Biyernes, Abril 29, 2016

Flood defences underway in Cumbria

Construction and improvements are underway, strengthening flood defences in Glenridding and Appleby, Cumbria.

The Environment agency are making improvements to Glenridding flood defences, and the first phase of construction work is complete in Appleby, after storms brought severe flooding and damage to Cumbria and other parts of the UK.

Work has started on a new wall to protect residents from flooding in the village of Glenridding in Cumbria. The flood defence wall is 140 metres in length and a metre above ground, designed to protect residents and properties along the bank of the river.

A foundation for the wall, which is made of concrete and faced with local stone, has already been formed and excavated for the first 20 metre section of the wall, which will start 10 metres upstream of the A592 Road Bridge.

It is due to be completed by Autumn 2016.

In the town of Appleby, the Environment Agency has completed the first phase of construction work to improve flood defences near the swimming pool, by replacing the 20 year old, 23 demountable steel gates which ran across the swimming pool car park with a permanent flood defence wall that will improve defences for the town.

Work will begin at Holme Farm Bridge in mid-June, to repair the damaged river retaining wall at the end of Holme Street.

Adam Stephenson from the Environment Agency said: “This winter’s flooding has had a devastating effect on people in Cumbria and the Environment Agency is doing everything possible to reinstate protection to communities with a programme of repairs and structural inspections underway. The events highlighted the need for our communities to be more resilient and less reliant on non-localised resources.”

As well as carrying out emergency repairs, inspecting defences and starting the process of planning for improvements, the Environment Agency have been visiting communities, talking to those affected by the floods, and giving them the opportunity to have a say in the future of their community.

The Environment Agency and Cumbria County Council continue to investigate the flooding in Glenridding and Appleby, so they can establish how and why properties flooded, with the findings to be published by the County Council in a Section 19 Flood Investigation Report. The reports, once agreed, can be used by communities and agencies for applications for funding to allow schemes to be implemented.

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NHBC reports 36,566 new homes registered in Q1

A total of 36,566 new homes were registered by NHBC in the first three months of the year in the UK.

According to National House-Building Council’s latest new home registration statistics, a total of 36,566 new homes were registered by NHBC in the first three months of the year, with 28,398 homes registered in the private sector, a 7% decrease on the previous year.

The public and affordable sector were down 15%, with 8,168 new homes registered compared to 9,584 in Q1 2015.

These figures show a significant decline, however for the financial year (2015/16), registrations remain in line with the previous year with 152,329 new home registrations, marginally ahead of the amount of registrations in 2014/15.

In the financial year up to the end of March, there was a 10% increase in the number of new home completions, which mirrors the strong growth seen in registrations in recent years, resulting in these new homes being completed over the first few months of 2016.

NHBC Chief Executive Mike Quinton said: “Our latest statistics show that the industry is consolidating on the strong growth in registrations seen in recent years. Registrations are now around 80% higher than the depths of the financial crisis in 2008/09, driven by increased activity from private sector housebuilders.

“Because of the increase in registrations we are now also seeing the resulting completions come through, as reflected in the 10% rise in the number of new homes completed in the financial year.

“As ever, NHBC’s mission is to ensure construction quality of the very highest standard in new homes across the UK and that this emphasis on quality remains unwavering – particularly during periods of increased activity and production that we have recently seen.”

NHBC is the UK’s leading warranty and insurance provider for new homes in the UK, and have 80 years of experience in driving up quality and raising standards in housebuilding.

NHBC have approximately 80% market share.

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New Balfour Beatty residential development edges closer

A planning application for a residential-led mixed use development within New Cross, Manchester has been submitted by Balfour Beatty Investments.

The development was designed by Hodder and Partners and will feature two buildings located around a landscaped courtyard containing 274 one, two and three bedroom apartments. Residents will be able to take advantage of concierge facilities, residents’ lounges, a gym, and two roof top terraces incorporating private dining pavilions.

The project is situated within a short walk of Manchester’s Northern Quarter district known for its of independent designers, bars and restaurants. Also close by are Piccadilly Gardens, Market Street and Shudehill interchange for connections to the bus and metrolink service in addition Victoria Train Station.

The site was acquired in January this year by Balfour Beatty Investments and following the successful planning application it is envisaged that work on the development will begin later this year, with the first residents being able to move in by late 2018.

