Banner Holdings is back in the black despite a difficult year battling Colchester council over Rafael Vi帽oly鈥檚 拢26m visual arts centre

The contractor has posted a 拢166,000 pre-tax profit for 2009, compared with a 拢2.6m loss the previous year. This corresponded to a 28% rise in turnover to 拢13.2m, up from 拢10.3m.

Banner and Colchester council have been in a row over the arts centre since the end of 2007 in relation to a string of technical issues including the design of the guttering, which led to Banner being ejected from the job in April 2009. In the annual report Banner director Peter Elston said there 鈥渨ere no valid grounds to determine our contract鈥�. He added that the firm had sought legal advice over 鈥渨hat we consider to be a flawed design that is the client鈥檚 [Colchester council] responsibility鈥�.

In 2008 the contractor said it spent 拢4m on the dispute, and has now submitted a High Court claim regarding the project. Elston said he remains 鈥渆xtremely confident鈥� of a successful outcome.

Despite the costs, Banner finished the year with 拢1.2m in net funds. In 2009 the contractor also commenced work on Sheffield鈥檚 City Plaza office redevelopment as well as the Liversedge children鈥檚 centre in Wakefield. In December Banner also finished a US supermarket at RAF Alconbury for Defence Estates.

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