”