The NI Housing Executive (NIHE) has cancelled all maintenance contracts with construction firm Red Sky following a top-level inquiry into the contractor's work.

An investigation by the NIHE was today said to have found "significant concerns about the company's performance, including overcharging".

The east Belfast-based firm, which specialises in fast response maintenance and repairs had five contracts throughout the city worth an estimated £7m. These will end within the next three months.

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BBC NI carried out an investigation in 2010 and said they discovered "a number of Executive tenants who were very unhappy about the level of service they received and the standard of repairs carried out to their homes".

At the time Red Sky told the broadcaster that it has had maintenance contracts with the Housing Executive for over 15 years, that it implements rigorous quality control standards and is proud of its level of service.

They emphatically denied suggestions of sub-standard work or financial irregularities. The company also said that it has never made any spurious allegations of religious or political discrimination.

Sinn Fein has claimed the termination follows their extensive questioning within Committees and the Assembly Chamber. They raised consistent concerns about the culture that existed within Red Sky, a spokesman said.

(GK/BMcC)