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NEWS

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ANNUAL REPORT 16 Annual Report 2015 18 Annual Report 2015: Construction Activity Boost 19 Annual Report 2015: Scottish BIM implementation plan launched 20 Annual Report 2015: Fire Safety

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COMMENT 24 Comment - Kasia Dickson at Thomas Eggar LLP, discusses interim payments.

25 Comment – Peter Sheridan at Sheridan Gold LLP looks at payment notices following the Henia case.

26 Comment – UK immigration options for the construction industry.

28 Comment – Cheetah Learning : Key Metrics you need to know to measure the effectiveness of your On-Site training.

30 Comment – Considerate Constructors Chairman, Mike Petter, puts the spotlight on Occupational Cancers.

32 Comment – The importance of Perimeter Protection, BSIA. 33 Comment – Ten years of NHBC’s Land Quality Endorsement.

34 Comment - Ben Dyer of Powered Now gives tips on competitive quoting.

35 Comment – Build UK launch – Barry Ashmore of Streetwisesubbie.com 36 Comment – Construction in the Education sector 38 Comment – Driving Apprenticeships – ACE 39 Comment – IEMA New EIA Guidance will speed up planning and bring down costs 40 Comment – Future Cities, Sara Smith, BROXAP 41 Comment – International Arbitration, White & Case 42 Case Study: Neighbourhood Planning Powers.

43 Case Study : Grange Wind Farm 44 Digital Construction Week 46 Annual Report 2015: Construction Products Association

Publications Editor Victoria Lee Operations Manager Gareth Trevor-Jones Designer James Ormerod Publications Officer Matthew Brown Robert Atherton Approvals Sarah Smith Eleanor Matthews Sales Administrator Alecia Rowe Credit Control Carol Ryan

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ISSN 1461-1279 UK Construction Media Stirling House Ackhurst Business Park Chorley PR7 1NY T: 01257 231900 E: admin@ukconstructionmedia.co.uk www.ukconstructionmedia.co.uk

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BS NEWS

Application to be submitted for vital Rosewell homes Hamilton based developer Banks Property expects to submit a planning application for an exciting new residential development in leafy Midlothian early next year. The plans were recently announced in a Proposal of Application Notice, submitted to Midlothian Council.

The proposed development is in Rosewell, a picturesque village situated in the Midlothian countryside on the outskirts of Edinburgh.

Occupying the 12.6 acre ‘Doctor’s Field’, north of Carnethie Street, it will comprise around 100 much needed new family homes in a sustainable expansion of the historic village of Rosewell. The development is expected to provide a range of homes from high quality three-, four- and five-bedroom family homes to affordable starter homes.

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Banks Property is hoping that construction can commence in late 2016, subject to planning permission being granted, located as it is in an area with a significant housing shortfall and strong demand for new homes.

The project will follow up on the successful neighbouring Roselea development of 63 homes, realised through a partnership between Banks Property and Miller Homes.

Once the detailed plans are finalised, an exhibition will be held in the village to showcase the development and give the local community the chance to see the plans first. There will also be the opportunity to provide useful feedback, ahead of the planning application being submitted.

Colin Anderson, Director of Banks

Property, said: “This is a hugely positive development for the area.

“Demand for new homes within easy commuting of Edinburgh has outstripped supply, pushing up prices and making homeownership challenging for many. Developments such as this one at Rosewell are therefore essential to keep prices down and give hope to young families and people looking for a good quality, affordable home in an excellent location.”

Colin added: “Banks Property is committed to sustainable development and this means that as well as creating a wonderful environment for families to live and work in, we intend to maximise the use of local contractors and businesses, to ensure the biggest economic benefit is delivered locally.”

Government’s investment in Scotland’s cities pays off The Scottish Government’s investment in cities is delivering tenfold, with £4M bringing £40M in return, Deputy First Minister John Swinney has revealed.

Mr Swinney highlighted figures that show the Scottish Cities Alliance, a partnership between Scotland’s seven cities and the Scottish Government, has secured £40M of investment, including £10M of European Funding to support smart city initiatives.

Speaking at the Scottish Governments Cities Convention in Perth, Mr Swinney said: “The strength of our cities as drivers of growth is clearly indicated by today’s figures that show that the Scottish Cities Alliance, through partnership working, has secured over ten times the amount of investment provided by the Scottish Government. This is a good return by anyone’s standards and one which we can be proud of.

“These investments are delivering major improvements to business connectivity and providing better links between our cities and centres of economic growth.

This is a long-term approach and I have every confidence that there will be more to come in future years.”

The Convention – a Scottish Governmentled initiative – brings together representatives from Scotland’s seven cities, and will include discussions around local empowerment and the best ways to ensure our cities are great places to live, work and invest in advance of the publication of the government’s refreshed Agenda for Cities next year.

Cabinet Secretary with responsibility for cities, Keith Brown, said: “Continuing discussions with local authorities and community representatives on ensuring our cities continue to be great places to live, work and invest underpins the Scottish Government’s commitment to empowering communities.

“Our wider approach is one of partnership.

We believe that the people who live and work in Scotland’s cities are best placed to make decisions about their future. That is why we passed the Community Empowerment Act earlier this year. Amongst other things, this enables Scottish councils to reduce business rates to reflect their individual economic development priorities.

“Just as we have worked with our Islands and Border communities to develop comprehensive packages of initiatives to meet local needs, today’s Convention is yet another step in taking forward this government’s commitment to Scotland’s cities.

“We recognise there is no single approach to achieving our vision for cities and that’s why I am hosting the Cities Convention here today. My colleagues and I are in full listening mode and I look forward to engaging with our partners over the course of the day to ensure the best possible outcomes for our cities and the people who live and work in them.”

Councillor Andrew Burns, Chair of the Scottish Cities Alliance, said: “Together Scotland’s cities and their regions have

a strong story to tell, and collaboratively we are making a significant impact in a very competitive investor environment which highlights the huge rewards of Scotland’s cities working together.

“Our commitment and the success of working in partnership is clear.

From an initial investment of £4M the Alliance has brought in £40M, with more announcements expected over the coming months. Indeed, Perth was the first city to reap the rewards of being part of the Alliance with its £30M Mill Quarter investment being the first success of the Scottish Cities Alliance’s Investment Prospectus which details £10Bn of potential investments across the seven Scottish cities.

“Our commitment to working in partnership is cemented by this success and I am sure that, thanks to our ongoing collaboration, Scotland’s cities will continue to be seen as a global investor’s destination of choice.”

James Ledgerwood of the ScotRail Alliance said: “We are delighted to be supporting the Cities Convention.

A key feature of our approach is recognising that our customers value not simply the rail journey from A to B, but rather the whole experience from doorstep to destination. Our services and infrastructure will continue to support wider economic growth and community investment in areas such as housing, commerce, education and tourism to help cities thrive.”

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BS NEWS

Barratt Homes to deliver affordable homes at The Gyle Barratt Homes has announced plans to deliver 40 affordable apartments, at a new development in the west of the Capital, worth almost £5M.

commitment to The City of Edinburgh Council to deliver 25% affordable homes and have been finished to the same high standards as the Company’s private units.

Gyle, follows a significant milestone for Barratt as we have now delivered 332 affordable units in the capital with a further 260 units under construction.”

Britain’s biggest housebuilder is delivering the apartments at its popular Barratt @ The Gyle development, which launched in October. The properties, which will be due for completion in October 2016 will be delivered to People for Places.

The units form part of Barratt Homes’

Mansoor Ali, Development Director at Barratt Homes in the East Scotland, said: “Barratt Homes is passionate about delivering affordable homes. Throughout the East of Scotland we are committed to providing 25% affordable units at our developments. Our pledge at The

The announcement follows Barratt’s recent delivery of 16 affordable units, at its City Haven development in Newhaven, to Port of Leith Housing Association worth over £2M.

Integrated solar approach recognised at roofing awards Forster Roofing has picked up the ‘Solar’ award at the National Federation Roofing Contractor’s (NFRC) annual Scottish Roofing Contractor of the Year Awards, for integrated roofing and solar works at Bellway Homes’, Cowdenbeath development.

Forster was recognised by the judges for its pioneering approach to integrating traditional roof tiling with in-roof solar Photovoltaic (PV) installation services at the 49 plot social housing development.

The electricity generated by each solar array is being fed directly into tenant’s homes, reducing their requirement to buy in electricity from the grid, thereby empowering them to take greater control of their energy bills.

Forster Technical Manager, Alan

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Collins collected the award at a special luncheon hosted by BBC Scotland News presenter and reporter, Catriona Shearer at the Grand Central Hotel in Glasgow. The award is Forster’s seventh Scottish Roofing Contractor of the Year Award in six years, with previous award winning projects including the Glasgow Commonwealth Games Athletes’ Village, Fife Housing Innovation Showcase and Barratt Homes Evolution development in Aberdeen.

Forster Roofing Managing Director Steve Scott said: “We are delighted to pick up this award as it highlights the industry’s recognition of the huge benefits created by combining solar with roofing works.

We are seeing demand for our integrated roofing and solar offer grow, as more and more developers recognise solar as a key

measure in achieving the latest stepped change in the Scottish Low Carbon Building Standards. We envisage a not too distant future where solar PV will be installed on every new build home.”

The NFRC Scottish Roofing Contractor of the Year awards recognise and reward outstanding standards of workmanship and technical expertise in the roofing industry within Scotland.

Unesco World Heritage site voted Scotland’s favourite example of engineering The Forth Bridge has been voted Scotland’s favourite example of engineering. A recent poll conducted by the Low Carbon Infrastructure Taskforce surveyed over 1,000 Scot’s to reveal quite conclusively that the 125 year old cantilever railway bridge is still very much the pride of Scottish engineering. In a landslide victory, the recently inscribed Unesco World Heritage site received almost half of the vote share (49%), beating off sturdy competition from the likes of the Glasgow Subway, the Falkirk Wheel and the Glenfinnan Viaduct.

The Forth Bridge set a benchmark in contemporary railway engineering in 1890. As the world’s first major steel structure and longest cantilever bridge, the iconic landmark has clearly

stood the test of time. The bridge has undergone a full scale restoration in recent times but remains a true triumph of civil engineering and was recognised

by Unesco for its cultural and scientific significance in July 2015. And it’s not just civil engineers who marvel at the grand old bridge which straddles the Firth of Forth; following the announcement that the bridge had won World Heritage status, First Minister Nicola Sturgeon and former Primer Minister, Gordon Brown, were amongst those to share their admiration, describing the Bridge as “unique” and a “monument to innovative industry and engineering”.

Sara Thiam, Chair of the Low Carbon Infrastructure Taskforce and Regional Director of the Institution of Civil

Engineers, spoke of how the industry can draw on past feats to inspire new engineering projects. Sara stated: “The bridge is a great example of how engineering expertise can be used to create infrastructure which stands the test of time and shapes the way we live well into the future.

“Unfortunately the vital infrastructure which brings heat and water to our homes, protects us from flooding and enables us to travel from A to B is often invisible to people until it fails. Engineers are leading the way in extending the life of our existing infrastructure to ensure it is resilient to climate change and building new low carbon infrastructure that will help us prepare for the future.”

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BS NEWS

Builders take it off-site as skills shortage continues Builders are increasingly turning to offsite construction and timber systems as the construction skills shortage continues to cause issues in the sector.

Stewart Milne Timber Systems, the UK’s leading timber systems designer and manufacturer, has reported that its factories in Oxford and Aberdeen are experiencing growing demand for its build systems, with enquiries up 70% in the year to date.

In its most recent survey of its 8,500 members, the Federation of Master Builders reported that two-thirds (66%) of small builders had turned away work because of a shortage of labour.

With an estimated 35,000 apprentices needed to meet market demand, only 7,000 completed their training in 2013.

According to Alex Goodfellow, Group Managing Director of Stewart Milne Timber Systems, more and more construction companies were enquiring about, and then adopting, off-site construction methods to reduce site labour requirements and take advantage of its speed of build benefits to meet growing market demand.

Alex explains: “There’s huge demand

for new homes and huge demand for skilled labour to build them. There is a serious lack of skilled tradespeople available in recent times and many clients are restricted in output or increasing costs to meet their build programmes.

“We’ve championed off-site construction as a building technique for over 20 years and our clients are seeing the real benefits to their businesses in using off-site to maintain build programmes and generate positive cash flows.

“Off-site also contributes to higher levels of quality and health and safety, with guaranteed performance built in.”

Off-site manufacture significantly increases the speed of build on-site as the build systems arrive ready to erect, often with windows and doors pre-fitted. Precision engineering facilitated by modern factory processes enables a high quality building to be erected quickly. The superstructure of a typical four bedroom house can be weather-proof within 72 hours.

environmental performance, which is one of the UK Government’s four targets in its Construction 2025 Industrial Strategy. The strategy calls for a 50% reduction in greenhouse gas emissions, a 50% increase in delivery speed, a 33% reduction in costs, and a 50% improvement in exports.

Alex continues: “What the ongoing skills shortage does highlight is the need for constant innovation across the sector.

Ultimately, we still need to be able to build, and the industry has to find a way to meet demand quickly, costeffectively and at very high quality.”

The inherent flexibility of timber means it can be used for anything from residential housing to hospitals, hotels and office units.

It also has the benefit of exceptional

Turner & Townsend project manages a new home for the Prince & Princess of Wales Hospice Global construction consultancy Turner & Townsend is proud to be acting as project manager and CDM advisor to build the new Prince & Princess of Wales Hospice (PPWH) for Glasgow.

The new purpose built state-of-the-art facility will be built at Bellahouston Park on land gifted by Glasgow City Council.

The £21M project is being privately financed, largely by the fundraising efforts of the hospice and the generosity of supporters and the community. The hospice set up the Brick by Brick Appeal to build a new facility in Glasgow, which was launched in September 2012, aiming to raise £15M of the £21M needed to build a new modern hospice fit for the 21st century. The project build is to commence in 2016 and the Brick by Brick Appeal is having a final push to raise the last £5M needed for the project funding.

This hospice will be the first of its kind in the UK to implement the Sengetun model

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of care – a Scandinavian model that puts patients and family at the centre of its focus alongside optimal operational care. Set up in the 1980s to provide free specialist palliative care for people with terminal illnesses, primarily cancer, as well as support for families and carers, the hospice has outgrown the existing facilities at Carlton Place. The new facility will provide 16 en-suite bedrooms, generously sized, allowing privacy and comfort for every patient and family.

Andy Outram, Director for Turner & Townsend, commented: “This is a project that is close to the heart of everyone in the area. We are delighted to be part of the team working on this facility that will help so many people in years to come. This project really will be a project for the people, by the people of Glasgow when it is scheduled to open in 2018. ” Rhona Baillie, Chief Executive of the

Prince & Princess of Wales Hospice said: “Turner & Townsend has been working with us since 2014. They have helped us on the journey to deliver this facility from securing the site and concluding the legals, to getting involved in fundraising for the project. They are a fantastic supporter and we are very grateful to them. The new hospice will be purpose-built to give our patients and families privacy, compassion and the very best end-of-life care.”

