Banks 'not helping small businesses'

Luke Leleu received national recognition for the quality of his firm's eye-catching development along the seafront.

His firm, Hamlet Homes, was given the National Housebuilding Confederation's job quality award for Compass Point. This enables a Pride in the Job flag to be flown at the site.

But Mr Leleu said companies such as his were being hit hard by the attitude of their lenders to worsen the impact of the recession on the construction industry.

"Banks are supposed to be giving people help to enable small businesses to survive and keep people employed.

"I have to say the banks have given us what we need but the terms of their offers have just been horrendous.

"They are giving us the money on the one hand and taking it with the other.

"I don't think we are alone in being treated like that. That's not a lot of help to people who are in trouble. Everyone is in a difficult position at the moment '“ some more so than us."

Mr Leleu, the managing director of Evans Place-based Hamlet Homes, has been forced to reduce his workforce by a third in the past 18 months. It now stands at ten employees.

"We are now well placed to get on with our work during the next year," he said.

Hamlet Homes' next job is to build a housing association development of nine dwellings in Bognor.

The total number of individuals from the company and sub-contractors who worked on Compass Point amounted to about 100.

The internal decorations of the prestigious scheme are now being finished. The external work was completed last June.

"It's a very tough market," said Mr Leleu. "There is still some interest but everyone is so cautious about what is going to happen to the market.

"It's so difficult to get people to commit. I don't think prices people pay are going to come down much more, though list prices definitely will. If people negotiate really hard, they can pick up a bargain.

"This time of year is always quiet and I like to think spring time next year will see a bit more demand."

He has sold nine of the 24 two-bedroom apartments in Compass Point. A further two are about to be occupied to take the scheme almost to the halfway mark for occupation.

The honours for the development have continued with a commendation from Arun district conservation area advisory committee in recognition of the quality of the building's design and craftsmanship.

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