Laing O’Rourke
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Laing O'Rourke is a multinational construction company headquartered in
Dartford Dartford is the principal town in the Borough of Dartford, Kent, England. It is located south-east of Central London and is situated adjacent to the London Borough of Bexley to its west. To its north, across the Thames estuary, is Thurrock in ...
,
England England is a country that is part of the United Kingdom. It shares land borders with Wales to its west and Scotland to its north. The Irish Sea lies northwest and the Celtic Sea to the southwest. It is separated from continental Europe b ...
. It was founded in 1978 by Ray O'Rourke. It is the largest privately owned construction company in the United Kingdom.


History

The company was founded by Ray O'Rourke in 1978. It was originally based in
East London East or Orient is one of the four cardinal directions or points of the compass. It is the opposite direction from west and is the direction from which the Sun rises on the Earth. Etymology As in other languages, the word is formed from the f ...
, and was known as R. O'Rourke & Son. In September 2001, R. O'Rourke bought Laing Construction from
John Laing plc John Laing Group plc is a British investor, developer and operator of privately financed, public sector infrastructure projects such as roads, railways, hospitals and schools through Public-Private Partnership (PPP) and Private Finance Initiativ ...
for £1. Laing's construction business had been making significant losses, in part due to additional costs on the Cardiff
Millennium Stadium The Millennium Stadium ( cy, Stadiwm y Mileniwm), known since 2016 as the Principality Stadium ( cy, Stadiwm Principality) for sponsorship reasons, is the national stadium of Wales. Located in Cardiff, it is the home of the Wales national rug ...
project. The name of the company was changed to Laing O'Rourke. In May 2004, the company acquired Crown House Engineering, a mechanical and electrical engineering business, from
Carillion Carillion plc was a British multinational construction and facilities management services company headquartered in Wolverhampton in the United Kingdom, prior to its liquidation in January 2018. Carillion was created in July 1999, following a ...
. Laing O'Rourke went on to expand its operations in Australia in July 2006, when it acquired
Barclay Mowlem Barclay Mowlem was an Australian construction company that traded from 1957 until 2006. History In 1957, Barclay Bros was founded in Brisbane by Don and Ian Barclay, growing to become one of the largest construction companies in Queensland. ...
, also from Carillion. In 2015, the company became a member of the
Housing and Finance Institute The Housing and Finance Institute (HFI) is an industry group whose stated aim is "to boost the capacity and delivery of housing". The institute is privately funded and works with the private and public sector to build more homes in the United King ...
. In December 2015, the chief executive officer of the company, Anna Stewart, stepped down with immediate effect due to ill health. Ray O'Rourke, the company's executive chairman, assumed her role although it was reported that O’Rourke could only spend a limited number of days in the United Kingdom, due to his tax exile status in
Jersey Jersey ( , ; nrf, Jèrri, label=Jèrriais ), officially the Bailiwick of Jersey (french: Bailliage de Jersey, links=no; Jèrriais: ), is an island country and self-governing Crown Dependencies, Crown Dependency near the coast of north-west F ...
. On 11 January 2016, Laing O'Rourke announced that it had begun the formal sale process of selling its Australian business. This was a result of multiple unsolicited offers and a desire to invest more heavily in the company's operations in the United Kingdom. In the year to 31 March 2016, the group made a pre tax loss £246m, after being hit by poor performance on its £1.3bn PFI hospital contract (at CHUM) in
Montreal Montreal ( ; officially Montréal, ) is the List of the largest municipalities in Canada by population, second-most populous city in Canada and List of towns in Quebec, most populous city in the Provinces and territories of Canada, Canadian ...
, Canada, and on several now completed problem contracts in the United Kingdom. In December 2016 it was rumoured the Australia arm has been taken off the market after Laing O’Rourke failed to find a buyer. The sale process was later discontinued and the Australian business was refinanced in 2017. In March 2017, the company withdrew 800 of its workers from the Ichthys LNG storage tank project after not receiving payments from Kawasaki for its work for several months: the amount in dispute was $250 million although Kawasaki rejected claims that it owed the disputed money. In the year to 31 March 2017, the group made a pre tax loss of £67m, largely due to losses of £81m (on revenues of just over £2 billion) at the largest operating division, Laing O'Rourke plc, mainly attributed to its PFI hospital contract at CHUM in Montreal, Canada. The contracting business then employed 8,539 people, more than half of the group's then 15,273 staff. Publication of the group's results of 2018 was delayed due to "historic turbulence in the construction sector" following the January 2018 collapse of Carillion; in December 2018, the company said increased scrutiny from lenders and accountants was delaying a refinancing move, finally closed in January 2019. With its operations refinanced in the United Kingdom, Laing O’Rourke published accounts for the year to 31 March 2018, showing the group made a pre tax loss of £46.5m (down from £60.6m in 2017) on turnover down to £2.93bn from £3.17bn.