NEWS BS

Building work begins on 161 new affordable homes for Kirkcaldy Ambitious plans to build 2,700 new affordable homes in Fife by 2017 have reached an important milestone with construction now under way on the programme’s largest development.

Hot on the heels of building work beginning on 101 new homes in Methil, the Affordable Housing Programme’s biggest development so far will see 161 units built at Overton in Kirkcaldy by Robertson Partnership Homes on behalf of Fife Council.

The development will include a mix of flats, houses, bungalows and four-in-a-block homes for both social rent and mid-market rent.

Cllr Judy Hamilton, Executive Spokesperson for Housing & Building Services, visited the site to mark work beginning on the largest council housing development to be built in over 20 years.

She said: “It’s great to see work under way here at Overton Road. The private housing development originally planned for this area was stalled a number of years ago and I’m very pleased that the Council was able to purchase this disused land and work with Robertson Partnership Homes to bring forward what will be a lovely mixed development for the new tenants as well as the people who already own homes here.”

Council Leader Cllr David Ross added: “I’m pleased that we are here today to mark work beginning on such a big affordable housing development for Fife.

Not only that though, I’m extremely proud of the overall progress being made to deliver on our commitment of 2,700 new affordable homes by 2017.

“Over 1,000 of these homes have already been built, greatly benefitting those families and individuals living in them. And over 800 more are either under construction or due to begin soon.

“We don’t stop there though. A strong social and economic business case for more affordable homes for Fife still remains. Work is now under way to decide how best to extend this Programme to allow us to continue building even more affordable homes beyond the target set for 2017.”

Judy added: “One of the big successes of the Programme so far is the chain of lets created by allocating these new homes to our existing tenants, where possible. This means that for every new council home we allocate, there is a positive ‘knock-on’ effect from freeing up older council homes. This results in the housing need of 2.4 households being met for every new home built.

meeting their housing need can have a life changing effect. It might mean giving an overcrowded family the adequate space they need or an elderly person a home on one level, allowing them to continue to live independently.”

The development at Overton Road brings other benefits too. Robertson Partnership Homes have already started developing strong links within the community of Kirkcaldy and the surrounding area to provide opportunities for local people to benefit from the long term delivery of this project.

Working in close partnership with Opportunities Fife, Fife College and local schools, there will be several projects to educate young people about the Overton Road project. In addition, to help address the skills shortage in Scotland, Robertson Partnership Homes will be offering students the chance to learn about the variety of opportunities that exist across the building sector.

This project will also deliver a minimum of seven new apprenticeships and 14 work placements through this project.

The initial phase of the development will be ready for its first tenants as early as spring 2016 with the entire development complete in early to mid-2017.

“For so many people and families,

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BS NEWS

GRAHAM Construction project first UK refurbishment to achieve BREEAM ‘Outstanding’ The Edinburgh Centre for Carbon Innovation (ECCI), created by GRAHAM Construction, has become the first refurbished building in UK to achieve a BREEAM rating of ‘Outstanding’, achieving a score of 87.5%.

The building is the world’s first carbon innovation hub and was opened in the centre of Edinburgh by the Princess Royal in October 2014 after 19 months of construction and a £10.5M investment.

The ECCI has brought Scotland to the global forefront of low carbon innovation and executive education.

The Centre – hosted by the University of Edinburgh, in partnership with Heriot-Watt University and Edinburgh Napier – brings together experts from business, government and academia

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to innovate and solve the complex problems associated with the transition to a low carbon future, and is the first of its kind to take this new approach.

The build involved GRAHAM refurbishing and re-modelling the 17th Century Old High School and connected modern buildings and now compromises an innovation suite, lecture theatres, seminar rooms, and large atrium space for exhibitions and events and social space.

BREEAM is the world’s foremost environmental assessment method and rating system for buildings, with 425,000 buildings holding certified BREEAM assessment ratings and two million registered for assessment since it was first launched in 1990.

BREEAM considers elements such as waste, pollution, land use and ecology, materials, management, health & wellbeing, energy, transport, water and an imaginative approach.

Neil McFarlane, GRAHAM Construction Regional Director, said: “The construction of the building involved a careful integration of the old with the new – including cuttingedge features such as the introduction of double glazing to a listed building, PV’s to the roof, an air source heat pump and connections to the nearby district heating network and CHP which overall allow a 40% decrease in CO2 emissions and meet 57% of the energy demand. It’s fantastic to be awarded with this esteemed accolade.”

Laurieston receives special mention at 2015 RIAS awards The urban regeneration of Laurieston, Glasgow, has been praised by the Royal Incorporation of Architects in Scotland (RIAS), by way of a special mention at the annual Andrew Doolan Best Building in Scotland awards ceremony.

The awards – supported by the late Andrew Doolan’s family and the Scottish Government – are recognised as one of the most prestigious architectural prizes in the UK and one of the most significant in Europe.

Projects shortlisted demonstrate innovation and design excellence, irrespective of size or type. Other key considerations include detailing, accessibility, environmental standards and technical skills. From the sixty five entries submitted to the 2015 RIAS Awards only twelve were shortlisted for the ‘Doolan’ which was eventually awarded to West Burn Lane, St Andrews.

The panel of judges was chaired by Willie Watt PRIAS, along with Dame Barbara Kelly Hon FRIAS, Peter McIlhenny FRIAS, Past President of the RIAS’ Inverness Chapter and Margaret Richards FRIAS, winner of last year’s

RIAS Lifetime Achievement Award.

The £100M regeneration project in Laurieston is being delivered through an innovative partnership involving Glasgow City Council’s special purpose regeneration vehicle Transforming Communities: Glasgow, New Gorbals Housing Association and developer Urban Union.

The completion of the first phase of the project, which was handed over in August 2014, was designed as collaboration between Page\Park Architects and Elder & Cannon Architects who were appointed

by New Gorbals Housing Association, in partnership with Glasgow City Council to design the new city centre quarter.

Craig Kidd, Urban Union said: “Our vision is to provide quality housing for the people of Laurieston, building not just homes, but communities and deliver a new world class city quarter.

“We are proud to support excellence in architecture and are delighted to see this acknowledged by the RIAS in their award for the contrasting but also complementary designs of Page\Park and Elder Cannon

Architects at Laurieston. Their designs have got our vision for Laurieston off to a flying start and have united to help us deliver our vision for Laurieston.

“As the development progresses, we will continue to work closely with our partners, including Glasgow City Council, New Gorbals Housing Association and the local community to further develop this vibrant quarter of the city.”

The development was praised for its reinterpretation of the traditional Glasgow tenement, which are fittingly urban in scale and provide high quality high amenity homes, close to the heart of the city.

The affordable rent homes, set in a layout of streets and mews, were identified as building on the urban character of Glasgow, comprising contemporary, supremely elegant clearly ¬defined blocks which reinforced the city grid.

Neil Baxter, CEO, RIAS commented: “Laurieston is both a superbly development and an example of fantastic placemaking.

It reinforces the grid of Glasgow and helps to remake Laurieston as a highly attractive place to live and to visit: a triumphant piece of urban regeneration.”

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BS NEWS

Multi-million pound contract signed for new school The construction of a new school in Aberdeen for children with additional support needs arising from severe and complex factors has taken another major step forward after a contract to build the new facility was signed.

Aberdeen City Council has signed the contract to start construction on the £17M new Centre of Excellence, which will see state-of-the-art educational and health facilities for children with complex additional support needs in the city.

The new school, which will be located on Howes Road will provide education and support for up to 150 full-time children from 3 to 18 years of age with severe and complex educational and medical needs, and will replace Woodlands School and Hazelwood School. A preschool additional support service, currently provided in Seaton School, will

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also be relocated to the new campus.

The new school will be delivered by hub North Scotland Limited after it was appointed as development partner by Aberdeen City Council.

Ogilvie Construction has been appointed as the main contractor.

Aberdeen City Council’s Convener of Education and Children’s Committee Angela Taylor said: “This is a special day for the staff, children and parents of Woodlands School and Hazelwood School communities. It is yet another example of this Council’s determination to build the finest school accommodation to allow all of our young people reach their potential.

“It also sees our continuing desire to work in partnership with other agencies such as NHS Grampian to deliver a holistic service which fully meets the needs of children

with complex additional support needs.

“We will continue to work with the young people, their parents and staff in the coming months to ensure a smooth transition to the new school.”

Angus Macfarlane, Chief Executive of hub North Scotland, said: “hub North has been working collaboratively with Aberdeen City Council on a number of projects and we’re looking forward to delivering this first-class facility.

“Once complete, the project will enhance the care and education provision for children with additional support needs here in Aberdeen by providing a facility that many children and young people can benefit from for years to come.”

Work on the new Centre of Excellence will start in December 2015 and is expected to be completed by April 2017.

NEWS BS

Property expert to restore historic Scottish landmarks A land and property specialist firm has secured a new contract with The Landmark Trust to play a key role in upgrading some of Scotland’s most famous historic buildings.

The commission will see Perthshirebased Bell Ingram lead the restoration of a portfolio of 19 renowned properties across Scotland, including The Macintosh Building in Perthshire and The Pineapple building in Dunmore.

The project also coincides with the airing of ‘Restoring Britain’s Landmarks’ – a new Channel 4 series offering behind the scenes access to The Landmark Trust and documenting two of its renovation projects and their history.

The six-part series follows the Landmark Trust’s restorations of Belmont in Lyme

Regis and St Edward’s Presbytery in Ramsgate and explores the stories behind many other extraordinary buildings in the organisation’s collection.

our expertise and experience in property restoration is a vital aspect in bringing new life to these impressive, historic buildings.”

Susan Burness, Director of Bell Ingram Design, said: “This new contract with The Landmark Trust is a significant win for all of us at Bell Ingram and we are delighted to be involved with the maintenance and restoration of some of Scotland’s most famous landmarks.

The Landmark Trust is a British building conservation charity founded in 1965 that rescues buildings of historic interest or architectural merit and makes them available for holiday rental. The Trust cares for nearly 200 buildings across Britain and several in Italy and France.

“We are, at the moment, working on four projects for the Trust: Ascog House on the Isle of Bute and Auckinleck House in Ayrshire, as well as The Macintosh and Pineapple buildings.

Established 116 years ago, Bell Ingram has 130 professional staff across 11 UK offices, including chartered surveyors, estate and forestry managers, architects, building surveyors, tourism and green energy specialists.

“We are very excited to have these projects underway and believe

Keepmoat Homes division launches in Scotland Scotland is braced for more homes, as Keepmoat - the market leader in sustainable housing and community regeneration - has announced the launch of a Homes division in the region, following a series of contract wins.

The Company, which already has a successful regeneration arm in Scotland, will now offer a variety of new home schemes, focusing on building and developing quality affordable properties, while working in partnership with local authorities, community councils and registered landlords. Keepmoat will operate in secondary and tertiary sites, a different offering to other developers, allowing them to build homes starting at a lower price point.

Work has already begun on its first development at Langlea Road, Cambuslang. The development will be a mix of two- and three-bedroom properties, ideal for first time buyers.

Keepmoat’s Regional Managing Director for Homes in Scotland, Sandy McBride,

said: “We’re thrilled to launch here in Scotland and be able to provide high quality affordable housing to help more families in the country take that first step onto the property ladder.”

Keepmoat has a number of homes sites in the pipeline throughout central Scotland but is looking to develop across the whole of Scotland in the near future.

Sandy, who is originally from Scotland but moves from Keepmoat in the North West of England, continued: “We have a lot of exciting projects coming up, providing much needed homes as well as an economic boost in the form of employment and training opportunities for local people.”

Keepmoat has moved to bigger premises in Cambuslang to accommodate its increase in staff.

Regional Managing Director for Keepmoat’s Regeneration division in Scotland, Eamonn McGarvey, said: “Regen has been performing really well in Scotland due to a number of big project wins. We’re delighted to welcome Sandy and his team into the Keepmoat family. It’s a great way to ensure our continued success in Scotland.”

Keepmoat’s Regeneration division has operated in Scotland since 2009. The business has expanded significantly throughout Scotland in a diverse range of projects with local authorities and RSL clients.

With the introduction of homes,

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BS NEWS

Tayside youths get hands-on at Robertson construction site Pupils with a passion for construction were able to see a live project in action thanks to a collaboration between Robertson Tayside and the Prince’s Trust.

Around 16 teenagers from schools in both Dundee & Angus enjoyed a visit to Forfar Community Campus, which was made possible thanks to the ‘Future Starts’ programme.

They were shown around the site, which will feature a new state-of-the-art school and leisure facilities, and also took part in a youth build activity getting handson with both brickwork and joinery.

Kevin Dickson, Regional Managing Director, Robertson Tayside, said: “Forfar Community Campus will make a dramatic difference to the lives of people in the area so it made perfect sense to bring pupils with an interest in construction to see the ongoing work.

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“At Robertson we place a real emphasis on engaging with youths and we were one of the first construction companies in Scotland to be awarded Silver accreditation from Investors in Young People accreditation.”

“Partnering with Robertson Tayside has proved a great success, as their existing links with organisations such as the CITB and the local college will prove vital for those students’ interested careers in the construction industry.”

Future Starts is a Prince’s Trust initiative aimed at young people between the age of 15 and 18 who are still at school but looking to leave in the near future.

In addition to the site visit and youth build activity, the school pupils also heard from the CITB who outlined routes into the industry including potential options for apprenticeships and work experience.

It provides an introduction to various sectors to allow them to try their hand at the skills required before deciding if construction is something they would like to pursue further.

James Hopgood, Programme Executive, Future Starts, said: “The Prince’s Trust’s Future Starts programme is giving secondary students, who may be at risk of not reaching their full potential, an insight in to the different local employment industries.

Mel Shepherd, Construction Careers Adviser, CITB, said: “This type of event is a fantastic opportunity for students to see and hear first-hand what type of work is carried out on a large construction site. The CITB presentation covers all aspects of the built environment sector from Design and Management to Craft careers and also gives the students an opportunity to ask questions on the construction sector.”

Scotch Whisky Association creates perfect blend with new office fit-out The Scotch Whisky Association’s new bespoke and contemporary HQ at Quartermile 2 has been completed, providing the association with a workspace fitting of an industry enjoying worldwide success.

Tasked with advancing the global interests and profile of Scotch Whisky, its members and of the industry as a whole, the association initiated the move from its traditional headquarters in Edinburgh’s New Town to provide its staff with a more flexible working environment and to showcase the progressive, yet traditional nature of today’s Scotch Whisky industry.

Following a 40 year spell in their Atholl Crescent headquarters, JLL acted on the Scotch Whisky Association’s behalf to complete its sale and to project manage

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the design and fit out of the new 6,784sq ft rented workspace within the modernist glass and steel designed Quartermile 2.

The Scotch Whisky Association’s new space, designed by Michael Laird Architects and RSP consulting engineers, features a bespoke whisky display within its reception area and a design that complements the industry. The project achieved a SKA ‘Silver’ rating, by incorporating sustainably sourced material and technologies to improve staff wellbeing, all of which supported the client’s positive environmental brief.

