Austin-Smith Lord has been paid £2.4 million by its client on the suspended Abu Dhabi cultural project that has caused mass redundancies at the practice.

But the cash, a fifth of the £11.3 million it is owed by the Abu Dhabi Authority for Culture and Heritage (ADACH), is not enough to halt the insolvency process.

A creditors’ meeting is scheduled for Monday when a vote will be taken on whether to allow Austin-Smith Lord to enter a company voluntary agreement (CVA).

If three-quarters of the creditors who vote agree, the CVA would come into force allowing the practice to continue trading, protected from any winding-up petitions.

ASL partner Neil Chapman said the payment was a great encouragement.