Operations

Laing O'Rourke has operations in two major geographic hubs,
Europe Europe is a large peninsula conventionally considered a continent in its own right because of its great physical size and the weight of its history and traditions. Europe is also considered a Continent#Subcontinents, subcontinent of Eurasia ...
and
Australia Australia, officially the Commonwealth of Australia, is a Sovereign state, sovereign country comprising the mainland of the Australia (continent), Australian continent, the island of Tasmania, and numerous List of islands of Australia, sma ...
. European operations span
Abu Dhabi Abu Dhabi (, ; ar, أَبُو ظَبْيٍ ' ) is the capital and second-most populous city (after Dubai) of the United Arab Emirates. It is also the capital of the Emirate of Abu Dhabi and the centre of the Abu Dhabi Metropolitan Area. ...
,
Canada Canada is a country in North America. Its ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, covering over , making it the world's second-largest country by tot ...
,
Dubai Dubai (, ; ar, دبي, translit=Dubayy, , ) is the most populous city in the United Arab Emirates (UAE) and the capital of the Emirate of Dubai, the most populated of the 7 emirates of the United Arab Emirates.The Government and Politics of ...
and the
United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Europe, off the north-western coast of the continental mainland. It comprises England, Scotland, Wales and North ...
. Australian operations cover Australia,
Hong Kong Hong Kong ( (US) or (UK); , ), officially the Hong Kong Special Administrative Region of the People's Republic of China ( abbr. Hong Kong SAR or HKSAR), is a city and special administrative region of China on the eastern Pearl River Delt ...
,
New Zealand New Zealand ( mi, Aotearoa ) is an island country in the southwestern Pacific Ocean. It consists of two main landmasses—the North Island () and the South Island ()—and over 700 smaller islands. It is the sixth-largest island count ...
and
South East Asia Southeast Asia, also spelled South East Asia and South-East Asia, and also known as Southeastern Asia, South-eastern Asia or SEA, is the geographical south-eastern region of Asia, consisting of the regions that are situated south of mainland ...
The company operates in building construction, infrastructure construction, investment & development, modular manufacturing, engineering expertise and support services. Its projects span a range of sectors including, building, transport, power, water & utilities, mining & natural resources and oil & gas.