Featuring flexible meeting space, innovative breakout areas, 34 workstations, central storage and a large kitchen, the office was fitted out by construction firm AKP to satisfy

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Scaffolding • Contract Roofing • Temporary and Advice Service • Estimating Retention and Dead Shoring Specialists • Facade • CITB Trained & Certified Workforce

the current and future needs of the association and its members.

Kenny Myles, Director at JLL said: “After four successful decades within their Atholl Crescent premises, the association was looking to take the next step and move to a modern, open plan office space. As a redevelopment of the former Royal Infirmary of Edinburgh, elements of tradition and modernity are well blended within the development, complementing the Scotch Whisky Association’s own agenda.

“The association’s new space is bright, energetic, sustainable and well located. Most importantly, it is fit for the demands of a modern business and to successfully protect and promote the interests of the association’s members.”

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ASC Edinburgh Limited 1 Gilmerton Station Road Edinburgh EH17 8RZ t: 0131 603 3116 f: 0131 672 3295 e: enquiries@asclimited.net w: www.asclimited.net

UKC REPORT

2015: looking back and moving forward...

2015 has been exciting year, full of growth and expectation, not just in the construction industry, but also here at UK Construction Media, where April saw us join forces with BiP Solutions, allowing us to concentrate on providing our readers with great news, comments and opinions, whilst expanding our portfolio of customer focussed solutions.

We look forward to continuing our new found partnership with BiP and believe that 2016 will bring more exciting developments and growth for us all.

November saw the launch of our unique marketing solution packages, designed to raise your profile within our sector.

A synergistic and trusted approach makes our partnerships successful and makes us the leading provider of marketing solutions to the UK Construction Industry.

In the construction industry, 2015 has been an interesting year; with the start of AMP6 leading the utilities sector into an era of ‘totex’ – total expenditure investment - where systems and assets are being improved and upgraded leading to long term benefits, rather than short term and problem management investment.

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The new CDM Regs also came into force at the beginning of the year and have received mixed reviews from suppliers and contractors alike, with some bemoaning the cost of investment and others unaware of the changes altogether. We looked at some of the challenges faced and the benefits gained from the change.

Throughout the year, we have enjoyed attending some of the most interesting exhibitions and gatherings the industry has to offer on our shores. A highlight of which was Digital Construction Week and our conversations with BIM Guru, David Philp.

UK Construction Week introduced itself with a bang and this new event is set to become the biggest construction industry trade show on the UK calendar. This year it comprised nine separate shows under one roof from 6th – 8th October.

More than 1,000 exhibitors were joined by an estimated 55,000+ building and construction industry contractors and professionals who chose from a mix of seminars, demonstrations, debates and discussions, designed to make UK Construction Week a powerful and stimulating event at all levels.

Looking ahead, 2016 will involve more change and development from the industry. With the Government’s 2016 Mandate for BIM on our doorstep, people will be asking what this means for them.

‘The Mandate’ was first stated in the “Government Construction Strategy” published by the Cabinet Office in May 2011. The report announced the Governments intention to require: collaborative 3D BIM (with all project and asset information, documentation and data being electronic) on its projects by 2016.

Essentially the UK Government has embarked with industry on a four year programme for sector modernisation with the key objective of: reducing capital cost and the carbon burden from the construction and operation of the built environment by 20%. Central to these ambitions is the adoption of information rich Building Information Modelling (BIM) technologies, process and collaborative behaviours that will unlock new more efficient ways of working at all stages of the project life-cycle.

Over in the transport sector, Network Rail have pushed ahead with the

REPORT UKC

electrification of its network and a number of major hubs have been refurbished: with Birmingham New Street opening in September and Manchester Victoria, hard on its heels in October.

Following a five-year, £750M transformation, Birmingham New Street now boasts an iconic new atrium over a huge passenger concourse - five times the size of London Euston’s. The station, which opened its doors to the public on Sunday 20th September 2015, has been rebuilt while trains continued to run as normal for the 170,000 passengers a day who use it.

Just a couple of weeks later, the refurbished Manchester Victoria Station was officially reopened. Once known as the ‘worst station in the UK’, the £44M upgrade is part of a £1Bn investment programme in rail across the north of England, providing better journeys and helping to build a Northern Powerhouse.

At the opening, Secretary of State for Transport, Patrick McLoughlin, said: “The north is receiving a wave of investment in its transport infrastructure on a scale not seen for generations, with £4.5Bn in the north west alone. The benefits are

already being delivered, with 71,000 more businesses in the north west than in 2010 – a clear sign our long-term plan to secure a stronger, healthier economy is working.’

Work to develop Crossrail continued apace, with some 67% of this massive project to provide a new railway for London and the South East now complete.

Following the successful completion of 42km tunnel in the spring, the project continues to move closer towards delivering the new railway which will open in phases from 2017.

Transport isn’t the only sector the Government has pushed ahead with, and 2015 saw Prime Minister David Cameron call for Generation Rent to become Generation Buy and a promise to build one million homes by 2020. The Government has previously pledged to deliver 200,000 starter homes for firsttime buyers and 275,000 affordable homes during by 2020. With the Autumn Budget promising another 200,000.

We shall see how this progresses and whether the homes will remain affordable to all.

the implementation of BIM as a major event in the calendar and I’m sure a lot of our readers will be interested to see how this is managed and will have numerous opinions about it – please feel free to share these thoughts with us, you can contact me directly at: vicky. maggiani@ukconstructionmedia.co.uk Overall, the market looks healthy for 2016, with the Construction Products Association predicting growth along with healthy results from The Markit/CIPS UK Construction Purchasing Manager’s Index for October.

Once again, construction companies were upbeat about the prospects for growth over the coming 12 months with 59% expecting an increase in business, with only 7% forecasting a drop.

So here’s to 2016 and a healthy and successful year for us all.

And so, looking ahead to 2016, we will see

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REPORT UKC

Scotland sees resurgence in new construction activity The second quarter of 2015 has seen commercial construction in Scotland continue to rise according to the latest JLL and Glenigan UK Commercial Construction Activity Index.

For the year to the end of June, total starts in Scotland amounted to £2.5Bn, representing an increase of 17.6%, making Scotland the second highest performing region in the UK, after the East of England.

The index shows that Scotland, along with the North West and West Midlands, are starting to see resurgence in new construction activity. The North West saw growth increase by 16.8%, with the West Midlands seeing a 9% rise.

London remains the focus of the UK’s construction industry, accounting for 25% of all UK construction activity.

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The South East was relatively flat in terms of construction growth, while the East of England was the strongest performer with a growth rate of 23%.

Ken Frew, Director of Building & Construction at JLL Scotland said: “For the second consecutive quarter, Scotland has proven to be one of the top two performing regions in the UK for new construction starts. This suggests that Scotland, like other major urban centres outside London including Greater Manchester and the Birmingham conurbation – are beginning to see the bounce back that had previously been concentrated in the South East.

“However it’s not all good news.

Construction costs have risen steadily through Q2 2015 with contractor order books experiencing strong growth, particularly in Scotland’s big three cities.

Confidence throughout key trades and supply chains has continued to dictate construction procurement activity with low risk two stage and negotiated appointments necessary to secure contractor programme commitment and product quality. Significant risk transfer is no longer feasible or commercially viable.

“A surge in post-election business and investment decision making was noticeable and is expected to result in increased construction activity in late 2015 and throughout 2016. This will continue to drive costs up and stretch the markets ability to deliver, particularly at short notice. Robust portfolio and project capital planning will be increasingly critical to businesses.”

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COMMERCIAL BS

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Scottish BIM implementation plan launched The Scottish BIM Delivery Group (BIM DG) has officially launched the Scottish BIM implementation plan that sets out the strategy for public sector projects within Scotland to adopt BIM Level 2 by April 2017.

BIM DG was set up by Scottish Futures Trust and the Scottish government and is headed by Professor David Philp, Head of BIM at the UK BIM Task Group and BIM Director at AECOM. Its brief is to support the Scottish government in meeting it’s objective to move towards a digital built environment and put into place the recommendations from the review of Public Sector Procurement in Construction.

The delivery group has recommended the requirement of BIM Level 2 for all projects above the Official Journal of the European Union (OJEU) threshold of £4.32M. Projects that cost less than this figure will be assessed to see whether the implementation of BIM would be beneficial.

The BIM implementation plan has several fundamental objectives including providing a roadmap to the implementation of BIM Level 2 by April 2017 on public sector projects. It will also seek to address the recommendations of the Review of Procurement in Construction report in relation to BIM and support the public sector by demonstrating the benefits of adopting BIM. Experienced leadership and direction is to be provided at a national level in the adoption of BIM for public sector projects within Scotland.

Guidance will be prepared and published for procuring authorities to better equip them in adopting BIM Level 2, with benefits of adopting BIM being demonstrated.

The Scottish BIM implementation plan sets out five steps along the road to BIM implantation. These ‘horizons’ are Planning & Objectives; Mobilisation; Pathfinder Projects; BIM Guidance; and Launch of BIM Level 2.

Commenting on the launch of the implementation plan, Mr Philp said: “It is an exciting time for the Scottish construction industry as we have a great opportunity to change the industry. I have no doubt in my heart that we will be successful.

“People have been talking about improving the industry for the last 40 years, but this is the first time we genuinely make a chance of making a change.”

The group will also develop and introduce a BIM decision matrix, which will help procuring authorities to understand and decide whether their project would benefit from the use of BIM.

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BS HOUSING

Demand for fire-resistant Econic board soars Glasgow-based Duncryne Ltd, is the UK’s sole supplier of Econic, a new robust fireresistant building board, and is set to make major inroads in the construction industry with a portfolio of specified-led work, which is expected to be worth £500,000 in sales over the next year and a half.

Duncryne has also supplied panels at the recently re-furbished Haymarket station in Edinburgh, as well as Queen Street and Central Stations in Glasgow.

Econic board has been installed in student accommodation and at Braehead’s Ferry Village in Glasgow.

Econic is an engineered Magnesium Oxide (MgO) board and is imported by Duncryne from China, where it has a sister company in Shanghai. Since it began trading two years ago, the Company has won a number of prestigious contracts that include the new £842 million Queen Elizabeth University Hospital in Glasgow and the Technology and Innovation Centre at Strathclyde University.

Econic was used as external sheathing for the construction of a highdensity residential development on the South Bank of the Thames in London for FTSE-listed, Surrey-based housebuilder Berkeley Homes.

Following these high profile projects, the Company have now been specified to supply material to be used in external SIPS, render carrier and internal corridor walls to 24 schools as part of the West Midlands Schools programme in Birmingham.

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Duncryne has also supplied pre-cut, Econic board for fire protection and lining to electrical switchgear for a tunnel project at the exhibition centre in Birmingham, providing significant commercial savings to the project due to the onerous fire criteria.

According to Keith Macnair, Managing Director of Duncryne, the increase in work is due to a greater awareness among manufacturers and designers that the

MgO board’s fire resistant, acoustic, structural and hygrothermal performance creates opportunities for leaner and more efficient system-led applications.

Mr Macnair said: “There is strong evidence that specifiers and contractors are starting to appreciate the Econic MgO qualities in regard to the safety and performance advantages – which traditional materials cannot offer. We anticipate that our market share will increase as a consequence.

“The board’s robust qualities complement its technical performance.

It is lightweight, non-hazardous, weather-resistant, will eliminate waste and mitigate damage in transit.

“We see the development of systemled solutions with off-site manufacturers as a main focus for business growth.

We are making significant inroads into the most active areas of the UK market and we can also deliver anywhere in Europe and the Middle East.”

HOUSING BS

Fire Door Safety Week successful in raising awareness Fire Door Safety Week, a campaign organised by the British Woodworking Federation (BWF), BWF-CERTIFIRE scheme and the Fire Door Inspection Scheme, has enjoyed success in promoting the issues surrounding fire door safety.

An interim evaluation report for Fire Door Safety Week has revealed the 2015 campaign has reached more than 4.7 million people up to the end of September.

The campaign’s website saw more than 7,000 people visit and also enjoyed a 30% increase in its number of twitter followers.

Further awareness was generated by the BWF’s fire door safety films and the “Remember Sophie’ video attracted a significant number of views via Youtube.

The campaign has also benefitted from political support.

Fire Minister, Mark Francois, commented: ““Fire doors offer vital protection and can make a real difference to the impact of a fire. I commend the BWF and supporting organisations for this excellent industry-led Fire Door Safety Week and encourage everyone to use this timely reminder to check their fire doors, keep them closed and report any substandard

ones to the owners of the building.”

Mike Penning, Minister of State at the Home Office, said: ““As a former fireman, I am all too aware of the importance of fire doors and the devastating consequences of propping them open and letting them fall into disrepair. A fire door is so much more than a door; at times it can be the difference between life and death.

“We all need to step up and ensure we can recognise and report common problems.

I urge everyone to have a look at the Five Step Check – it may just save a life.”

The campaign was supported by nearly 130 organisations representing the property, FM and construction industries. Many businesses in the fire door industry organised their own events and marketing campaigns during Fire Door Safety Work, including Association for Specialist Fire Protection, Midland Building Products, Arnold Laver, Lorient Polyproducts, Vetrotech Saint Gobain, Ironmongery Direct, Yeoman Shield, Premdor, BM TRADA and Intastop.

Iain McIlwee, Chief Executive of the BWF, said: ““The BWF and all the Fire Door Safety Week campaigners have taken a big bite out of the problem this

year. Our thanks go to the very many firms and individuals who have put their own energies into this campaign.

Together we are reaching millions of building owners, users and professionals whose job it is to keep us safe.

“But the scale of the issue still threatens to swamp us. We need even more to join us to voice our concerns regarding the lack of basic knowledge of fire door safety by the very individuals and organisations who have the formal responsibility to keep us safe in the buildings they own or manage.

“When the worst happens, it is the compartmentation of fire and the correct installation of certificated fire doorsets which buys us time, creating safe refuge and a protected route for the emergency services to come to our aid. On average there are 25 people seriously injured or killed in building fires every day in Great Britain. Our friends, our loved ones, our work colleagues, our tenants, our fire officers. This cannot continue.”

2016 marks the 350th anniversary of the Great Fire of London and next year’s Fire Door Safety Week (26 September – 2 October) will look to generate even more awareness through events marking the anniversary.

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BAFE – HELPING YOU TO MEET YOUR FIRE PROTECTION OBLIGATIONS Current fire protection legislation across the UK requires property managers of all non-domestic residential premises to have adequate fire protection. It is their responsibility to ensure that there is an adequate, updated fire risk assessment and that all aspects of the requirements are carried out competently. This is not only to ensure that tenants, staff and premises are adequately protected, but also to minimise the risk of costly unwanted false alarms.

