Rydon has made a £26.7m provision for its part of a settlement with those affected by the Grenfell Tower fire.
The firm, which was the main contractor for the 2015 refurbishment of the west London tower block, was one of several companies and organizations involved in a settlement agreed with 900 people earlier this year, worth £150 million.
Other parties to the deal included cladding manufacturer Arconic, insulation company Celotex and the Kensington and Chelsea Tenant Management Organisation.
The sum was paid to the bereaved and to those forced to leave their homes by the fire. It has no impact on the Grenfell Tower inquiry, which is due to issue a report early next year, or any potential criminal action over the June 2017 fire.
Accounts published this week by Rydon Group Holdings claim it set aside £26.7m for the deal, associated legal costs and a possible additional settlement with those not covered by the previous deal, including emergency services .
A Rydon spokesman said: “Following a productive and co-operative engagement between the parties, settlement terms have been agreed with the vast majority of those affected without the need for a protracted legal process.
“Rydon continues to express his deepest condolences to the residents of Grenfell and their families.”
In accounts covering the year to 30 September 2022 published this week, the company says the Grenfell Tower inquiry has shown cladding and insulation manufacturers “circumvented fire regulations to help in marketing their products and the certification process was very weak.” .
He added that the government admitted in early 2023 that the building regulations in use were “flawed and ambiguous”.
Elsewhere, accounts show Rydon’s turnover has fallen to £91.2m from £141.24m in 2021 and £246m in 2017.
It posted a pre-tax profit of £6.2m for the period, similar to £6.1m in the previous 12 months.
The company ceased operating as a design and build contractor in its 2020/21 financial year, apart from dealing with legacy projects, with revenue from its Rydon Construction business falling to just £5.3m pounds from 46.7 million the previous year.
Its development business Rydon Homes and maintenance arm Rydon each generated more than £42.6m.
Rydon Homes is one of two developers that has not signed a contract with the government agreeing to pay for repairs to the unsafe buildings it developed, despite being asked to do so. So far, 53 developers have signed the repair contract.
