Laragh House Developments Ltd, a Cambridgeshire-based property development management company, remains mired in liquidation, with creditors facing significant losses as realisations fall far short of debts exceeding £2.3 million.
The latest annual progress report, filed with Companies House by joint liquidators Matthew Howard and Stuart Morton of Price Bailey LLP, covers the year to 11 June 2025. It paints a stark picture of dwindling assets, unresolved inter-company debts, and a protracted process driven largely by the collapse of connected projects.
Limited Assets Recovered
Since their appointment in June 2024, the liquidators have identified only modest recoveries. A total of £12,623 has been realised, consisting of £12,500 cash at bank and just £123 in bank interest. No tangible assets, such as office equipment or fixtures, have been sold due to the costs of secure disposal outweighing potential returns.
The company also owned 100% of Laragh House Developments (Swavesey) Ltd, a dormant subsidiary with no trading value. However, this subsidiary controls a small parcel of land which may be sold at auction in due course.
“We have pursued every potential realisation,” said liquidator Matt Howard, “but the vast majority of the company’s assets were tied up in developments and debtor balances that have since proven irrecoverable.”
Debtors in Doubt
The company’s accounts suggested it was owed more than £2 million, including £919,000 recorded as “stock” — expenditure on early project stages. However, much of this was found to be unsubstantiated.
The only reliable debtor identified is £255,858 owed by Histon Road Development LLP, another failed scheme now in liquidation. Howard, who also acts as joint liquidator of that LLP, noted: “A dividend is expected from Histon Road Development LLP, likely in the region of 20 pence in the pound, but until this is received, we cannot make any promises to Laragh’s creditors.”
Employee and Creditor Claims
Former employees have lodged claims for unpaid wages, holiday pay and redundancy. These have been processed through the government’s Redundancy Payments Service, but whether ordinary preferential creditors will receive a payout remains uncertain.
Unsecured creditors — including banks, intercompany lenders, trade suppliers and shareholders — face the heaviest losses. Claims are broadly in line with the company’s original statement of affairs, which showed unsecured debts of more than £2.3 million.
“There are no floating charges against the company, which means the statutory ‘prescribed part’ for unsecured creditors does not apply,” said co-liquidator Stuart Morton. “Ultimately, recoveries depend entirely on cash from connected liquidations.”
Costs and Fees
So far, the liquidators have incurred £40,118 in time costs, equivalent to 220 hours of work at an average charge-out rate of £181.80 per hour. Their fees were capped by creditors at £45,219.50 plus VAT and expenses, though the liquidators now warn this may be exceeded due to the length of the case.
Expenses of just over £9,300 have been paid, largely covering legal advice and specialist HR support for former employees.
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“We are mindful of costs and have apportioned shared legal fees with the connected Histon Road Development liquidation to ensure fairness,” Howard explained.
The Road Ahead
The liquidation remains open and is unlikely to conclude until the outcome of the Histon Road Development LLP case is known. A dividend from that estate would provide the only meaningful return to creditors.
Howard summarised: “At this stage, creditors should be aware that the outcome is uncertain. While we anticipate some funds flowing back from related projects, the level of distribution — if any — will depend on the final receipts from Histon Road Development LLP.”
Morton added: “Once all matters are concluded, we will prepare our final report to creditors and seek our release as joint liquidators. Until then, our focus remains on maximising recoveries where possible.”
Earlier this year it was reported that an associated company, Laragh Build Ltd, entered liquidation with £1.3m deficit
A filing at Companies House reveals the company’s assets are valued at just £62,116, set against total liabilities of more than £1.39 million, leaving an estimated deficiency of £1.33 million to creditors and shareholders.
Key details:
- Liquidators: Matthew Howard and Stuart Morton of Price Bailey LLP, Norwich.
- Director’s Statement: Filed by Simon William Somerville-Large, confirming the company’s financial position.
- Creditors: Over 70 listed, including HM Revenue & Customs (approx. £70k owed in PAYE, VAT, and Corporation Tax), along with numerous suppliers and contractors across the construction sector.
- Deficiency:
- Assets available: £62,116
- Preferential creditors: Nil
- HMRC secondary preferential claim: £70,816 (leaving a shortfall)
- Trade & expense creditors: £577,883
- Total unsecured creditor claims: £1.32m
Shareholders: Houghton Homes (Cambridge) Ltd and Simon Somerville-Large, with a combined 100 ordinary shares, face a total loss of capital.
BACKGROUND
Founded in 2007 by Simon Somerville-Large, he had previously held senior roles at Wimpey Developments, Shepherd Construction, and Camstead Homes
Key Projects
Manor Farm in Stretham (Ely area): Launched around 2015, this was the region’s first development involving a Community Land Trust (CLT). Laragh Homes teamed up with Peterhouse College and the Stretham & Wilburton CLT to build ~50 homes—one-third designated as affordable—alongside amenities like a doctor’s surgery, small business units, and green community design. The development emphasized energy efficiency through features like air-source heat pumps
By 2018, the second phase was underway, adding 28 new homes (2–4 bedrooms), with eight specifically for local residents through the CLT.
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Laragh Homes’ earned a Cambridge News & Media Property Award for Corporate Social Responsibility, particularly for the Manor Farm project.
Other notable developments include:
The Old Tannery in Ely: conversion of a former office block into 25 luxury apartments
Emerson Park in Great Abington: bespoke homes development.
The Mews in Cambridge (Histon Road): mixed new-build apartments and homes
A high-end refurbishment and new builds on Mulberry House, Storey’s Way, Cambridge
Expansion into Construction & Financial Challenges
In October 2020, Laragh Homes launched Laragh Build, a construction arm designed to internalise design, specification, quality control, and delivery processes—aiming to ensure consistent standards amid fluctuating market and supply conditions.
However, when Laragh Build Ltd entered voluntary creditors’ liquidation it owed around £1.33 million, with creditors ranging from contractors to HMRC and Peterhouse College (owed £736,967)
Somerville-Large formed a new entity in September 2023, originally named Laragh Homes Ltd, later renamed in December to Granta Development Management Ltd, though limited financial details are publicly available.