A competent fire risk assessment is one of the basic requirements for any landlord. The most recent CFOA guidance for the Reduction of False Alarms and Unwanted Fire Signals highlights some of the solutions to this problem, amongst which is the use of third party certificated providers of fire protection services: www.bafe.org.uk/uploads/DOC53C531E465792.pdf. There is now significant evidence that the Fire and Rescue Services are taking action against both property owners and fire risk assessors if the assessment is not adequate. The first prosecutions have recently been successful in Court.

To demonstrate that the responsible person (duty holder in Scotland) has met their legal obligations a large number of public authorities and commercial organisations large and small, now insist that their fire protection services are carried out by a company that has been third party certificated. Many now specify that providers are BAFE registered.

You can find out if your potential provider is third party certificated, by looking on the BAFE website: www.bafe.org.uk/companies.php BAFE is the independent third party certification, registration body for the fire protection industry. We develop schemes for UKAS accredited certification bodies to assess and approve companies to recognised standards. There are now more than 1200 BAFE registered companies across the UK. Our aim is to support property managers to ensure that they get quality fire protection for their premises, staff and service users.

In 2012 BAFE launched the first UKAS accredited, independent scheme for Companies who carry out Fire Risk Assessments (SP205) which is a vital part of meeting obligations under fire legislation. The scheme considers the competence of the individual assessors as well as the

quality management procedures for the organisation. Each assessment must be approved by an authorised signatory within the organisation, but the scheme has been designed to ensure that competent SMEs are able to register. There are a growing number of companies registering to the scheme, throughout the UK and increasing recognition that an independent measure of competence is a vital requirement.

If you are looking for the supply and maintenance of portable extinguishers, look for one of the 330 Companies accredited to BAFE Schemes SP101/ST104. Companies are certificated to ISO9001 and all of their technicians are assessed by BAFE for initial and ongoing competence. There are currently more than 1250 BAFE registered technicians, working for our registered companies.

For fire alarm systems Companies should hold BAFE modular SP203-1 scheme approval. This scheme includes design, installation, commissioning and maintenance of automatic fire detection systems and also requires that all equipment used is third party certificated. The scheme now has over 770 registered companies. Registration to this BAFE scheme is often a key requirement criteria in tenders for the provision of fire alarms for both specifiers and end users.

Our Emergency Lighting scheme (SP203-4) sets out the standards and staff competence criteria to be met. It is modular, as with the fire alarm scheme, and is achieving growing recognition from end users. In buildings with multiple occupancy this aspect is often overlooked, especially when the original systems were installed during the building of the premises and the internal layout has been changed subsequently.

There are a range of other BAFE schemes covering particular sectors of the fire protection industry and details can be found on the BAFE website, along with a complete search facility to find registered companies in your area.

So if you want to be sure you are getting your fire protection from companies who are properly and regularly assessed look for more information at: Website: www.bafe.org.uk Email: info@bafe.org.uk

Don’t gamble with FIRE

INFO@BAFE.ORG.UK

WWW.BAFE.ORG.UK

BS COMMENT

Interim payment disputes - Stop winding me up!

Last month the Court of Appeal handeddown judgment in a case concerning contractor’s insolvency and payment in winding-up proceedings (Wilson and Sharp Investments Ltd v Harbour View Developments Ltd). The case is of interest because of its wide interpretation of the JCT contractual insolvency provisions. It also sends a clear message as to how interim payments should be enforced.

In 2012, Property Developer Wilson and Sharp Investments Ltd (the Employer) engaged Harbour View Developments Ltd (the Contractor) for the development of student accommodation in Bournemouth.

There were two building contracts, both based on the JCT Intermediate Contract with Contractor’s Design 2011.

In August and September 2013 four interim certificates were issued - one of which was later paid - leaving an amount of over £1M outstanding. No Pay Less Notices were issued by the Employer. As a result, the sums certified became due and payable. The Contractor subsequently suspended its services on the grounds of non-payment. It was common ground that the contracts were terminated in late January 2014.

Rather than issuing adjudication proceedings to recover the sums certified, the Contractor, having first notified the Employer of its intention to do so, issued a winding-up petition against the Employer. The Employer subsequently issued an application for an injunction restraining the petition, on the basis that the interim certificates grossly overvalued the Contractor’s works.

The financial standing of the Contractor

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subsequently deteriorated. Prior to the hearing at first instance the Contractor proposed a CVA, which was subsequently rejected and notice was given that a meeting of creditors was to be held for the purpose of appointing a liquidator.

The Court at first instance dismissed the Employer’s application for an injunction to restrain the winding-up petition because: 1. The JCT provisions allowing the Employer to suspend payment on insolvency did not apply where the contracts had already been terminated before the contractor became insolvent 2. As the Employer had not served Pay Less Notices and acknowledged the interim payments were due and payable, the Employer’s cross claim for overvaluation of the works was a ‘put-up job’ and not genuine.

The Employer appealed. So what did the Court of Appeal decide?

The Court of Appeal agreed with the Employer that the JCT provisions regarding suspension of payments to the Contractor on insolvency apply regardless of whether the contract had already been terminated or was capable of termination.

The Court of Appeal also disagreed that the cross-claim was a ‘put-up job’; the evidence showed that the cross-claim was reasonably arguable. Further, the Court stated that an acceptance by an employer that an amount was due under an interim certificate (because a Pay Less Notice was not served) did not preclude an employer from

challenging the valuation later.

This, of course, is a hot topic since the outcome of the appeal in the case of Harding v Paice, where parties were not permitted to challenge the valuation of interim payments in the absence of a Pay Less Notice, is due at any time.

But possibly the most important message from the Court of Appeal to contractors is that even where there has been a failure to serve Pay Less Notices, don’t use winding-up proceedings to enforce interim payments where there is a challenge to a valuation or a cross claim. The most appropriate route is to pursue adjudication proceedings followed by enforcement in the TCC. Kasia Dickson, Legal Assistant, Thomas Eggar LLP Kasia Dickson

COMMENT BS

Payment Application and Pay Less Notice: the Henia Case As noted in previous articles recently, payment notices have increased practical importance since the amendments to the Housing Grants, Construction and Regeneration Act 1996 (the HGCR Act) brought in by the Local Democracy, Economic Development and Construction Act 2009 (the LDEDC Act). If the employer fails to issue either a valid payment notice or a valid pay less notice, the contractor is entitled to be paid the sum for which it applied.

Again as we have seen in previous articles, adjudicators have tended to take a lax approach to the validity of the contractor’s payment notice and have readily found contractors entitled to sums applied for on the basis of questionably alleged payment notices, whereas the courts have made it clear that it must first be investigated whether the payment notice relied on is valid: see Leeds City Council v Waco UK Ltd (2015) and Caledonian Modular v Mar City Developments (2015). It is important that these notices are valid, as they have potentially severe financial consequences if not acted upon correctly; it is therefore vital that they are clearly recognisable as payment notices.

In the most recent case, Henia Investments Inc v Beck Interiors Ltd [2015], the judge set out some fairly stringent requirements for these notices. Beck Interiors was carrying out extensive fitting out work for Henia under a JCT contract. Akenhead J stated that a document relied on as an interim application must be in substance, form and intent an interim application stating the sum considered by the contractor to be due at the relevant due date and it must be free from ambiguity. It must be clear that it is what it purports to be so that the parties know what to do about it and when. It must be clear and unambiguous

that an application relating to a specific due date is being made. On the facts of this case, Beck Interiors’ application for interim payment of 28th April 2015 was held not to be an effective interim payment notice in respect of the 29th May payment due date.

A second issue concerned a pay less notice from Henia. Akenhead J made the point that a pay less notice can validly be used by the employer to challenge the independent certifier’s certified amount (as well as any payment application from the contractor). A pay less notice can be used both to challenge these amounts and to take account of any amounts to be set off. This was the position under both the statutory provisions and the JCT contract. The regime under the HGCR Act before amendment by the LDEDC Act was that a withholding notice was only for set-off and any certified amount had to be paid in the absence of a valid withholding notice (see the Court of Appeal decision in Rupert Morgan (2003). The certified amount could only be reviewed in adjudication, arbitration or court.

notified amount that has to be paid is the amount the employer specifies in the pay less notice he considers is due. Whether the legislation was right to put the matter so broadly rather than limiting s.111 to set-off is a separate policy question.

The pay less notice thus determines provisionally what sum is to be paid net of set-off. In the Henia case, Henia’s pay less notice did not in fact challenge the certified amount but accepted it and set off liquidated damages, with the effect that the certified amount was reduced to £0.

The pay less notice was provided in time and was held to be valid and effective.

For more information, contact Peter Sheridan Partner at Sheridan Gold LLP T: 01737 735088 E: psheridan@sheridangold.co.uk W: www.sheridangold.co.uk

Peter Sheridan

The Henia analysis does mean that in cases where the employer challenges the certified amount, the contractor may find out only very shortly before the final date for payment that the sum to be received is less than expected by reason of a change in the valuation, by the employer, from that certified.

If dissatisfied, the contractor in these circumstances may adjudicate or follow some other dispute resolution route.

This may be a relatively rare occurrence, as employers are generally content with the certified amount. It does in any event seem to the writer that the judge is correct that the legislation allows an employer to challenge the certified amount in a pay less notice: see s.

111(1), (3), (4) and (6), under which the

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BS COMMENT

UK immigration options for the construction industry With 2014 being a boom year for housing and commercial development, and with continued growth in 2015, the construction industry is creating a demand for specialist and skilled workers. The Royal Academy of Engineering acknowledged that the UK will need over one million new engineers and technicians over the next five years and the UK Government recognises that there is a skills gap in the resident labour market. This suggests that the UK is not able to keep up with this demand, requiring employers to hire workers from outside the UK. Tier 2 (General) For construction companies looking to hire migrant workers to fill skilled positions within the UK that cannot be filled by resident workers, the most appropriate category is likely to be Tier 2 of the UK’s Points Based System.

Employers must first obtain a licence from UK Visas & Immigration (UKVI) before they can sponsor migrant workers in the UK. In addition, unless the position is an intra company transfer, is on the shortage occupation list or the annual salary is at least ÂŁ155,300, the position must be advertised to the resident labour market for a 28 day

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period in two mediums and provided no suitable resident worker applies for the role, the employer can then request a restricted Tier 2 (General) Certificate of Sponsorship (COS) from UKVI. There are only 20,700 of these restricted COS available per year, divided into 12 monthly allocations. Restricted COS are allocated on a points basis, with roles on the shortage occupation list, PhD level positions and those with high salaries obtaining the highest points.

required to be at NQF Level 6, but this does not apply to those positions on the shortage occupation list.

The Migration Advisory Committee (MAC) is an independent nondepartmental public body which was set up to advise the UK government, for example on where there are shortages of skilled labour in the UK. Based on this advice, the UK Government created and updates a shortage occupation list.

The good news for the construction industry is that several relevant specialist roles are on this list including certain technicians, quality control and planning engineers in specific industries and environmental professionals in the construction related ground engineering industry. If a position is on the shortage occupation list it means that advertising is not required and that it is likely to be granted a restricted COS. In addition, positions under Tier 2 are also usually

A further option for multi-national construction companies is to transfer current employees who have gained the specialist skills and experience required by the company, to their UK based branch under Tier 2. For transfers of 12 months or more (up to a maximum period of five years or nine years if earning at least ÂŁ155,300 a year) the employee must have been working for the organisation outside the UK for at least 12 months directly prior to the transfer and must be filling a skilled job in the UK which cannot be filled by a settled worker. The employer is not however required to advertise the position.

A migrant may work in the UK under the Tier 2 (General) category for an initial period of up to five years, with a maximum period of stay of six years.

However, this category can lead to indefinite leave to remain in the UK (ILR).

Tier 2 (Intra-Company Transfer (ICT))

Current employees can also be transferred to a UK branch of the same organisation for a maximum six

COMMENT BS

month period to acquire the skills and knowledge needed to perform their role overseas, or to impart their specialist skills to the UK workforce, provided the role in the UK is supernumerary. The employee just needs to be employed by the overseas company at the point of applying. Alternatively, if a UK company has a structured graduate training programme, clearly defining progression towards a managerial or specialist role, they could use the Graduate Trainee sub category of Tier 2 (ICT). Migrants must be recent graduate recruits of multi-national companies who are being transferred to the UK branch of the same organisation as part of the graduate training programme.

The Tier 2 (ICT) category does not lead to ILR however therefore an employer should consider applying under Tier 2 (General) if they require a long term or permanent transfer of an employee.

Tier 2 also covers migrants who are working in the UK on a contract basis and are being supplied to one organisation by another. The sponsor in these circumstances must be whoever has full responsibilities for the migrants duties, functions and outcomes or outputs of the job.

Employers sponsoring migrants under Tier 2 must also ensure that they are paid the minimum required salary, which is dependent on the category and the applicable Standard Occupational Classification code. They must also be aware that if the sponsoring migrant leaves the UK at the conclusion of their sponsorship they will be unable to reenter the UK under the Tier 2 category for a period of 12 months (unless an exemption applies, for example they were previously in the UK in the Short Term staff, Skills Transfer or Graduate Trainee sub categories of Tier 2 and they are returning under the Long Term staff route). Employers must therefore take this exclusion period into consideration when transferring staff.

Tier 1 (Exceptional Talent) This is an alternative immigration option that does not require a sponsor and enables successful applicants to take any employment in the UK. This category is relevant for migrants who are world leaders, or emerging world leaders, in their field and covers the field of engineering. However the bar for this category is set very high and there are only 1000 places available each year, with 150 places allocated to the

engineering industry. The application process initially involves the applicant obtaining an endorsement from a relevant designated body, such as the Royal Academy of Engineering.

Tier 1 (Entrepreneur) The Tier 1 (Entrepreneur) category is open to those who wish to join, take over or establish a business in the UK. In order to be successful, applicants have to demonstrate that they have access to ÂŁ200,000 for investment in the UK. This category could also therefore be applicable to those wanting to invest in a construction company within the UK. There are therefore several options available to enable companies within the construction industry to hire and transfer skilled workers to fill the skills gap which currently exists within the UK, at least until any education or training programmes prove successful in upskilling the UK resident labour market.

Article by Jennifer Stevens – Senior Associate Solicitor and Practice Manager and Mercedes Moya – Paralegal both of Laura Devine Attorneys LLC

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BS COMMENT

Key metrics you need to know to measure the effectiveness of your on-site trainings

By Michelle LaBrosse, CCPM, PMP®, PMI-ACP, Founder of Cheetah Learning Project Managers, and especially certified Project Managers, know firsthand the value of quality training for their own professional development and effectiveness. Being a PMP, after all, requires PMs to pursue ongoing education to maintain their credential.

The Project Management Institute’s recent Pulse of the Profession report further confirms the value of PM training; in their 2015 study, they found that “80% of high-performing organisations offer ongoing training for project managers.”

Training isn’t valuable only for individual employees, then; it improves the performance of a whole organisation.

Project Managers also know, however, that not all training programs are created equal. How, then, can organisations and their leaders evaluate the quality and effectiveness of the trainings they offer? Here at Cheetah Learning, training evaluations ultimately need to measure real-world results. For Project Management training, we find that two of the most important metrics of training effectiveness are bottom-line financial measures and exam pass rates of employees. We’ll explore these in the case of Cheetah’s own evaluation of the effectiveness of one of its most popular courses: its Cheetah Exam Prep® for PMP® Exam program held on-site for corporate clients.

