A report from the liquidators of a failed North Yorkshire housebuilder that crashed with debts topping £320 million has revealed how little will be paid to creditors.

Ilke Homes, which was based by the A1(M) at Flaxby near Knaresborough, ceased trading and entered administration in June 2023, despite claims of a bulging order book for its modular homes.

Some 1,100 jobs were lost and the company, founded in 2018, left a long list of creditors.

A report last October from administrators AlixPartners said debts included £68.7 million to Homes England, with the government housing agency listed as ilke’s biggest single creditor.

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Staff were also owed £725,000, the HMRC was owed £2.2 million and unsecured creditors a further £249.3 million, said that report.

AlixPartners were then appointed liquidators of the company following a court winding up order.

Now, the liquidator has released a progress report, which reveals what may be paid.

The report says Homes England has a ‘likely level of return’ of £128,423, as a secured creditor.

Ilke Homes also had ordinary creditors owed £724,614 and secondary creditors owed £2,192,810. Despite being preferential creditors, they will receive nothing.

There are also unsecured creditors owed £249,339,571 and their likely return is also nothing.

The report said the anticipated return to Homes England from the Company comprises solely from the realisations from plant and machinery that was later sold.

The report says such sales generated £908,205, including an assembly line which sold for £188,000.

The likely levels of return are estimated, so the pay-out to Homes England may change, but the liquidators “do not anticipate that any funds will become available to enable any distributions to the preferential and unsecured creditors.”

However, the report also said: “A distribution of £128,423 has been made to the secured creditors under the subordination deed in respect of the plant and machinery subject to the Chattel mortgage.”

The report also said investigations were carried out into the conduct of the directors and transactions prior to the administration as required by government legislation.

“Based upon the outcome of the investigation, there were no matters identified that required further action,” it added.

As previously reported, Ilke’s collapse last year came after housebuilder L&G Modular closed in May 2023, with the loss of hundreds of jobs in Sherburn-in-Elmet, North Yorkshire.

In recent years, ilke Homes had grown rapidly, taking on 500 workers in 2022, fuelled by major capital injections.

Investors pulled the plug in June, reportedly over concerns at the rate of cash burn. This led to a scramble to find a buyer, which sadly never materialised.

Ilke blamed “volatile macro-economic conditions and issues with the planning system” for its troubles.