A West Cumbrian engineering firm was unable to secure private investment to continue trading, its administrators said.
Iain Nairn and Sean Williams from Leonard Curtis were appointed as joint administrators of the firm, based on Curwen Road.
It said: “Following the successful sale of TSP Engineering to Workington Engineering in September 2024, the company was able to protect some contracts and was seeking private investment to help the business recover.
“Unfortunately, despite the efforts of the management team and advisers that investment was not forthcoming and ultimately the company has had to cease trading.”
Mr Nairn added: “Directors at Workington Engineering have been unable to move the business forward since last year and have had no option but to close the doors. It is a very sad day for everyone involved.
“There have been big challenges in the last few years in the steel sector and the inability of the company to raise investment has caused its closure.”
It became part of the GMET Technical Services group last September in a rescue deal for the Curwen Road site.
It was formerly TSP Engineering, which was bought by Chinese firm Jinge Steel in 2020, which then placed it into administration.
It was then bought by family-owned GMET Engineering, based in Silecroft.
It traded under the name TSP Engineering and one of its directors was Robert Mawson.
Last year, the firm said it had faced tough market conditions, leading to increased financial pressure and debt.
A petition to wind up the company was published on August 2 2024. In September, administrators Leonard Curtis said the plant’s jobs had been saved after a sale to Workington Engineering.
Set up in 2019 and known as Red Squirrel Developments Ltd until last year, Companies House lists the directors of Workington Engineering as Robert Mawson and Simon Mawson.
Director John Hancock resigned last Thursday, June 5 2025.
He said: He said: “I know full-time union officials and our MP have been involved, however plenty of effort has been put in to save British Steel in Scunthorpe – let’s see the same effort in Workington.
“I also call on Sellafield to not reject Chapel Bank in its hour of need. All of the fantastic work done in the past for Sellafield, including Magnox flasks, can be repeated in the future.
“West Cumbria needs Chapel Bank. I call on Sellafield to step up to the plate. With actions and money, they can do it to give Chapel Bank a lifeline and a future.”
The administrators said they were working with the Unite union, employment agents, local support services and the Redundancy Payment Service, which is the government office that handles claims for redundancy and other money owed by an insolvent employer, to ensure employees receive all their entitlements.
An open day will be held at Workington JobCentre between 10am and 4pm for workers affected.
Josh MacAlister, Whitehaven & Workington MP said he had been working with the union to get support in place for the affected staff and was also speaking to Lakes College at Lillyhall to make sure the firm’s 20 apprentices were supported.
Forth Engineering, based at Flimby, said it was also recruiting and wanted to hear from people employed by Chapel Bank Engineering.
