Some 553 staff from stricken firm Daniel Contractors are being transferred to Enterprise and May Gurney

Some 553 staff from stricken firm Daniel Contractors are being transferred to Enterprise and May Gurney as part of a deal struck with administrator Deloitte.

The deal sees 328 staff from Daniel Contractors that were working on a United Utilities contract transferred to Enterprise, while a further 225 working on a Bristol Water contract will move to May Gurney and Land Marine Engineering, now owned by Murphy Group.

The deals comes after Daniel Contractors fell into administration last month. It means that that, together with previous deals announced, the administrators expect 1,226 jobs will be safeguarded from the total 1,449 employed at the firm when Deloitte took control.

Last month 185 staff from Land & Marine were transferred to Murphy Group, while Daniel’s contract with Welsh Water was switched to another service provider, with 471 staff transferred.

Bill Dawson, joint administrator and partner in Deloitte’s Restructuring Services team, said: “We are pleased that the vast majority of jobs have now been safeguarded and staff are transferring to alternative service providers.”

“We are also encouraged by discussions with potential buyers of Subterra and other assets of Daniel, and we hope to conclude negotiations soon.”