Major projects

Major projects involving the company have included; *
Ascot Racecourse Ascot Racecourse ("ascot" pronounced , often pronounced ) is a dual-purpose British racecourse, located in Ascot, Berkshire, England, which is used for thoroughbred horse racing. It hosts 13 of Britain's 36 annual Flat Group 1 horse races and ...
, completed in 2007. *
Heathrow Terminal 5 Heathrow Terminal 5 is an airport terminal at Heathrow Airport, the main airport serving London. Opened in 2008, the main building in the complex is the largest free-standing structure in the United Kingdom. Terminal 5 is currently used exclusi ...
, London, England, completed in 2008. *
Darwin Convention Centre The Darwin Convention Centre is a convention centre located in Darwin, Northern Territory, Australia. Construction started on the convention centre in early 2006 and completed in June 2008, with the centre opening in July of that year. The conven ...
, Northern Territory, Australia, completed in 2008. *
Kwinana Power Station Kwinana Power Station (KPS) was Synergy's second-largest power station, located in Naval Base, Western Australia within the City of Kwinana. At its peak, power was produced from six turbines driven by steam from boilers fired by coal, natural g ...
, Western Australia, completed in 2008. *
Atlantis, The Palm Atlantis The Palm, Dubai is a luxury hotel resort located at the apex of the Palm Jumeirah in the United Arab Emirates. It was the first resort to be built on the island and is themed on the myth of Atlantis but includes distinct Arabian element ...
, Dubai, UAE, completed in 2009. * Northern Centre for Cancer Treatment,
Newcastle upon Tyne Newcastle upon Tyne ( RP: , ), or simply Newcastle, is a city and metropolitan borough in Tyne and Wear, England. The city is located on the River Tyne's northern bank and forms the largest part of the Tyneside built-up area. Newcastle is ...
, completed in 2009. *
Great North Children's Hospital The Great North Children's Hospital (GNCH) is a tertiary referral centre in Newcastle upon Tyne, England. The hospital is managed by the Newcastle upon Tyne Hospitals NHS Foundation Trust and is a teaching hospital for the University of Newcastl ...
,
Newcastle upon Tyne Newcastle upon Tyne ( RP: , ), or simply Newcastle, is a city and metropolitan borough in Tyne and Wear, England. The city is located on the River Tyne's northern bank and forms the largest part of the Tyneside built-up area. Newcastle is ...
, completed in 2010. *
Darling Downs Power Station Darling Downs Power Station is in Kogan, Western Downs Region, Queensland, Australia. It is west of Dalby and owned by Origin Energy. The Darling Downs Power Station is adjacent to the QLD-NSW high voltage transmission Interconnector and the Po ...
, Queensland, Australia, completed in 2010. *
One Hyde Park One Hyde Park is a major residential and retail complex located in Knightsbridge, London. The development includes three retail units (Rolex, McLaren Automotive and Abu Dhabi Islamic Bank) and 86 residential properties marketed with prices starti ...
, London, completed in 2011. *
Tunbridge Wells Hospital Tunbridge Wells Hospital is a large district general hospital in Pembury near Royal Tunbridge Wells, Kent, England, run by the Maidstone and Tunbridge Wells NHS Trust. The hospital is located on Tonbridge Road, around to the north-west of Pem ...
completed in 2011. *
Roseberry Park Hospital Roseberry Park Hospital is a mental health facility in Middlesbrough Middlesbrough ( ) is a town on the southern bank of the River Tees in North Yorkshire, England. It is near the North York Moors national park. It is the namesake and mai ...
, Middlesbrough, completed in 2011. * Expansion of the
Royal Stoke University Hospital Royal Stoke University Hospital (formerly the University Hospital of North Staffordshire) is a teaching and research hospital at Hartshill in the English county of Staffordshire. It lies in the city of Stoke-on-Trent, near the border with New ...
completed in 2012. * London Gateway Port, London, completed in 2013. *The Leadenhall Building at 122 Leadenhall Street, London, completed in 2014. *
Heathrow Terminal 2 Heathrow Terminal 2, also known as The Queen's Terminal, is an airport terminal at Heathrow Airport, the main airport serving London, United Kingdom. The new development was originally named Heathrow East Terminal, and occupies the sites where t ...
, completed in 2014. *
Alder Hey Children's Hospital Alder Hey Children's Hospital is a children's hospital and NHS foundation trust in West Derby, Liverpool, England. It is one of the largest children's hospitals in the United Kingdom, and one of several specialist hospitals within the Liverpool ...
, Liverpool, completed in 2015. *The
Francis Crick Institute The Francis Crick Institute (formerly the UK Centre for Medical Research and Innovation) is a biomedical research centre in London, which was established in 2010 and opened in 2016. The institute is a partnership between Cancer Research UK, Impe ...
, London, completed in 2016. *
Centre hospitalier de l'Université de Montréal The Centre hospitalier de l'Université de Montréal (CHUM, translated as University of Montreal Health Centre) is one of two major healthcare networks in the city of Montreal, Quebec. It is a teaching institution affiliated with the French-lang ...
, Canada, completed in 2016. *Redevelopment of the
Dumfries and Galloway Royal Infirmary Dumfries and Galloway Royal Infirmary is the main hospital in Dumfries and Galloway, Scotland. The hospital is managed by NHS Dumfries and Galloway. History The hospital has its origins in a small facility at Mill Hole in Burns Street in cen ...
, completed in 2017. *Redevelopment of
Bond Street station Bond Street is a London Underground and Elizabeth line station in Mayfair, in the West End of London. Entrances are on Oxford Street, near its junction with New Bond Street, and on Hanover Square. The station is on the Central line, between ...
completed in 2017. *
Al Raha Beach Al Raha is a mixed commercial, residential, and leisure area in Abu Dhabi, the United Arab Emirates, located primarily in Khalifa City A. The area is situated between Umm Al-Nar and Abu Dhabi International Airport. Al Raha includes two primary sec ...
, Abu Dhabi, UAE, due for completion in 2018. *Redevelopment of the
Glan Clwyd Hospital Glan Clwyd Hospital (Welsh: ''Ysbyty Glan Clwyd)'' is a hospital in Bodelwyddan, Denbighshire, Wales. It is managed by the Betsi Cadwaladr University Health Board. History The hospital, which was built with six operating theatres at a cost of ...
, due for completion in 2018. *Design and construction of the new
Northern line extension to Battersea The Northern line extension to Battersea is an extension of the London Underground from to Battersea in South West London, terminating at the redeveloped Battersea Power Station. The extension formed a continuation of the Northern line's br ...
in London, due for completion in 2020. *Completion of the
Royal Liverpool University Hospital The Royal Liverpool University Hospital (RLUH) is a major teaching and research hospital located in the city of Liverpool, England. It is the largest and busiest hospital in Merseyside and Cheshire, and has the largest emergency department of i ...
(previously a Carillion PFI project), originally due for completion in 2020 but delayed to 2022. *
Hinkley Point C nuclear power station Hinkley Point C nuclear power station (HPC) is a two-unit, 3,200 MWe EPR nuclear power station under construction in Somerset, England. The site was one of eight announced by the British government in 2010, and in November 2012 a nuclear site ...
, due for completion circa 2021. *Redevelopment of the
Royal Sussex County Hospital The Royal Sussex County Hospital is an acute teaching hospital in Brighton, England. Together with the Princess Royal Hospital, it is administered by the University Hospitals Sussex NHS Foundation Trust. The services provided at the hospital inc ...
, due for completion in 2024. *Redevelopment of the
Brent Cross Shopping Centre Brent Cross Shopping Centre is a large shopping centre in Hendon, north London, owned by Hammerson and Abrdn. Located by the Brent Cross interchange, it opened in 1976 as the UK's first out-of-town shopping centre. Brent Cross attracted 15–1 ...
in London, due for completion in 2022. *Redevelopment of the
Whiteleys Whiteleys was a shopping centre in Bayswater, London. It was built in the retail space of the former William Whiteley Limited department store, which opened in 1911 as one of London's first department stores, and was one of the main department ...
Department Store in
Bayswater Bayswater is an area within the City of Westminster in West London. It is a built-up district with a population density of 17,500 per square kilometre, and is located between Kensington Gardens to the south, Paddington to the north-east, and ...
, London, due for completion in 2023. * Everton F.C. new sadium at
Bramley-Moore Dock Bramley-Moore Dock is a semi-reclaimed land, reclaimed dock on the River Mersey in Liverpool, England, and part of the Port of Liverpool. The dock is located in the northern dock system in Liverpool's Vauxhall, Liverpool, Vauxhall area, and i ...
, due for completion in 2023 *
HS2 Interchange station HS or Hs can stand for: Businesses and brands * HS Produkt, a Croatian firearms manufacturer * ''Helsingin Sanomat'', a newspaper in Finland * Hawker Siddeley, aircraft manufacturing group * Henschel & Son, in aircraft prefixes; e.g., Hs 117 * H ...
, due for completion by approximately 2029