First Metric: Bottom-Line Financial Measures To evaluate how well our on-site PMP training helps the financial bottom line of our corporate clients, Cheetah tracks the profitability and growth rates of these organisations. Since

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we have provided regular trainings for many of our publicly traded corporate clients for ten years or more, we were able to examine the historical data on their organisation’s profitability and growth alongside the on-site trainings we provided to that organisation each year based on their publicly available annual reports. We were not surprised to find that 90% of Cheetah corporate clients increased their profitability and that 85% of them increased their growth rate in the year immediately following retaining Cheetah Learning for their on-site PM training needs.

pass rate for the Project Management Professional (PMP)® exam is estimated to be approximately 60%, 98% of students who go through Cheetah Learning’s Cheetah Exam Prep® for PMP® Exam program pass the test.

Even if your training program does not culminate in an exam like the PMP, you can still use an exam format to measure the training’s effectiveness.

Good trainers could (and should) end their program with a knowledge assessment to see how well employees that went through their program assimilated the information presented.

Regardless of the type of training program your organisation brings on board, measuring the long-term effects on your company’s profitability and growth is crucial to evaluating that training’s effectiveness. This metric is most reliable when you are able to measure the effectiveness of training programs offered regularly over a long period of time.

The types of metrics you choose to evaluate the effectiveness of your organisation’s training programs will, of course, depend on the trainings your organisation uses. But regardless of whether these are high-stakes trainings that require employees to pass a globally recognised certification exam where everyone’s reputation is at stake (including the organisation’s), or lower-stakes trainings focused on soft skills, measuring the effectiveness of training programs is the best way to know which trainings are adding value to your organisation - and which need to be either improved or eliminated.

Second Metric: Exam Pass Rates A second, crucial metric that we here at Cheetah use to measure the effectiveness of our on-site accelerated PMP prep program is perhaps the most obvious: how many employees who go through our program actually pass the exam (and pass it the day after they complete the course). To track this, we keep in close contact with all of our program alumni to find out if they passed the exam and what their next career moves are. This is built into our program, as we refund the money of those who do not pass. Through these efforts, we have found that while the first-try

To learn more about Cheetah Learning’s on-site Cheetah Exam Prep® for PMP® Exam program and how to bring this award-winning training to your organisation, contact the company at (888) 659-2013 or info@cheetahlearning.com.

RAISE YOUR COMPANY’S PROFILE ADVERTISE IN ONE OF OUR RENOWNED PUBLICATIONS CONTACT US TO DISCUSS WHAT WE CAN DO FOR YOUR COMPANY

0 0 9 1 3 edia.co.uk 2 7 5 2 onm i t 1 c u T: 0 kconstr .u www

BS COMMENT

It’s time to put occupational cancers under the spotlight Shocking statistics highlight need for greater awareness and early intervention Mike Petter, Chairman, Considerate Constructors Scheme

The Considerate Constructors Scheme ‘Spotlight On’ series of campaigns aims to raise awareness of critical issues throughout the construction industry. The Scheme was established by the construction industry to improve its image - and as we know, image is far more than just appearance. By highlighting key issues that affect the workforce, the Scheme plays a vital role helping to raising standards across the industry.

The latest ‘Spotlight On’ focuses on occupational cancers. Scheme Chairman Mike Petter outlines how the industry can help to safeguard its workforce against occupational cancers - as early intervention is critical - before it’s too late.

Construction is by its very nature, a physically demanding industry with many of the workforce being on site, up ladders, underground, drilling, demolishing and creating safe structures for society’s future. Whilst construction work is visible, many of the health risks for the workforce are not always obvious - especially those that are completely undetectable, often remaining dormant for decades.

The construction workforce is at a greater risk of developing cancer at work compared with any other industry group, if the risks posed fail to be appropriately managed. The two main types that significantly affect individuals

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working within the construction industry are skin and lung cancer. They can be caused by exposure to carcinogens and UV radiation in the workplace over a prolonged period of time. The causes can also take various forms from solid substances to gases and dust.

A number of substances potentially causing risk are asbestos, silica, diesel engine exhaust emissions, paint and prolonged exposure to UV radiation.

Without appropriate control measures in place, the workforce can be harmfully exposed breathing these substances in or absorbing them through the skin.

Shocking statistics • Construction workers have a 6 times greater risk of developing skin cancer than the general population (Construction Enquirer, 2015).

• In the UK there are 14,000 newly occurring cases of occupational cancer per year (IOSH, 2015).

• In 2015, an estimated 3,500 construction workers will die from cancer caused by past exposures to asbestos, 500 more from silica dust, and another 5,500 will be diagnosed with occupational cancer (Breathe Freely, BOHS, 2015).

It is difficult to determine the true extent of occupational cancers as in many cases individuals fail to develop

any noticeable symptoms of either skin or lung cancers until many years later.

Therefore, they are often not viewed as a high risk health and safety issue immediately affecting the workforce.

Awareness and early intervention It’s essential to raise awareness amongst the construction industry, and understand how early intervention can help to mitigate / reduce risk of exposure.

1 Proactively remove carcinogenic and hazardous substances.

If complete elimination isn’t achievable, working methods and equipment must be substituted for safer alternatives.

2 Isolate high risk areas Specific areas should be designated at a distance from main working areas or workers should be removed from areas of hazardous operations.

Those who are exposed can be properly protected during operations, such as cutting timber or cement blocks.

3 Controls to reduce exposure Measures to minimise exposure to dust and fibres include implementing a ventilation system or installing local exhaust ventilation systems on woodworking machinery. Dust bags can be integrated on power tools for sanding and cutting, and spray booths can be installed for particularly hazardous operations.

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Certain controls can be employed to reduce the amount of harmful exposure operatives have to UV radiation such as providing shade, sun cream protection, reflective Personal Protective Equipment (PPE), modifying reflective surfaces and using window tinting on vehicles.

4 Review and update safe working procedures Outdoor work can be rescheduled to ensure that it does not take place in the middle of the day when UV levels are at their strongest.

Jobs could be moved into shaded areas, outdoor tasks shared and staff rotated so the same person is not always working outside in the sun.

5 Adapt to match the working conditions PPE could be used alongside other control measures such as dust masks and respirators to protect against fumes. Gloves, overalls, neck protectors, sun cream and sun hats

could also be provided for the workforce.

6 Raise awareness, provide support and advice The construction industry should be aiming to acknowledge and address dust and UV related issues. Sites should educate and inform the workforce about the dangers of occupational cancers via regular toolbox talks, nurse visits, posters and leaflets. A clear message needs to be communicated to everyone and equipment should be provided and made available to ensure that workers are able to protect themselves.

The importance of protection for the long-term health of the workforce has to be carefully considered and reinforced amongst workers. The industry has to better safeguard against occupational cancers, providing more awareness, guidance and support is essential to achieve this goal.

If the industry wants to attract talented, new recruits, it must ensure it is doing everything it can to provide a safe working environment for today and the future, considering both the short term and long term health impacts and risks involved.

Further information is available at: www.ccscheme.org.uk Visit the Scheme’s Best Practice Hub: bit.ly/bestpracticehub - a unique database available to anyone free of charge. The Hub hosts a wealth of best practice examples, innovations and case studies to help the construction industry learn from their peers and raise standards throughout the industry.

Mike Petter Mike is Chairman of the Considerate Constructors Scheme, the organisation established by the construction industry to improve its image. Mike is a Chartered Civil Engineer, who has over 30 years working in the construction industry, and has monitored over 1000 construction sites registered with the Scheme.

Mike began his career at Geoffrey Osborne Ltd, working on a variety of construction projects before becoming Managing Director. He was also Regional Director at Alfred McAlpine Civils. Prior to joining the Scheme in 2008, Mike was Managing Director for Five Dimensional Management Ltd, a well-established consultancy firm specialising in construction. Mike also holds non-executive roles within health and housing.

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BS COMMENT

First line of defence: The importance of perimeter protection As the first line of defence against intruders and security breaches, effective perimeter protection should form an integral element of the security strategy for any business. Paul Adams, Head of Technology and Product Management at Kaba Ltd and Chairman of the Access and Asset Protection Section of the British Security Industry Association (BSIA), explores the key considerations businesses should make when deploying perimeter protection.

When it comes to providing effective protection against intruders, the ability to secure the perimeter of a diverse range of vulnerable sites – as a first line of defence – is undoubtedly a key concern for organisations operating in a range of business sectors. Whether the location in question is an important part of the critical national infrastructure – such as a transport hub or power station – or a valuable private sector location such as a storage depot or warehouse, it is imperative that integrated and robust security measures are in place.

used starting from the site’s perimeter all the way back to individual building security or main asset security in order to deter would-be intruders. The outer perimeter layer represents a key starting point in terms of physical protection combined with electronic and/or security patrols. Patrols with dogs can also be used. This approach is commonly deployed on large, sprawling sites with many separate buildings and elements, including ports and airports.

For many organisations, the area in need of protection can cover large geographical areas or contain several separate buildings or elements, which can mean that their perimeters are extensive and complex. The need to monitor these around the clock requires an effective security strategy which seamlessly combines various systems and technologies, enabling businesses to identify and address potential threats in a timely and effective manner.

As the first line of defence, physical security measures can provide a daunting deterrent to would-be intruders, while restricting access and directing visitor flow through the desired entrance and exit points. Gates, barriers, doors and fences are the obvious choices for perimeter protection, but attention should be paid to some key considerations when these are deployed.

A combination of technology, physical security and the deployment of trained personnel is often the most effective method of security integration, creating several layers of defence to protect the perimeter of a site or business.

A layered approach A so-called ‘onion ring’ approach is often recommended for sensitive areas, or those covering a large geographical area.

This approach involves the most at-risk area being strategically positioned at the core of a layered defence system, whereby several layers of security are

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Physical security

Firstly, doors should be fitted with high quality cylinder locks or five-lever mortise locks, and should comply with the standard PAS24-1, entitled ‘Doors of Enhanced Security’. Areas not easily secured with lockable doors – such as turnstile entry points – should be covered with a security grade grille or shutter.

Similarly, security fencing and gates should be substantial and wellmaintained with good quality locks. It may also be advisable to think about the installation of bollards or barriers on the entrances to car parks in order to prevent unauthorised vehicular access to a site.

A watchful eye on the perimeter Undoubtedly, CCTV continues to play an important role in keeping a watchful eye on critical perimeter areas, acting both as a deterrent and an active measure for early intervention. More recently, demand for high-definition (HD) CCTV has been on the increase, which, when in place, offers the potential to deliver a much greater level of surveillance at critical or high-risk areas, such as site entrances and exits, and can also provide detailed footage to help secure convictions should a security breach occur.

Furthermore, to better secure the area, the deployment of thermal imaging cameras at regular intervals along the fence line can be an effective method of spotting intruders during the hours of darkness or adverse weather conditions. Detector-activated CCTV can also prove useful in providing 24-hour alerts to site managers responsible for large-scale sites, enabling security personnel on the ground to be deployed effectively when an alert is generated.

Looking more closely at remotely monitored, detector-activated CCTV, this is finding favour with businesses in a number of sectors across the UK, who are able to keep an eye on vulnerable areas by linking cameras and detectors – strategically positioned on the perimeter – to a privately-run Remote Video Response Centre (RVRC). Systems that are compliant with British Standard BS8418 can enable the operator to issue a verbal warning through onsite speakers to stop the intruder in their tracks, which has shown to be a sufficient deterrent in 90% of cases.

Should intruders be successful in breaching the wider perimeter of a site, effective access control measures can play a significant role in preventing further access to buildings. Access control provides the ability to control, monitor and restrict the movement of people, assets or vehicles in, out and round an area. This is essential for an organisation of any kind that experiences a busy footfall and wishes to secure specific areas from being accessed by non-personnel.

While traditionally consisting of elements such as turnstiles and key cards, the latest developments in access control technology include the use of biometrics – the unique physical characteristics of individuals, such as finger prints or iris recognition – to confirm the identity of individuals seeking to gain access to a restricted area. As the security risk increases, these identification factors should be used in combination to authenticate the user: Token (something you have), PIN (something you know), and Biometrics (something you are). Apply a single factor for general security, two of these factors where medium to high security levels are required, or all three for high to special security.

The scope of the technology is impressive in itself, and with environmental commitments and cost savings being high on the agenda for most organisations, effective utilisation of access control systems can offer the vital reductions that they’re looking for. Access control measures can be integrated with other systems – including energy management – to provide wider business benefits, such as the control the use of heating and lighting dependent on the location of people within the building.

Taking a general overview of the nature of perimeter protection, it is clear to see that integrating physical security measures with electronic systems provides an early warning and speedy response to potential breaches, especially for sites that do not have the resources and manpower to ensure that the whole site is being monitored 24 hours a day. Security specialists can provide expert advice on the implementation of a range of security measures to suit individual business needs and to counter a range of risks faced by businesses operating in varying business sectors.

To find out more about the solutions mentioned in this article, and the products and services offered by BSIA members, visit the BSIA’s website at www.bsia.co.uk.

NHBC’s Land Quality Endorsement (LQE) service has just celebrated its tenth anniversary. Here, NHBC’s Engineering Manager John Jones looks back over the last decade and ahead to landmark projects that the team will be involved in over the coming months and years.

Developing brownfield or marginal sites can often involve significant risks, with geotechnical and contamination issues often contributing to unforeseen costs and obstacles during the potentially lengthy remediation process.

For residential developments, ensuring that the remediated site is acceptable for new home warranty cover needs to be considered from the outset by the project promoter. NHBC’s Land Quality Endorsement service can assist in providing this assurance for landowners and land developers remediating land for sale to the house building sector.

The LQE service delivers comprehensive technical risk management for clients on sites with challenging geotechnical and contamination ensuring remediation is in line with NHBC standards (Chapter 4.1: Land Quality - Managing Ground Conditions) for land quality and suitable for Buildmark warranty cover.

Over the past decade, our dedicated team of land quality and geotechnical engineers have assessed some of the most contaminated sites in the UK, contributing to the restoration of over 100 sites, with the potential for 45,000 new homes, back to sustainable residential usage.

Although UK housing levels have increased over the last three years, with volumes for 2015 on track to top last year’s total of 145,000 new home registrations, there remains a great demand for new, quality homes across the country – meaning that LQE has an important role in ensuring brownfield developments remediated by independent or third party land developers are suitable for residential end use.

Significant LQE sites have included the former Avenue Coking Works near Chesterfield, widely regarded as one of the most heavily contaminated former industrial sites in Europe and a former chalk quarry in the Kent new town of Ebbsfleet - soon to be home to 6,250 plots.

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Controlling access

for Buildmark warranty cover.

Indeed, NHBC’s LQE is fast becoming a pre-requisite for many developers looking at large brownfield sites, with typical locations including landfills, quarries, gas works, mine works, industrial complexes and collieries.