The development follows the principles laid out by Manchester City Council within the New Cross Neighbourhood Development Framework to help bring forward the regeneration of the area.

Balfour Beatty has also announced that they have achieved financial close of the Kennedy Street, Glasgow Student Accommodation Project. The deal with Investec Bank will provide funds for the Company’s first project for the direct let market as a developer of student accommodation.

Balfour Beatty’s developer role in the project will see them take on site purchase, planning, design, construction and operation of the scheme in addition to the direct letting of the rooms and student management elements.

The development will include 536 bedrooms spread over two blocks that will contain 149 self-contained studios and 387 bedrooms in cluster flats.

Construction on the project began in November last year and is scheduled to complete in July 2017.

Balfour Beatty

 Illustration of Kennedy Street, Glasgow Student Accommodation 

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Right to Buy policy may make housing crisis worse, MPs claim

Government plans to extend Right to Buy to Housing Association tenants heavily criticised by group of MPs.

A report from the Public Accounts Committee (PAC) has questioned how the Right to Buy will be funded, and whether proper replacement homes will be built.

The government’s controversial plan to extend the policy to Housing Association tenants has been criticised by an influential committee of MPs, who say the pledge has not been costed accurately, is open to abuse and may worsen the UK housing crisis.

The idea of the scheme is to allow Housing Association tenants to buy their own homes, with discounts similar to those enjoyed by council.

The MPs said there was evidence that Right to Buy could increase overcrowding for those in housing need, and that increased discounts for Housing Association tenants could lead to greater fraud. They also reported that ministers have failed to provide basic information on how the scheme would work.

The committee, which is made up of both Conservative and opposition MPs, said the Government should provide “a full analysis showing how this policy is to be funded, provide a clear statement of where financial and other risks lie, and spell out its contingency plan if its policies prove not to be fiscally neutral”.

The policy has previously been rejected by the government of Wales and Scotland, and criticised by Local Government Association, and the Institute for Fiscal Studies (IFS).

The extension of Right to Buy, which is currently being piloted in five areas of England, will be funded by the councils selling off their most valuable council houses according to the government, which promise that all the homes would be replaced.

But the MPs concluded that the government’s commitment “will not ensure that these will be like-for-like replacements”.

Potential buyers will see discounts of up to £103,900 in London, and £77,900 elsewhere, with half a million Housing Association tenants already eligible, and a further 800,000 will become eligible later this year.

The scheme is due to be rolled out across England later this year.

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More big names announced for UK Construction Week

This year’s UK Construction Week will take place at the Birmingham NEC on 18 -20 October and more leading industry names have been confirmed to appear at the event.

Consisting of Timber Expo, Build Show, Civils Expo, Plant & Machinery Live, Energy 2016, Smart Buildings 2016, Surface & Materials Show, HVAC 2016 and Grand Designs Live, UK Construction Week covers five halls of the NEC catering for the entire spectrum of the industry from architect to installer.

JCB, one of the world’s top three manufacturers of construction equipment, will be on hand at the Build Show and showcasing some of the 300 different machines that the Company has to offer.

Nicola Bagworth, General Manager at JCB Industry said: “We are looking forward to exhibiting at the Build Show and highlighting the unique benefits of JCB’s telescopic forklift, the JCB Teletruk. It’s a platform to show the time and space saving benefits this innovative product offers the industry.”

Screwfix, the UK’s largest multi-channel supplier of trade tools, will be joining JCB at UK Construction Week.

Cemex, one of the world’s top civil engineering companies employing over 40,000 people across the world, will exhibit at the Civils Expo.

UK Construction Week’s Civil Expo is the only event in the UK dedicated to civil engineering and construction and will see the leading suppliers of technologies, systems and products in attendance.

Exhibiting at this year’s Surface & Materials Show will be leading ceramic tile manufacturer, Johnson Tiles and will have its team of technical experts available demonstrate solutions to attendees over the course of the show.

The Timber Expo will top European timber provider Vandecasteele exhibiting.

Global leader in high performance insulation, building fabric, and solar integrated building envelopes, Kingpsan Insulation can be seen at HVAC 2016.

Claire Rigg, Marketing Manager at Kingspan Insulation said: “UK Construction Week is an important date in our diary as it gives us a chance to meet people who use our products and is an opportunity to forge new business partnerships.”