Controversies


Blacklisting

Laing O'Rourke and its acquisition of 2004, Crown House, were revealed as subscribers to the United Kingdom's
Consulting Association The Consulting Association (TCA) was a controversial UK business (described by its key figure as "a non-profit making, unincorporated trade association"), based in Droitwich, which, from 1993 to 2009, maintained a database of British construction ...
, exposed in 2009 for operating an illegal construction industry
blacklist Blacklisting is the action of a group or authority compiling a blacklist (or black list) of people, countries or other entities to be avoided or distrusted as being deemed unacceptable to those making the list. If someone is on a blacklist, t ...
. Laing O'Rourke was later one of eight businesses involved in the launch in 2014 of the Construction Workers Compensation Scheme, condemned as a "PR stunt" by the GMB union, and described by the Scottish Affairs Select Committee as "an act of bad faith". In October 2016, Laing O'Rourke and the other construction companies admitted that the blacklist was unlawful and apologised to those damaged by it. In December 2017, Unite announced it had issued High Court proceedings against twelve major contractors, including Laing and Crown House.


Late payment

In April 2019, Laing O'Rourke was suspended from the UK Government's Prompt Payment Code for failing to pay suppliers on time. It was reinstated in November 2019.


References


External links


Laing O'Rourke website
{{Authority control Privately held companies of the United Kingdom Construction and civil engineering companies established in 1978 Construction and civil engineering companies of the United Kingdom Companies based in Kent British companies established in 1978