Looking ahead, NHBC is already helping on some of the largest remediation schemes and challenging sites in Europe - open cast coal mines, landfills, cement works and chalk pits. Additionally, the service is particularly beneficial to sites that will be remediated for subsequent sale to developers of new housing or mixed-use schemes.

One such project is the landmark Priors Hall Park development in Corby, Northamptonshire. Previously described as the “UK’s biggest building site”, the LQE team will be involved in two phases at the former ironstone quarry site, working on land on for up to 2,400 new plots.

Master developer BeLa Partnership has outline planning permission for 5,096 homes; creating the infrastructure for the next phases of the development that will help to deliver 400 new homes per year.

We will be working at Priors Hall Park for the foreseeable future while the team also work with many other land developers and house builders across the country to help transform complex brownfield sites into land meeting the appropriate Standards and suitable for Buildmark warranty cover on thousands of new homes.

For further information on NHBC’s LQE service please visit www.nhbc.co.uk/ ProductsandServices/ Consultancyand Testing/ LandQualityEndorsement John Jones

In these cases our involvement has helped to reduce uncertainty by identifying and assessing potential risk. NHBC’s early involvement checks that remediation solutions comply with the NHBC Standards for land quality, thereby ensuring acceptability

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BS COMMENT

About the author Benjamin Dyer is CEO and co-founder of Powered Now. Powered Now’s mobile app aims to take the pain out of paperwork for individual trades people as well as small field trade businesses. www.powerednow.com

Constructing the right price I’m in a somewhat fortunate position, I get to speak to a lot of construction companies in my role. It’s fascinating as I don’t think I’ve come across two companies that are really alike, however there is one common element the more successful ones have, they don’t compete on price.

By ‘don’t compete on price’ what I mean is, they don’t allow price to become the main reason their company is chosen for work, and they definitely never commit themselves to beating other prices whatever they are.

I find this fascinating, but its very tempting to focus on price, especially in a competitive market such as construction.

In this article I explain some of the problems when you make price your primary way of competing, and then try to suggest some alternative strategies.

It doesn’t make sense Supermarkets buy in bulk so are able to wipe out many local shops because they have huge economies of scale.

This is known as a cost advantage.

Most construction companies sadly don’t have much of a cost advantage over one another. Therefore one of the only ways that you can consistently beat others is by paying you and your staff less per hour or cutting corners, not a good business strategy!

You will deal with more difficult customers In general, those customers most keen on a “deal” will also be the most

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demanding, the most difficult and as a result the most challenging at paying.

Are they the type that you want? Or would you prefer your competitors to have them to themselves?

Impacts recommendations As I described earlier, the standard strategies for lowering prices are not very attractive. I’ve seen companies that end up in disputes over cutting corners and this has a terrible knock on effect, you will never be recommended.

Recommendations generally lead to uncontested quotes and without them you will always find yourselves competing with others. It’s a vicious circle that’s very hard to break.

You can prosper by not doing it There are a number of different approaches you can adopt. The first is to always emphasise quality when you are discussing the job, and do your best to demonstrate your expertise to the prospect without irritating them by being a know-it-all.

Guy Hodgson, Screwfix tradesman of the year for the West Midlands, suggests: “The way to win business is to go in person to see the client. Listen hard and try to contribute useful suggestions. If you don’t know something, say so. Then later do research and call them back.

Get your quotation or estimate to them quickly. Strike while the iron is hot.”

His approach is to impress with expertise, not price, and thus Guy has a thriving business.

As Hodgson says, a tip is to be very

fast at producing a quotation when one is requested. Many tradesmen are slow to respond and home owners can get very frustrated waiting.

Maybe you could experiment with saying that if a decision is given by a certain date, you can start on the following week, but that commitment ends if they don’t make a decision in time. That way you can use the lack of speed by competitors to provide your advantage. Of course your bid does need to be reasonable as well.

Just be careful that you can deliver. If you force your customer’s hand, setting their expectations that they will get a fast job and then they get something else, this will cause big problems.

Some of the companies I have interviewed simply don’t quote when they are in competition with others – the cost of preparing failed quotes is too high and they don’t wish to compete on price.

They work hard to generate enough leads so they can afford to just quote for the ones where there isn’t any competition.

Be firm Competing on price is the quickest way to lose money and probably after poor workmanship is the biggest reason for construction businesses fail. No one is suggesting that rip-off pricing will work but fair pricing that provides for a good job and a decent profit should always be your aim.

Sometimes it’s hard to wean yourself off low prices and it can take persistence and a lot of confidence. However while no two construction campaigns are alike you can use this to your advantage.

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Build UK – Single voice or a sick joke?

Written by Barry Ashmore, co-founder of StreetwiseSubbie.com Ltd Following the launch of Build UK at the beginning of September, I read a whole host of articles and stories about the aspirations of this shiny new organisation formed as a result of the merger between the National Specialist Contractors Council and the UK Contractors Group.

Many of those articles clearly outlined Build UK’s claim that it will provide, “for the first time, a single voice for the whole of the contracting supply chain and offers a real opportunity to transform the construction.” Reading all this was music to my ears, and many others involved in the construction industry I imagine. A very worthy aim but, and it’s a big but, one that I feel is sadly unattainable for a number of reasons.

1 Build UK is made up of “27 of the largest major contractors” and “40 trade associations representing over 11,500 specialist contractors”. How on earth can 67 separate businesses and associations speak with one single voice? Each one will undoubtedly have its own separate agenda and, come on, main contractors and specialist contractors singing from the same hymn sheet? It’s like poachers and gamekeepers joining forces – it will never happen.

2 There are, indeed, some huge household names cited in the member and partnership section of the Build UK website. If you contacted any of them tomorrow, would they know the specific aims of “the ‘go to’ representative organisation for industry stakeholders” that they belong to?

Even if they did, would they be able to explain exactly how these aims are being achieved on a day-to-day basis by the very organisation they

are part of that purports to “provide influential and dynamic leadership and a joined up approach from the supply chain”? The short answer is, no.

3 Build UK professes to “focus on key industry issues that can deliver change and enable the contracting supply chain to improve the efficiency and delivery of construction projects to the benefit of the industry’s clients.” Just take a look at any one of those ‘issues’ and you’ll realise that Build UK has a truly immense task on its hands to offer solutions. They could be at this a while…

4 Referring to point 3, I do see, however, a very quick win for Build UK in the shape of the ‘fair payment practices’ issue. I’ll give the executive board the solution to this one for free. Cut through the PR flimflam of “considering what fair payment practice in the construction industry looks like” – we ALL know what it currently looks like and it’s both soul and business destroying. Fact. Main contractors, pay your subbies on time, every time and the problem will be resolved overnight. Now that was easy wasn’t it?

5 In Build UK’s “Action Plan”, it states that: “quite simply, construction is what everything else relies on.” It’s very refreshing to hear this tone of voice but, quite frankly, they’re hollow words. UK construction is a huge, multi-billion pound industry employing millions of people which is why the Government, and the banks, can’t let it fail. The problem is, it is failing but it’s the subcontractors at the very bottom of the pile that are being failed by the existing system. Six construction firms are going bust every single day

but no one at the top cares*. Well they should. Why? Because if you take specialist contractors out of the equation, there would be no UK construction industry whatsoever.

I could go on and if anyone from Build UK, board directors, members or partners, would like to contact me, I would be happy to discuss it.

On a daily basis, at StreetwiseSubbie. com we help to pick up the pieces from the fall-out of skills shortages, HR problems, non- or late-payment and legal battles. We support specialist subcontractors to win more work and get paid (on time!) for it. We’re already doing what Build UK aims to achieve and we’re doing it very well.

Perhaps more ‘talking’ will somehow lead to solutions to the serious issues that Build UK says it is attempting to tackle, but somehow I doubt it After all, actions speak louder than words. And if the main contractor’s business model relies on paying its specialist contractors after 90 days, no amount of asking or talking will persuade them to pay in 30 days.

Or am I missing something?

Anyway, I know this is a hot topic so I would love to hear from you, Construction UK’s readers, about your views on Build UK and any experiences you may have had over the last couple of months, good or bad.

One last thought. This might all just be a cunning plan by Ms Nichols and co. to lull contractors into a false sense of security before turning on them, and selling them out completely!

Maybe Build UK does have a plan after all…

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BS COMMENT

Construction in the Education Sector Education has been a surprisingly strong sector of the construction industry over the last two years. Following the capital spending cuts in the early years of the Coalition Government, construction in the health and education sectors was forecast to fall by up to 40% over the subsequent years. Initially, these expectation were met, as education construction output fell by around 20% over the 2010-12 period.

However, 2013 saw some stabilisation of the sector and this was followed by exceptional growth of 19% in construction output in 2014. As a result, the sector recovered to a value of £10Bn - bringing it back to the same level as 2010, prior to the scrapping of the BSF (Building Schools for the Future) programme. Further growth of around 5% is expected in 2015, with forecasts for modest growth in 2016/17.

Increasing output levels are being driven by a combination of factors, including ongoing investment in key building programmes, such as the Priority Schools Building Programme (PSBP), and programmes to deliver new and refurbished facilities for the primary and secondary schools estate, such as the Academies Programme. In addition, further education has also benefited from improvements and new facilities for FE colleges whilst the University Technical Colleges programme is likely to boost output growth into the medium-term.

A key factor to note is the pupil population is expanding rapidly, with overall numbers expected to grow by seven per cent in 2016-20. As a result, the current landscape is changing, with a combination of rising demand for school places set against a backdrop of lower

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budgets and restricted designs – a stark contrast to the early days of the BSF programme. These issues will make for a very challenging environment for schools and contractors in the education sector going forward and the key to the future of education construction work volumes remains the rate of procurement and funding levels of key national building programmes. For example, in the new build sector, the Government’s Priority Schools Building Programme is expected to generate increased workloads in 2016 and, in addition, the Government has also announced a further £2Bn for a second capital funded phase between 2015 and 2021.

The Free School model, which the Conservative government is expanding, will now mean that state-funded academies can be set up without needing to consult the local authority and will remove further demand for places at authority controlled schools. So far, over 290 free schools have opened in England with another 100 or so approved and due to open in 2015-16 and beyond.

In Scotland, the Schools for the Future Programme, worth £1.8Bn, is expected to deliver 100 schools up to 2019, while in Wales around £1.4Bn is being spent through the 21st Century Schools Capital Funding Programme to 2018.

Higher Education University construction work remains a much smaller market than the schools & colleges sector and declined steadily between 2008-12. However, in 2014, the value of public sector university work to contractors reached £1.8Bn - the highest value recorded and a 45% increase on 2013. Despite the increase in tuition fees, student numbers continue to expand in the HE sector, which has placed great pressure on university infrastructure,

and there is a considerable need to address past under-investment and provide additional spaces for teaching, research and student accommodation.

Key long-term capital building projects in the higher education sector, which should underpin output growth into the medium-term, include spending plans for the Russell Group of universities, forecast to be in the region of around £9Bn between 2013-17.

In general, investment is increasing among UK universities as competition to attract overseas students intensifies, and there is a particularly buoyant pipeline of ongoing new work at a number of universities as part of major long-term development programmes to increase provision for additional students, upgrade residential, teaching and research accommodation and to build new campuses, at the moment.

Student Accommodation Going into 2016 and beyond the outlook for the student accommodation sector remains positive, with student numbers expected to increase with the removal of the cap on student numbers. The student accommodation sector will

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continue to be characterised by acute undersupply in many of the major university towns across the UK, ensuring that the pipeline of new developments will remain buoyant over the coming years.

Whilst universities still remain the largest provider in the purpose built student accommodation sector, there has been a dramatic change in the balance of supply between institutional and private providers, and the impact of private operators in the market has been significant. In 2014-15, private sector operators formed around 44% of supply and given current rates of development and investor activity, it is expected that private operators will overtake universities over the next decade.

higher quality accommodation with combined study and social space, with the latest technology and amenities.

In conclusion, while pressures on capital spending in the public sector will continue to be a feature of the next five years, the education sector currently offers good prospects for the

construction industry. The diversity of sectors and funding programmes, coupled with rising pupil/student numbers, should ensure a steady stream of attractive projects, which will help underpin work for the supply chain over the next few years.

This article was based on the ‘Education Construction Market Report – UK 2015-2019 Analysis’ report, which was recently published

by AMA Research. The report is available at www.amaresearch. co.uk or by calling 01242 235724.

Driven by structural changes affecting the HE sector and continued budget cuts, traditional halls of residence and privately developed city-centre apartment blocks are now being replaced by community-led ‘student villages’, designed to include retail, healthcare and entertainment facilities and enhance the overall student experience.

Students are increasingly demanding

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BS COMMENT

Skilled sharing How the logic of the sharing economy could drive apprenticeships Oliver Johnson, Policy Executive, Association for Consultancy & Engineering The so-called sharing economy was named by TIME magazine as one of ’Ten Ideas that will change the world’ in 2011. Four years later, the construction industry appears to have taken little heed of this assertion, though, the logic of the sharing economy may be breaking through.

The big question posed by the sharing economy is: why own a chainsaw when you only chop down trees two days a year, why not loan it out to others while you do not need it? Indeed, the sharing economy has, in its short history, mostly been orientated towards individual consumers making the most of shared resources. Incredibly successful businesses like Uber and Airbnb have emerged as sharing economy posterboys. For the purposes of the construction industry, rather than viewing the sharing economy as a necessarily consumption-angled concept, the sector needs to expand its thinking to understand how it can be deployed to solve construction problems.

One problem that the construction industry faces is a crippling skills shortage, which will likely worsen as demand for new housing, for example, increases. Despite the prospect of renewed demand for housing, the UK is victim to a grave skills gap. Half a million of the existing 2,124,000 strong construction workforce is due to retire in the next five years and needs to be replaced (and more) as the sector grows, which calls for more apprentices. And, by 2013, ‘the number of first year trainees undertaking apprenticeship training had fallen for the fifth consecutive year to

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an all-time low of 3,539’. In sum, the sector’s ability to replenish the shrinking construction workforce at a time of unprecedented demand is diminishing.

A significant barrier to increasing the stock of apprentices is, very simply, the lack of apprenticeships on offer in the construction sector. Indeed, just one in four construction firms reported having taken on an apprentice in 2014, despite 75% finding themselves either satisfied or very satisfied with the schemes.

A key question, then, is how to encourage employers to take on more apprentices. Perhaps the logic of the sharing economy that provides some of the answer; although the apprenticeship system can be traced back to the Middle Ages, there might be a way of reinvigorating the construction industry with a resolutely modern take on this most ancient method of training.

