Contractor says redundancies will be inevitable after closure of Lincoln and Spalding offices

Kier has closed two offices in its housing division as a result of the economic downturn.

In an announcement today the company said the closures, in Lincoln and Spalding, were necessary given the current market conditions.

John Dodds
Dodds: "Restructuring will result in a leaner, more efficient business"

A total of 90 staff work in the two offices, which represents a fifth of its housing employees.

A spokesman said some redundancies were inevitable but that the company would try to re-employ as many people as possible in other areas of the business.

Chief executive John Dodds said: “This restructuring will result in a leaner, more efficient business which better matches the current demand for our houses, but will also place us in a sensible position to respond to the market when it returns to more normal levels.”

The move is part of a wider restructure at the company which will see its social housing business increase from £100m to £250m in two years.