Powys CC has decided to end its joint venture with Kier, and bring housing and building maintenance services back in-house.
The Heart of Wales Property Service was created in 2017 to design. construct and repair council homes and public buildings across the county.
Following a review, these services will now be delivered directly by the council from the end of the current five-year contract in July 2022.
Council leader, Cllr Rosemarie Harris, said: 'Following a detailed review of the company, it has been agreed by both parties that a break clause in the contract will be implemented, and all staff and services provided will be transferred back to the council.
'Some initial investment will be required to make the change, but we are confident it will provide long-term improvements which continue to support the local economy.'