Richard Morey, Group Events Director at Media 10, said: “This year’s event is set to be our best to date and we’re delighted to be able to announce so many big names. A host of prestigious firms will be taking to the stage across the nine shows, including some of the most recognisable brands from the UK, Ireland and Europe. Visitors will benefit from the wealth of products and expert knowledge on display as well as the huge potential to network with fellow industry professionals.”

Trade associations such as the Royal Institute of British Architects (RIBA), TRADA, the Builders Merchants Federation (BMF), the Construction Products Association (CPA) and the Chartered Institute of Builders (CIOB) amongst others will also support the UK Construction Week event.

This year’s event is yet again set to provide a worthwhile, rewarding experience for all those exhibiting and attending.

More big names announced for UK Construction Week

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Huwebes, Abril 28, 2016

Reaction to Nationwide UK house price index

The Vinden Partnership says surge from buy-to-let market in March meant slowdown was inevitable.

The Nationwide Building Society’s house price index for April shows that the average price of a house in the UK increased slightly by 0.2%.

The monthly increase was the lowest since November 2015 and the annual rate of house price growth fell from 5.7% in March to 4.9%.

The buy-to–let market was a key driver in the record number of 165,000 properties sold in March as buyers rushed through their purchases to beat the rise in stamp duty that came into force from 1 April.

It was thought that there might be a sharp drop in demand following this busy period but the figures from Nationwide show continued growth, albeit a slower rate.

The average cost of a UK house in April is now a record £202,436. The figure in March was £200,251.

Martin Bennett, a Regional Director of The Vinden Partnership – a leading multi-disciplinary consultant company to the built environment – said: “The slowdown in house price growth following the new stamp duty levy in April was inevitable.

“The buy-to-let market was responsible for the surge in activity to beat the increase that led to the record numbers the market witnessed in March.

“The continued growth, however, highlights just how strong the demand for housing remains and why we need to see a major increase in the number of homes being built.

“Looking forward, the housing market’s performance may depend on the decision the country makes in June with regards the EU referendum and how the economy reacts to it.”

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Network Rail Property gains its independence

Network Rail has created a new property company and has tasked it with raising £1.8Bn to fund network improvements.

Network Rail Property will be established as a property company with its own board that will be able make decisions independently on investments and sales of Network Rail’s estate.

It is hoped that the new set up will allow Network Rail to increase its property activities and raise £1.8Bn through the disposal of various assets. The money will be ploughed back into funding the Railway Upgrade Plan.

Network Rail say the new venture will bring “greater focus on plans to deliver land for housing, while continuing to generate income from Network Rail’s other property assets to reinvest into the railway.”

The Authority will now be free to concentrate its attention on running and maintaining the UK’s railway network.

Network Rail Property went live on 1 April and is being headed up by Managing Director David Biggs. The new board will be chaired by Chris Gibb, a non-executive director of Network Rail since 2013, who has more than 35 years experience in the rail industry.

David Biggs, Managing Director of Network Rail Property, said: “A bigger and better railway requires significant investment and Network Rail is generating an extra £1.8Bn to help fund the Railway Upgrade Plan, mostly through the sale of property assets where continued Network Rail ownership is not essential to running the railway. This means Network Rail can focus on its core business of running a safe, reliable and growing railway that is vital to Britain’s economic health.

“Our new property company will have greater powers to unlock land for homes, drive economic growth in towns and cities and reinvest money into the rail network to help fund the Railway Upgrade Plan. It will mean that investment or asset disposal decisions can be made at the right level within the organisation in a timely way while ensuring appropriate oversight is in place.”

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Lord Adonis to speak at Infrastructure Policy Summit

City & Financial Global’s 13th annual Infrastructure Policy Summit will take place in central London on 7th July and will see a number of high profile people in the UK infrastructure markets discuss the latest policy initiatives and their implications.

Lord Andrew Adonis, Chairman, National Infrastructure Commission, and Tony Meggs, Chief Executive, Infrastructure and Projects Authority have been confirmed as keynote speakers, following the reorganisation of the institutional framework supporting UK policy development and implementation.

The two will outline their respective roles and position in terms of the National Infrastructure Plan 2016, as well as exploring how the two bodies will interact.

