Manchester tower builder admits to Gateway 2 worries as profit heads north

Manchester tower builder Renaker is the latest firm to flag up worries over gateway 2 assessments, as the firm posted an improved set of annual numbers.

The developer-builder said pre-tax profit was up 27% to £6.3m in the year to October 2024 on turnover up 16% to a record £265m.

In a note accompanying its accounts, which were signed off earlier this month, the firm said it was preparing to submit its first gateway 2 application “the outcome of which will provide greater clarity on anticipated timeframes and requirements mobbing forward”.

It added: “Since the introduction of the new Building Safety Regulator in October 2023 there have been very few gateway two assessments completed.

>> See also: What the delays at the Building Safety Regulator mean for high-rise development

“Developers and contractors might share the commercial risk associated with the time taken for the gateway review but the consequences of delay resulting from a failed assessment could be significant for all parts of the supply chain.

“While the implementation of these measures has introduced periods of uncertainty and delays in some projects, we remain optimistic that these disruptions will be minimised moving forward, and the current challenges are temporary.”

The firm said it expected its current financial year to be a record for completions with five jobs set to finish which will include more than 1,400 apartments and nearly 600 student bedrooms. “The Manchester city region continues to thrive,” it added.

The number of employees at the business edged up from 365 to 377.

Renaker’s sole director is Daren Whitaker who made last year’s Sunday Times Rich List with an estimated fortune of £646m.