The CITB (Construction Industry Training Board) has stepped up. It launched a pilot programme called the ‘Shared Apprenticeship Scheme’ which allows young people to complete a full apprenticeship by working with a number of different employers. The scheme allows employers to take on an apprentice for a minimum of three months before allowing the apprentice to move on to another firm to learn more. It gives the apprentices a wealth of varied experience and a series of contacts to pursue for a full time job once they complete their training while also insulating the employer from higher costs associated with taking on an apprentice for a year, therefore

lowering risk. The real beauty of the scheme is that it does not rely on incentivising apprentices by paying them more, just sharing of excess capacity of apprentices’ services between companies – a key tenant of the sharing economy. The model works because it is sympathetic to both employers and young employees. Why have an apprentice for a full year when you only need him/her for 3 months, why not loan them out for another firm to train them when you do not need them?

The CITB pilots have proved successful, reinforcing the construction industry with an extra 500 apprentices per annum.

A real effort, however, must be made to roll out the programme on a wider scale. The industry has to work hard to find ways to make apprenticeships more flexible and engaging for the apprentices involved. The sector should consider administering this kind of scheme among themselves rather than relying on Non-Departmental Public Bodies (NDPBs) such as CITB to do the work for them, which would enable them to more specifically tailor the apprentice’s training to their needs.

Although the sharing economy is often perceived as unrealistic or cerebral, its rationale can be applied to the resolutely tangible world of the construction industry and if it means a higher capacity for infrastructure, society as a whole will surely be sharing in the benefits.

Whether it’s swapping apprentices or chainsaws, a sharing economy inspired approach might well be the future of training in the construction industry… and chopping down trees.

COMMENT BS

New EIA Guidance will speed up planning and bring down costs New industry guidance launched today seeks to support EIA professionals to achieve better, faster outcomes to their assessments at reduced cost. The two guides aim to ensure that environmental thinking is firmly embedded into any design processes and project resilience measures.

The guidance documents have been created by the Institute of Environmental Management & Assessment (IEMA), the professional association representing over 15,000 professionals worldwide. By working with two leading EIA specialist organisations – LDA Design and Mott MacDonald – IEMA has filled critical guidance gaps on two key EIA issues.

Josh Fothergill, IEMA’s Policy & Engagement Lead on EIA, said today: “Speeding up the process and progress of developments is crucial to the economic recovery, yet without current guidance there is a very real risk of unintended consequences for communities and the environment, resulting in unnecessary delays. It is IEMA’s role to ensure that EIA professionals can produce the best work possible and these guides will support them to create better quality EIAs that enable a smoother consenting process.”

The IEMA Environmental Impact Assessment Guide to: Climate Change Resilience and Adaptation provides a framework for the effective consideration of climate change resilience and adaptation in the Environmental Impact

Assessment process, in line with the 2014 European Union Directive. It addresses proportionate assessment, the legislative and policy landscape and looks to the National Adaptation Plan as a crucial anchor point.

Succinctly, an environmental statement produced in line with the guidance will: • Always make reference to climate change; • Provide a concise explanation of how the project’s resilience to climate change was considered; • Set out clearly how effects related to climate change have been assessed; and • Define the significance of effects by pragmatically taking account of the knowledge base used in the impact assessment.

James Montgomery, Divisional Manager (Environment) at Mott MacDonald (a registered EIA Quality Mark company), led the guide’s development, and said: “Taking into account how proposed development will impact on an environment that is itself adapting to climate change is a challenging task that EIA practitioners are going to have to cope with in the future. This guidance will help practitioners by giving prompts on what issues to consider and when in the EIA process. The guidance is the first step to improve our EIA process, and I hope that future versions will be able to build on lessons learned from EIAs conducted taking on board this guidance”.

The IEMA Environmental Impact Assessment Guide to: Shaping Quality Development – establishes the principles and framework for maximising synergy between environmental thinking and project design within the decisionmaking process. It aims to contribute to the delivery of proportionate EIA by shaping decision-making which leads to higher-quality development proposals.

Adhering to the guidance document’s recommendations will result in: • Improved outcomes for the developer, communities and the environment • Better informed decision-making • Better solutions • Reduced consenting risk, consenting delay and associated costs.

Mary Fisher, Board Director responsible for EIA at EIA Quality Mark registrant LDA Design, who co-authored the guide said: “Today’s launch will ensure that EIA professionals are supported to encourage greater collaboration between design and assessment teams leading to development proposals which are better integrated with their environment and thus more likely to be consented. It will also assist the delivery of more-focused, proportionate Environmental Statements.”

The guidance documents are available from www.iema.net/policyimpact-assessment-resources.

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BS COMMENT

Cities must innovate to make them fit for the future

By Sara Smith at BROXAP By 2050 nearly 90% of the UK population will live in urban areas – a staggering 64 million people. Currently around 49 million people live in towns and cities meaning that over the next forty years there will be a serious influx of people.

At the same time they must also contend with a changing energy model that will re-focus how towns and cities move their citizens around. Each area will be different, meaning that the challenges each faces may be very different. However, I believe there are commonalities across the country.

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How, for instance, do you move refuse and what do you do with it once you have it?

At the moment we have smart bins that monitor when they need to be emptied allowing councils to spend less cash and emit lower amounts of CO2 by optimising routes for dustbin lorries. In South Korea they have gone one better and have the rubbish “sucked” out into a central system that then creates compost.

Changes in how citizens move around towns and cities will also change what people need in our urban areas. If you have more cyclists going to work, they need safe, secure and dry places to keep their bikes. If pedestrians are brought back into the city centres en masse, they must have places to shelter from the sun and rain that are both practical and aesthetically pleasing.

That idea of beauty is one that should

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rank highly alongside a number of others to create a street space that will be usable and liked by those who interact with it. Citizens will want to live in and take care of areas that look nice. We are visual creatures after all, so making sure that new buildings are created with care is of utmost importance.

I believe there are also two other key elements to making the future urban environment a success.

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Technology

The pavements that will be pounded in the next century will be made up of far more than just concrete and asphalt.

Sensors embedded in street furniture can map movements of pedestrians and allow the city to adapt as people flow in and out of areas. Think of football crowds heading home from a game in the depths of winter. Networked LED street lamps could be increased in brightness to help guide them to their destinations.

Or at the approach of an emergency vehicle they could blink, alerting drivers to make way for the ambulance that is rushing to the hospital. Data, however, is only one part of the process that will decide how urban areas move forward.

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People

Arguably the most important component are those who are going to use the spaces that are being designed.

Governments – at both a local and national level – designers and companies must speak to citizens and make them part of the process. An engaged populace will feel like they own the city and in turn they will come to the decision makers with ideas. It is they who will, in many cases, pay for these infrastructure projects out of their taxes and also have to use them on a daily basis.

Back in 1989 the makers of ‘Back to the Future 2’ had a go at imagining what the world would look like on October 21, 2015.

Some things they got spectacularly wrong (dust proof paper anyone?) but others proved eerily prescient. Take for instance the neon pavements that Marty flew over in his hovering Delorian.

They seemed like fantasy at the time but in Cambridge a street is paved with a coating that, as the sun sets, begins to glow in a beautiful blue hue.

The product absorbs light during the day and emits it at night to give a carbon neutral way of lighting paths. That’s tech that even Doc Brown could get behind.

While the future of urban areas may not be crystal clear at this moment, businesses have a huge opportunity to take advantage of when they look to revenue streams in the future. Not only will it help them grow and thrive; it will also benefit our whole country.

COMMENT BS

International arbitration in the construction industry: why is it important now?

Legal issues are commonplace in this industry: construction does not always go to plan and costs can quickly escalate. Reflecting this, the global consulting engineer Arcadis recently published research to show that the value of the average construction dispute rose by almost 60% last year, with failure to properly administer the contract and misunderstandings over contractual obligations amongst the top five causes cited.

When it becomes apparent that such issues cannot be resolved between the parties involved, formal dispute resolution proceedings often beckon.

Recent years have seen a huge increase in the use of international arbitration instead. Why is this the case?

Construction disputes sit at the apex of complex, highly technical and constantly evolving disciplines; construction and engineering and the law. Only a few jurisdictions have specialised construction courts (the Technology and Construction Court in England is a notable exception). Consequently, parties that choose to resolve their disputes through the courts risk having their case being heard by a judge who may have limited experience in dealing with construction contracts, construction industry terms and the technical aspects of a construction project. In international arbitration, where parties have the option of selecting arbitrators with specialist technical knowledge and industry expertise, selecting an arbitrator that has significant experience with

construction disputes gives rise to a greater likelihood of achieving a decision that takes account of all relevant issues.

A sea change is evident from primarily court-based litigation to utilising arbitration as the preferred method of dispute resolution. The 2015 International Arbitration Survey, conducted by Queen Mary University of London (QMUL) in partnership with White & Case, illustrates that international arbitration is, conclusively, the preferred form of dispute resolution for cross-border disputes. In particular, the research found that 90% of the respondents favoured international arbitration over other forms of dispute resolution, a 17% increase from QMUL’s first international arbitration survey in 2006.

Factors behind this shift include the greater enforceability of arbitral awards, the flexibility of the arbitral process and the ability to avoid specific legal systems.

As the research shows, however, the most attractive feature for parties in the construction industry is the ability to have disputes resolved by individuals with construction industry expertise.

International arbitration also provides parties with the option of choosing the jurisdiction in which disputes will be resolved. The location of an arbitration can be anywhere in the world, irrespective of whether it has any connection to the parties or the project. A neutral venue can be chosen, thereby avoiding any perceived ‘home advantage’.

London and Paris have long been the most traditionally preferred venues.

However, the study showed that Hong Kong and Singapore have gained significant momentum, arguably reflecting the growing importance of Asia for inbound and outbound investment in large infrastructure and construction projects. Such projects, being sizeable, expensive and complicated, invariably result in disputes. As such, more Asian parties are becoming involved in large construction disputes and arbitral forums in the region have invested considerable effort to attract these sorts of disputes.

The 2015 International Arbitration Survey demonstrates that although London and Paris continue to be the two most used locations and preferred seats, Singapore is now considered the most improved seat over the past five years followed closely by Hong Kong.

The cost of large scale construction projects is now rising into the billions and at the same time so does the value of the disputes that arise out of them.

The decision as to how to resolve them is therefore of critical importance. The latest International Arbitration Survey shows that international arbitration has now become the norm.

Michael Turrini, Partner (Construction) at White & Case

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BS COMMENT

Neighbourhood planning powers boost plans for housebuilding by 10% Neighbourhood plans allow people to decide the future development of their area, including where new homes and businesses should be built, what they should look like and what local infrastructure is needed.

Putting planning power in the hands of local people involves the whole community, from plan drafting to referendum stages.

So far more than 100 areas have voted ‘yes’ in neighbourhood planning referendums, with more than eight million people living in areas involved in neighbourhood planning.

The latest figures show that plans for housebuilding are more than ten per cent higher in the first areas with a neighbourhood plan as opposed to only the council’s local plan.

Nationally planning permissions were granted on almost 250,000 new homes in the last year, with more than one million permissions granted for new homes since 2010 and the National House Building Council saying the number of new homes being registered with it so far this year is nine per cent higher than a year ago.

Speaking about the second reading of the Housing and Planning Bill, Housing and Planning Minister Brandon Lewis said: “This government is continuing the huge shift of power from Whitehall to the town hall and to local people. More than eight million people now live in areas that have had or will have their say on planning in their neighbourhood, and more areas are coming forward every day.

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“We are scrapping the broken old planning system that pitted neighbours and developers against each other, and cornered people into opposing any development in their back yard.

The 100 neighbourhood planning referendums show how our approach of getting the whole community working together is paying off, and breaking through local opposition.”

Earlier this year the government opened a neighbourhood planning support programme, including a fund allowing groups to apply for grants of up to £8,000 to help write their plans, pay for events to engage the local community, develop websites and pay for specialist planning expertise.

Areas facing more complex issues may be eligible for up to £14,000.

Local people can draw up neighbourhood plans which, once approved, councils are bound to consider as part of the planning process alongside the council’s own local plan for the area.

Separately, neighbourhood development orders can grant planning permission for specific types of development in a particular neighbourhood.

Both require support of 50% of voters in a local referendum.

Every one of the more than 100 neighbourhood plans submitted to a local referendum has been approved by local people.

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Housing and Planning Bill

Central government has also outlined its ambition to ensure that an extra million families will be able to become

homeowners by the end of this Parliament. This includes delivering 200,000 affordable starter homes that will be available to first time buyers at a 20% discount below market rates.

The Housing Minister has reaffirmed the government’s ambition to transform generation rent into generation buy.

Brandon Lewis said: “The 2008 crash devastated the housebuilding industry, leading to the lowest levels of ‘starts’ for any peacetime year since the 1920s and the loss of a quarter of a million construction jobs. We have got Britain building again, with housing completions at their highest annual level since 2009.

“We know that around 86% of people aspire to own their own home and we want to help turn their dream into a reality. That is why we are supporting the building of all types of homes from starter homes for first time buyers to opening up planning reforms to make more custom builds a reality.”

The government is now extending the Right to Buy to give housing association tenants the same home ownership opportunities as council tenants, with every property sold replaced with an additional affordable home. The reinvigorated Right to Buy for council tenants has already helped nearly 40,000 into homeownership since 2012.

Every home sold under the scheme will be replaced by an additional property on a one-for-one basis and, since 2012, councils have already delivered more than 3,000 homes through the refreshed Right to Buy. More council housing has been delivered since 2010 than in the previous 13 years.

COMMENT BS

Case Study: Grange Wind Farm Anticipation builds in Burton-uponStather as Blue Energy, one of the UK’s leading investors in and developers of renewable energy infrastructure, puts the finishing touches to a new £19.5M sustainable development – Grange Wind Farm.

Blue Energy acquired the site from the developer Ridgewind following approval of the proposed development, at appeal, in 2012. It is indicative of the Company’s core aspirations – to make a valuable contribution towards future carbon reduction targets in the UK. Once operational, Grange Wind Farm’s six 2.05MW Senvion MM92 turbines will generate an approximate 32.3GWh of electricity each year – enough energy to power approximately 7,705 homes or more than half the households in the Burton-upon-Stather ward.

The development is sited on a parcel of land situated between the River Trent to the west and the Burton-upon-Stather woodland to the east. With consistently high wind speeds and a low potential impact on local ecology, the site makes for an ideal location. Arable farming will continue once the development is complete, thanks in part to Grange Wind Farm’s modest 4.6 hectare footprint.

A nearby farmhouse (used presently as a private residence) sits within the site boundary. Blue Energy has upgraded road access to the property, which had fallen into serious disrepair, in recognition of the occupant’s continued support and understanding whilst construction works were taking place.

Blue Energy has also dedicated funds to increasing ecological diversity in the area. New hedgerows will be

introduced to link the ancient Burtonupon-Stather woodland to habitat features to the north and south of the site, while grassland field margins will encourage new wildlife into the area.

Additionally, the Company is working with the public to establish a Local Community Benefit Fund which will contribute £24,000 to local projects each year for the duration of the wind farm’s lifespan.

Given the development’s location on what has been the flood plain of the River Trent, the main archaeological interest in the site was in what the underlying sedimentology could reveal about previous migrations of the river.

With this in mind, sedimentary cores of underlying soils have been taken as part of an archaeological watching brief to determine historical flood patterns.