Joining Lord Adonis and Tony Meggs will be Michelle Dix, Managing Director of Crossrail 2, Jim O’Sullivan, Chief Executive of Highways England, Sir Merrick Cockell, Municipal Bond Agency & Chairman, London Pensions Fund Authority and Jeremy Skinner, Head of Economic Growth, Greater London Authority.

The panel will discuss a range of key infrastructure priorities including:

  • Progress with the Northern Powerhouse initiative – what more needs to be done to connect the cities of the north?
  • Where does the UK’s energy policy stand and what does this mean for the pipeline of energy infrastructure projects?
  • London’s infrastructure requirements in the face of a significant projected growth in its population
  • The plans and timescale for Crossrail 2
  • Creating the capacity to meet the UK’s housing needs
  • Implications of the Government’s £15Bn Road Investment Strategy
  • Financing infrastructure via green bonds in light of COP 21
  • The potential of the Municipal Bonds Agency as a source of finance for local infrastructure projects
  • Bridging the gap between projects and institutional money: unlocking the potential

The Infrastructure Policy Summit will be attended by people from the public and the private sectors including central and local government authorities, investors, funders, developers, sponsors and transaction advisors.

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Nationwide: April sees house price growth slow

The latest house price index from the Nationwide Building Society has revealed that UK house price growth slowed in April.

The annual rate of house price growth fell from March’s figure of 5.7% to 4.9%.

The rise in stamp duty at the beginning of April saw a rush to get deals done in March. A record of 165,000 transactions took place, around 11% higher than the previous high seen in January 2007.

The increase in stamp duty also saw mortgage-lending rise steeply. In March lending reached nearly £26Bn, an increase of 43% on February’s figure of 18Bn.

April saw the price of house increase by only 0.2%, which is lowest monthly increase since November last year.

The average cost of a UK house in April according to the Nationwide now stands at £202,436. The previous month saw the average cost come in at £200,251.

Robert Gardner, Nationwide’s Chief Economist, commented: “It may be that the surge in house purchase activity resulting from the increase in stamp duty on second homes from 1 April provided a temporary boost to prices in March.

“However, it is possible that the recent pattern of strong employment growth, rising real earnings, low borrowing costs and constrained supply will tilt the demand/supply balance in favour of sellers and exert upward pressure on price growth once again in the quarters ahead.

“House purchase activity is likely to fall in the months ahead given the number of purchasers that brought forward transactions. The recovery thereafter may also be fairly gradual, especially in the BTL sector, where a wealth of other policy changes, such as the reduction in tax relief for landlords from 2017 are likely to exert an ongoing drag.”

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Miyerkules, Abril 27, 2016

Martin Temple appointed as new Chair of HSE

The Department for Work and Pensions has appointed Martin Temple as Chair of the Health and Safety Executive (HSE) Board.

Martin Temple, currently Chairman of the Design Council, has been appointed Chair of the Health and Safety Executive Board.

He will take up the role from 1 May 2016, following Dame Judith Hackitt’s departure.

He has more than 30 years of experience in private and public sector roles, working as a non-executive director of the Sheffield Teaching Hospitals Foundation Trust, EEF Manufacturers’ Organisation and 600 group. Mr Temple is on the Council of the University of Warwick, and Chairman of the Advisory Board of Warwick Business School.

Minister for Disabled People, Justin Tomlinson said: “I am delighted with Martin’s appointment. He brings a wealth of experience to the role and joins at a time when the work of the HSE in promoting health and safety amongst employers is as important as ever.

“I also want to take this opportunity to thank Judith Hackitt as the outgoing Chair. Under her leadership the organisation has gone from strength to strength.”

Martin Temple, the new Chair of the Health and Safety Executive said: “I am delighted to be appointed as HSE Chair. I hold a long-standing interest in Health and Safety and look forward to working with HSE and the board to build on its success as a world-leading workplace health and safety regulator and I look forward to this challenge and the opportunities ahead.”

HSE is the national regulator for workplace health and safety and aims to prevent death, injury and ill health through research in Great Britain’s workplaces. It does so by providing information and advice, promoting training, producing new or revised regulations and codes of practice and by working with local authority partners by inspection, investigation and enforcement.

He has previously worked with HSE, having led an independent triennial review of the Health and Safety Executive in 2014.

