Financial modelling has demonstrated that the additional support gives Springfield—whose sites have been closed since 24 March 2020—sufficient headroom to withstand the unlikely event of a 12-month shutdown, should it be necessary.

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Over 90% of the group’s workforce has been furloughed under the UK Government’s Job Retention Scheme and, of the core team still working, executive and non-executive directors have agreed to a voluntary 50% reduction in base salary until further notice, with 30% deferred and 20% forgone. 

All senior managers that remain working have agreed to a 20% voluntary reduction in base salary over the same period. 

“Throughout the Covid-19 pandemic, our first priority has always been the health and safety of our workforce and the wider community, and I am proud of the response of our employees to the crisis,” said Innes Smith, CEO at Springfield.

“Thanks to their support for our actions, the enhanced facility from the Bank of Scotland puts us in a strong financial position for the time when it is safe, once again, to resume business.”

Springfield is working to maintain strength in its supply chain and is committed to paying all of its contractors and sub-contractors in full and with minimum delay. 

“While the impact of the disruption is still unknown, Scotland will continue to need more good quality housing to address [the] shortage and I believe that Springfield is in a very strong position to meet this demand once our business can restart,” Innes added.