Delivery of the turbine’s many components, including the 46m long turbine blades, was also challenging, with a number of restrictions preventing access via traditional highway routes.

Blue Energy worked with neighbouring landowners and Flixborough Wharf to construct a new access road which provided direct access to the site from the River Trent and bypassed a significant portion of the existing road network. This not only reduced the transport route to site but also the impact on the local community, mitigating delays on popular commuter routes whilst large components were transported to site.

Construction began in February of this year with renowned civil engineer Jones Bros at the helm. Contracted to carry out key enabling and infrastructure works, Jones Bros ensured minimal disruption to nearby residents and the

local ecology throughout construction.

The construction phase was not without its challenges however, as Patrick Bailey, Jones Bros’ Regional Manager for the east of England explains: “Usually we would excavate to the base of the foundation before piling, but on this job we installed them from the existing ground level as we had concerns about how well the ground would support the weight of the piling plant.

“Once the piles were installed we excavated to approximately 1.5m below ground level and poured a concrete blinding layer, which provided a firm level surface to fix the foundation steel reinforcement.

“The 21m diameter bases each required 74 tonnes of steel reinforcement and 500cu m of concrete, while the 16.5m diameter bases had 50 tonnes of steel reinforcement and 340cu m of concrete.

“Each concrete pour took approximately 12 hours to complete, which provided its own logistical challenges such as ensuring the supply of concrete was consistent throughout the pour.”

Jones Bros, together with Powersystems UK Ltd, also acted as the Independent Connections Provider (ICP) for the project and undertook all contestable electrical works including wind farm grid connection, cabling and the undergrounding of an existing overhead 11kv cable which ran through the wind farm site.

Following Grange Wind Farm’s completion this month, a period of testing works will take place before the wind farm becomes fully operational in February 2016.

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Exclusive interview: David Philp, BIM Task Group David Philp,, MSC, BSC, FCIOB, FRICS, FICES, FGBC, is Head of BIM at the BIM Task Group and has spent time as Head of BIM Implementation at the Cabinet Office.

The Cabinet Offices BIM requirements are delivered through the Task Group and David is responsible for this.

This Group is the driving force in supporting and delivering the objectives of the Government Construction Strategy and the requirements to strengthen the public sector’s capability in BIM implementation.

In this exclusive interview, David Philp talks to UK Construction Media about his own journey and how BIM’s importance is continuing to grow.

Please could you give us some background as to your own career and what attracted you towards BIM? I graduated in the early 90s (engineering and project management) and then joined a leading infrastructure organisation (Balfour Beatty) as a graduate engineer.

I advanced through the Company, becoming Director of Technical Services and BIM Programme Director before leaving to join Mace as Head of BIM. I am also a Professor at Glasgow Caledonian University and visiting Professor at Middlesex University.

In 2011, I was seconded into the Cabinet Office’s construction team as Head of BIM Implementation for the Government’s Construction Strategy. I have continued this secondment with the BIM Task Group core BIM team (Head of BIM).

I have always enjoyed highlighting the potential of new technologies and how we interact with them to bring added value to the client and unlock new ways of working throughout the entire life-cycle. I am passionate about our industry and perceived BIM as being a catalyst for reform and rebranding as a technologically advanced sector.

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I was however initially attracted to BIM as an enabler of more integrated and concurrent working practices.

At what point in your career did you see BIM becoming as influential in the industry as it is and what steps did you take to make sure the companies you worked for got involved within this?

It was in the noughties that BIM caught my interest though perhaps in a different guise than we recognise it today. I was lucky to be steered by some great folks such as Andrew Wolstenholme (CEO, Crossrail) and John Tocci (Tocci CEO) who showed me a vision of a more integrated industry powered by digital data.

Whilst BIM has been about for many years it was 2011 and the publication of the Government Construction Strategy that we really saw a tipping point in motion with clients looking to leverage the benefits of computer readable data. I think at this point we started to herald the beginnings of digitised construction sector.

Tell us a little bit more about BIM and how it would typically be better for projects than more traditional methods?

BIM has many definitions but essentially it is about the creation and management of digital data in our built environment, it allows the virtual production, analysis, evaluation and optimal development of an asset in a digital environment that mimics the understanding and behaviour of the solution to the realisation of that solution in reality.

Level 2 BIM maturity in the Government pilot projects has in addition to a more for less agenda is achieving a whole range of additional benefits: • Improved stakeholder engagement and better decision making • Encourage collaborative working

including early engagement of FM and Operation

• Visualisation, prototyping & lifecycle solution testing • Accurate and complete data improving quality of bids, reducing risk allowances in target prices and lump sum bids • 3D model input into the assessment of the impact changes at all stages in a project lifecycle • Input of a populated asset data set into CAFM systems – saving time and avoid duplication • Better outcomes for the end user How were projects undertaken before BIM became so prominent and what changes have been made?

Firstly we must recognise that the UK has a built environment sector to be proud of, one that is rich in heritage and has delivered many world class projects.

As our sector becomes more globalised we are having to compete on a new basis and need to ensure that we stay at the vanguard of efficiency and digitisation of our sector is a key enabler.

Smarter BIM-enabled procurement and operation is fundamental to this process ensuring clients are buying their information only once in a validated and co-ordinated form which they can reuse for many purposes.

How are current BIM targets are being met, and how its influence on the industry is growing, along with that of new technologies....

You were Head of BIM Implementation at the Cabinet Office and now Head of BIM at the BIM Task Group. How did this come about and how do you drive projects within the industry?

I was interviewed for the position which was identified in the

REPORT UKC

Government Construction Strategy.

I am proud to be part of a team working with industry and Government to leave a strong digital legacy. We help clients understand the purpose of the data (use) and how they best define this in a computational form, procure it and use it.

The Government has previously said that it wants BIM in public sector contracts by 2015/16. Are you still on target for this?

As set out in the Government Construction Strategy launched in 2011 the UK Government is aiming to achieve Level 2 BIM maturity on all centrally procured projects by 2016. Significant progress has been made with this and there are already just around £9.5Bn of public sector Level 2 BIM projects in the pipeline.

With the heavy lifting on the enabling processes and tools being almost complete I would say that Government is exactly where it should be at this stage of the programme.

How has the industry’s involvement of BIM increased over time? What are the numbers now to say, five years ago?

The UK’s ambitious BIM objectives and their centralised approach has been envied by many other nations – a client offering clear leadership in a switch to digital.

The Task Group programme has always been about working with industry and we are seeing significant increase in adoption; indeed a recent survey

by High Speed 2 noted that 56% of organisations that responded now had leading projects that could be considered as Level 2 maturity.

Furthermore a 2014 Hill McGraw report said that the mandate had inspired 76% of organisations to initiate a specific BIM project with 66% encouraged to add BIM resources to their organisation.

What steps are being taken to ensure this target is met?

The departmental adoption pipeline is reviewed regularly along with a maturity index to ensure the Level 2 BIM is truly imbued within the Government organisation.

It is essential that the adoption is tested against the objectives set out in the original strategy such as: Valuable, Understandable, Nonproprietary, Competitive, Open and Verifiable. There is also a BIM Stewardship group with Departmental BIM Champions that are helping drive adoption within their portfolios.

We also have our website www. bimtaskgroup.org and we like to tweet @BIMgcs. We also have a regular online newsletter to ensure we share latest developments in the programme and highlights what going on around the various BIM4 parishes.

Beyond the 2016 targets, how do you see BIM’s involvement in the industry?

Are there further targets set out?

The Industrial Strategy 2025 sets out a vision of an industry that is innovative and technologically advanced including the concept of a Digital Built Britain (essentially the shift to Level 3 BIM).

Is it just public sector contracts or are there targets for other sectors?

What does the future hold for BIM? Where do you see it going in terms of different sectors and companies?

The Government Construction Strategy and its associated mandates are limited to the central government departments.

However we are seeing a great uptake from local authority and private sector clients such as Great Portland Estates who are equally reporting a positive return in investment from BIM.

As we move upwards from the solid foundation set by Level 2 we will start to address the functionality for delivery of operational data sets and integration of telemetry. Level 3 will address these in sector delivery and operational stages, with a focus on enabling total cost and carbon outputs.

How is the reputation of BIM spreading and what do you do to make this happen? What are the best methods to spread the message within the industry?

This move towards real time and often open data, senor rich assets will see us partnering and learning more from other sectors out with construction, especially those that employ data science skills. I also see there being much more concurrent cycles in the design and construct process.

Good communication and knowledge share is really important to us.

We have established with industry a series of BIM4 groups with CIOB acting as secretariat. These are communities of practice such as BIM4SME, BIM Regional Hubs that allow us a two-way communication conduit to and from the Task Group.

We have also recently formed a BIM4 Clients group that is growing rapidly, allowing us the chance to share knowledge around consistently procuring Level 2 BIM services and data.

Are any new technologies being developed that can improve the process further?

We are already starting to see a convergence with lots of other technologies such as laser scanning and augmented reality. As we shift towards Level 3 maturity we will see more consideration of telemetry and other senor technologies to provide real time feedback from our assets.

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BS COMMENT

Construction industry remains optimistic despite Q3 slowdown Ms. Amandeep Bahra, Economist, Construction Products Association Growth in the construction industry accelerated to its fastest rate in 2014.

While we are unlikely to see growth rates near such levels in the coming years, prospects for the industry still appear bright. Construction output is forecast to grow 3.6% in 2015 and 3.8% in 2016 – and overall 19.7% by 2019, according to our latest Autumn Forecast.

This latest forecast has been revised down from our Summer edition, which estimated growth of 4.9% in 2015 and 4.2% in 2016, primarily reflecting widespread weakness across the industry during the third quarter of 2015. Output in the construction industry fell 0.1% on a yearly basis in Q3, which is the first annual decline since 2013 Q1. So, what has triggered this slowdown in the short-term?

This can largely be explained by the massive skills gap left in the construction industry following the onset of the financial crisis. With the development pipeline strong across the industry, a rising demand for skilled workers continues to outpace supply, which, in turn, has increased competition for existing capacity. Inevitably, the consequence of such market dynamics will push salaries up; according to the ONS, average weekly earnings in construction, overall, grew 6.8% year-onyear in July to reach £605, the highest on record. And within occupations used

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in house building, where there has been rapid growth in the last couple of years, earnings are likely to have risen even more. Thus, with increasing labour costs adding to overall construction costs, there is no doubt that developers are feeling the pressure – particularly within private housing and commercial.

In Q3, major house builders continued to report difficulties in recruiting on-site trades, especially bricklayers, carpenters and plasterers. Alongside this, threequarters of large contractors reported higher labour costs over the quarter, according to the CPA’s Construction Trade Survey. In the commercial sector, projects are reported to have been delayed as contractors return to clients and renegotiate prices, because costs have risen considerably since contracts were won 12-18 months ago.

Despite the challenging environment, the construction industry is expected to remain strong over the next five years. Here is what we expect to see across key sectors:

• Private housing – growth of 10.0% forecast in 2015, followed by 5.0% in 2016 and 22.6% between 2015 and 2019. Starts are forecast to rise 7.0% in 2015 and 5.0% in 2016.

Major housebuilders continue to signal their intention to increase units built over the next 12-18 months.

Help to Buy accounts for one quarter of new build purchases and will help sustain demand. Plus, house prices continue to increase in most regions, especially in London and the South East, illustrating the strong underlying demand.

• Commercial – expected to fall 0.1% in 2015 as positive output growth in offices, education and health is weighed down by the weakness in retail and entertainment. A return to growth is anticipated from 2016, rising 16.3% by 2019, mainly driven by new offices construction in cities such as Birmingham and Manchester as well as the capital. Retail construction is expected to grow but only 2.0% in 2016 and 3.0% per year between 2017 and 2019 as both increasing online retailing and a consolidation of expansion plans by major supermarket chains constrains activity.

• Infrastructure – activity continues to thrive, with output forecast to grow 11.2% on average per year between 2015 and 2019. By 2019 infrastructure output is expected to be 50.0% higher than in 2015. Activity will be primarily driven by the roads and energy sub-sectors but also in rail, water and sewerage. In addition, work continues on major projects in the £411 billion National Infrastructure Plan.

COMMENT BS

New EIA Guidance will speed up planning and bring down costs New industry guidance launched today seeks to support EIA professionals to achieve better, faster outcomes to their assessments at reduced cost. The two guides aim to ensure that environmental thinking is firmly embedded into any design processes and project resilience measures.

The guidance documents have been created by the Institute of Environmental Management & Assessment (IEMA), the professional association representing over 15,000 professionals worldwide. By working with two leading EIA specialist organisations – LDA Design and Mott MacDonald – IEMA has filled critical guidance gaps on two key EIA issues.

Josh Fothergill, IEMA’s Policy & Engagement Lead on EIA, said today: “Speeding up the process and progress of developments is crucial to the economic recovery, yet without current guidance there is a very real risk of unintended consequences for communities and the environment, resulting in unnecessary delays. It is IEMA’s role to ensure that EIA professionals can produce the best work possible and these guides will support them to create better quality EIAs that enable a smoother consenting process.”

The IEMA Environmental Impact Assessment Guide to: Climate Change Resilience and Adaptation provides a framework for the effective consideration of climate change resilience and adaptation in the Environmental Impact

Assessment process, in line with the 2014 European Union Directive. It addresses proportionate assessment, the legislative and policy landscape and looks to the National Adaptation Plan as a crucial anchor point.

Succinctly, an environmental statement produced in line with the guidance will: • Always make reference to climate change; • Provide a concise explanation of how the project’s resilience to climate change was considered; • Set out clearly how effects related to climate change have been assessed; and • Define the significance of effects by pragmatically taking account of the knowledge base used in the impact assessment.

James Montgomery, Divisional Manager (Environment) at Mott MacDonald (a registered EIA Quality Mark company), led the guide’s development, and said: “Taking into account how proposed development will impact on an environment that is itself adapting to climate change is a challenging task that EIA practitioners are going to have to cope with in the future. This guidance will help practitioners by giving prompts on what issues to consider and when in the EIA process. The guidance is the first step to improve our EIA process, and I hope that future versions will be able to build on lessons learned from EIAs conducted taking on board this guidance”.

The IEMA Environmental Impact Assessment Guide to: Shaping Quality Development – establishes the principles and framework for maximising synergy between environmental thinking and project design within the decisionmaking process. It aims to contribute to the delivery of proportionate EIA by shaping decision-making which leads to higher-quality development proposals.

Adhering to the guidance document’s recommendations will result in: • Improved outcomes for the developer, communities and the environment • Better informed decision-making • Better solutions • Reduced consenting risk, consenting delay and associated costs.

Mary Fisher, Board Director responsible for EIA at EIA Quality Mark registrant LDA Design, who co-authored the guide said: “Today’s launch will ensure that EIA professionals are supported to encourage greater collaboration between design and assessment teams leading to development proposals which are better integrated with their environment and thus more likely to be consented. It will also assist the delivery of more-focused, proportionate Environmental Statements.”

The guidance documents are available from www.iema.net/policyimpact-assessment-resources.

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