 

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The dangers of working around electricity

The dangers of construction workers with electricity was brought into sharp focus last October when Balfour Beatty was fined £280,000 following the death of a worker who was electrocuted at a data centre in Middlesex.

Martin Walton died after his head came into contact with the live terminals of a unit at Morgan Stanley’s Heathrow Data Centre.

At the sentence hearing, the Health and Safety Executive (HSE) cited a breakdown in the management of health and safety and in particularly communication as the underlying cause of the indent leading to Mr Walton’s death.

The law on electrical safety in construction states that precautions must be taken against the risk of death or injury from electricity during construction.

When any kind of work is being undertaken, it is vital that any risk assessment encompasses any electrical hazards.

The whereabouts of all electrical wires such as overhead power lines, underground cables and electrical wiring should be noted and a cable locator should be used if any digging or surface disturbance is necessary and any services found be permanently marked.

Danger notices should be displayed where live electrical circuits are present and workers made fully aware of where it is safe and unsafe to work.

The HSE say that the biggest risk in the construction industry come from refurbishment work being undertaken in existing buildings. The work should be planned, managed and monitored to prevent workers from being exposed to dangers of electricity.

When refurbishment work is being carried out, it is not necessarily electricians who are the victims of electrocutions but other tradesmen performing duties on site.

Risks can be reduced by ensuring those with responsibility for planning and managing refurbishment work understand the electrical system of the building where the work is to be carried out and maintain good lines of communication with the building occupier.

Isolating appropriate parts of the electrical system should prevent the possibility of any disturbance or damage to the electrical system or workers who could potentially come into contact with it whilst undertaking refurbishment.

It is essential that equipment, tools, leads and cables be routinely checked the given the high risk of injury if mains voltage (230v) is being used.

230v equipment should be checked for damage every shift, with a visual inspection conducted every week and have a combined inspection and test before first use on a site and then every month. It is recommended that records of these checks and inspections are made and kept.

The use of RCDs (Residual Current Device) can detect a number of faults in the electrical system and quickly shut down the supply. Once installed in an enclosed environment, RCDs should be checked daily and maintained. They should also be protected from vibration and mechanical damage.

Broken bulbs can also present an electrical hazard due to exposed filaments. A plan to check bulbs around a building should be introduced to reduce any risk and keep the site well lit.

Electricians can just as easily fall victim to electrocution if they fail to carry out safe working practices. This means undertaking carefully pre-planned systems of work and not engaging in any risks or attempting work above their skillset.

The HSE say that workers should avoid working with a ‘live’ electrical system whenever possible. There are three conditions that must be met for live working to be permitted where danger may arise:

  • it is unreasonable in all the circumstances for the conductor to be dead.
  • it is reasonable in all the circumstances for the person to be at work on or near that conductor while it is live.
  • suitable precautions (including, where necessary, the provision of personal protective equipment) have been taken to prevent injury.

If one of these conditions cannot be met, live working must not be permitted and dead working is essential. The system should only be made live once all work has been completed and installed correctly.

Electrical work should only be carried out by trained and competent people and by following strict procedures.

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£180M Midlands Innovation Project fund launched

New £180M Midlands Innovation fund for energy research, innovation and skills across the Midlands Engine.

Today (26 April 2016) saw the launch of a major £180M fund which will drive cutting-edge research, innovation and skills across the Midlands Engine, as set out in Chancellor George Osborne’s Spending Review.

The Chancellor set out commitments to deliver significant government investment in the midlands across transport, energy and culture, including £60M to establish a new Energy Research Accelerator (ERA) .

The government have committed an initial £60M, to help grow the region’s high-tech, high skilled economy, which will unlock £120M of private sector co-investment, launched today by the Commercial Secretary to the Treasury, Lord O’Neill.

The Midlands Innovation, a collaboration of six leading universities across the midlands, will be delivering the ERA project.

Universities including the University of Birmingham, Leicester University, Loughborough University, the University of Nottingham and the University of Warwick, will work alongside the British Geological Survey, local industry and others to create a global centre of excellence for energy research and innovation.

Midlands Innovation will research and investigate how to tackle some of the biggest energy challenges faced by the UK. They will look at how to make the best use of resources, with focus on efficiency, affordability and safe energy.

