HBG Construction is to centralise its PFI business in Glasgow.
Chief executive Adrian Franklin said the move would make the business more efficient and enable it to grow. Previously, the PFI business was split between offices in Glasgow and Leeds.

He said: "We have taken on another four senior staff. We are very keen on the PFI market. We've done a few bids now: we understand the process."

Franklin said the firm was still looking for PFI work across the UK, but that the core skilled staff had always been in Glasgow.

HBG's PFI portfolio includes work in the healthcare, law and order, local government and education sectors. The firm is also growing its FM business to run PFI projects and to fish for outside contracts.

The reorganisation comes as HBG announced that its pre-tax profit for the year to 31 December 2000 was £12m – up from £11.1m in 1999. Turnover rose from £538m to £627m.

Franklin said repeat business accounted for 68% of turnover, up from 60% in 1990. This, he said, illustrated HBG's efforts to build long-term partnering relationships with clients. In 2000, negotiated contracts made up 50% of HBG's new orders, which stood at £610m, compared with £538m in 1999.

The construction firm's clients include Asda, HSBC, Prudential and Warners.

The office sector is the largest for HBG. Last week the firm announced that it had won a design-and-build contract for an office development near Weybridge, Surrey, worth £50.5m, for Helical Bar and Prudential Assurance.

The development is for five three-storey office blocks and a two-storey car park. Work starts next week and due to be completed in early spring 2003.