Speaking at the launch, Professor Sir David Greenaway, Vice-Chancellor of the University of Nottingham and Chair of Midlands Innovation said: “Midlands Innovation brings together the leading research engines in the region. The partnership is built on a strong history of our universities working together and with the Energy Research Accelerator we have created a cross-disciplinary research hub which connects academia and industry to create jobs, drive growth, develop skills and produce innovative new products with sustainable, practical uses.!

A total of £2.4M has also been pledged by ERA, to train doctoral students to help develop new technologies and behaviours that will contribute to future energy innovation including smarter energy systems and enhanced energy security and resilience. It also aims to reduce the UK’s dependence on importing energy and help achieve the UK’s carbon reduction targets.

 

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Royal opening of £200M wastewater treatment works project

HRH Princess Anne officially opens £200M wastewater treatment works (WwTW) project to which Costain was a major contributor.

Princess Annie visited Liverpool to officially open a £200M wastewater treatment works project, and met members from the Galliford Costain Atkin consortium that had built the Liverpool Sequencing Batch Reactor (SBR).

The reactor has a treatment requirement of being able to handle 4700 litres of waste per second.

Work began on the new Liverpool WwTW for client United Utilities in 2010, and it became operational last September. It passed its process trials in January, serving some 650,000 residents.

The plant required 60,000m³ of concrete and 9,500 tonnes of steel.

Senior Project Manager Manjit Gill said: “Princess Anne really engaged with us. She was very knowledgeable about water management, and spoke about the importance of educating people to appreciate the process of clean and wastewater treatment.

“She asked us about our roles, and where we were from, before discussing how we maintained the existing plant during the construction process.”

The biggest problem for the GCA team was the tight footprint. To manage this, they selected SBR technology which is combined activated sludge and final settlement process, allowing them to build a two-storey plant with 16 basins within the dock walls. Each basin is 40m by 50m, with a water depth of 6.5m.

The plant is an extension to Sansdon Dock wastewater plant, which the princess also opened in 1991. The Sandon Dock plant deals with the inlet screening and primary treatment, where heavier waste drops out.

This SBR process aerates the wastewater providing an environment that encourages bacteria to digest the waste content. Fine solids sink to the bottom of the tank during a settlement phase allowing the clean water at the top of the tank to be discharged to the river.

River Mersey, which was once known as the dirtiest river in Europe, has been transformed, after billions of pounds has been spent renewing the city’s sewer network.

Work on WwTW and other facilities by United Utilities and North West Water, has resulted in life returning to the river. There has also been improved quality of water, which has encouraged the regeneration of near-by land.

 

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Record number of new vans sold in the UK

The number of vans on UK roads has reached a record high, with numbers passing the four million mark for the first time according to new figures released.

According to Motorparc figures from the Society of Motor Manufacturers and Traders (SMMT), a total of 4,007,331 vans are in use on UK roads, a 4.3% rise since the previous year.

Registrations for new vans increased by 1.2% in the first three months of this year, which followed the buoyant figures seen in 2015 with 37,000 units registered. Continued business confidence and a sustained rate of demand for online deliveries have been fundamental to the increasing growth, with vans now responsible for 45Bn miles travelled across the UK each year.

Mike Hawes, SMMT Chief Executive, said: “Commercial vehicles have never been more important to the British economy, transporting vital goods and services using the latest low emission technology. The CV Show will demonstrate the huge progress that the whole industry continues to make, with a wealth of new products on display from manufacturers, suppliers, aftermarket companies and service providers.”

There are expected to be a record number of new models of vehicles on show at this year’s CV Show taking place at Birmingham’s NEC as manufacturers attempt to keep up with the increased demands for van and pickups throughout Europe.

The number of new products being unveiled and the record number of units sold underline the importance of the sector to the UK economy, The commercial vehicle sector contributes £11Bn per year with commercial vehicles accounting for 61Bn miles each year in the UK.

All van registered from September onwards will need to meet the new Euro-6 emissions guidelines. These vehicles include advanced filters, which capture 99% of soot particulates, and exhaust after-treatments to significantly cut emissions of nitrogen oxides.

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Martes, Abril 26, 2016

NHBC Foundation: More quality retirement homes needed

An NHBC Foundation report has highlighted the need for more quality retirement homes as more elderly people consider moving into retirement housing.

The report  ‘Retirement housing – residents’ experiences’ explored the issue of whether current retirement housing is keeping up with the needs of residents and makes  key recommendations for house builders and developers for future improvements.

It found that nine out of ten elderly people say they love their experience of living in retirement housing or enjoy it most of the time. The feelings of companionship and community feature strongly as reasons given why this type of living is appealing.

The desire to downsize and reduce maintenance costs were also fundamental reasons for people wishing to move. 63% said downsizing as the key reason, with 59% stating they wanted to live  in a ‘safe and secure’ environment. Other important factors were being close to family and having access to support services.

By 2022, it is estimated that the aging population will see around 6.6 million people living the UK that will be aged 75 or over.

Results from the NHBC Foundation report revealed that around one million elderly people would consider living in retirement housing but only 128,000 properties have been built for private sale.

The report suggests that creating more retirement housing would be greatly beneficial to the elderly by allowing them to live independently for longer, which in turn will release houses and reduce the pressure on the housing market.

The report also showed a high percentage of home ownership amongst the age group and there is evidence of a willingness to pay a premium to secure the advantages of good quality retirement living. The problem, however, comes as respondents felt there was a lack of choice of suitable properties which appealed to them.

The research suggested that developers need to think about enhancing the lives of residents and to ensure properties are as attractive as possible to potential buyers.

Key recommendations include:

  • Elderly people need help with visualising the space if buying off plan
  • Improving car parking availability, especially making provisions for visitors
  • Developers need to give more consideration to the suitability of design and layouts – particularly kitchens and bathrooms
  • Builders need to perform closer inspection to ensure high levels of quality and minimal defects

The research focussed on six retirement developments with almost 400 homes in total. A total of 284 residents completed questionnaires and focus groups were carried out with a fifth of residents.

Neil Smith, Group Research & Innovation Manager at NHBC, said: “Our research found that there is a high demand for more retirement homes in the UK. Many people are keen to downsize from larger homes to retirement properties, but there is a lack of suitable options.

“There is no doubt that retirement houses bring huge benefits to society by allowing elderly people to live independently for longer within a supportive community of like-minded people.

“Living in retirement housing frees elderly people from the burdens of maintaining a larger home and garden. In addition, it brings wider benefits to society such as freeing up larger homes for younger families and releasing capital.

“The report finds that 9 out of 10 residents have a positive experience of living in a retirement home. It also highlights some areas for improvement and the importance of additional support services being made available, such as cleaning and personal care.”

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BIM and drones inspiring next generation of engineers

Costain and Highways England have recently delivered presentations on BIM and drones to inspire next generation engineers.

A series of presentations which are aimed at inspiring the next generation of civil engineers, have recently been delivered by Costain and Highways England, at an Academy School in Lincolnshire.

The presentations coincided with British Science Week and National Apprenticeship Week.

Graham Starkey from Costain and Connor Walls from Highways England spoke to students at the Oasis Academy Immingham in Lincolnshire about Building Information Modelling (BIM) and Paul Goergie from drone company SenSat, about how drone technology is being used on an £88.4M Scheme.

The presentations, which were organised by Steven Ellis, Community Relations Officer on the A160/A180 Port of Immingham Improvement Scheme, focused on Science, Technology, Engineering and Maths (STEM).

Highways England are carrying out work which involves upgrading 5km of the A160 from single to dual carriageway, and constructing a number of new structures, including a new bridge.

Aimee, the first fixed-wing drone suitable for use over areas in the UK, was taken into the school for a planned demonstration but this was not possible due to adverse weather. However, SenSat’s Paul Georgie described how the ultra-lightweight 700-gram drone has helped to survey the project.

Within the construction industry, drones have become useful, with data from the drone able to capture highly accurate geo-referenced topographic surveys in a fraction of the time of a manned team, achieving a resolution of just 3cm.

BIM has become a vital part of the design, engineering, construction and maintenance project.

Paul said: “This is the first time we’ve been able to go to a school and demonstrate this technology. We call it 21st century geography. It’s all down to three main pillars – technology, hardware and software. Much of the technical work used to be done on huge computers but now we’re seeing powerful desktops and smartphones.”

Steve Ellis said: “People won’t even have to go out and get their shoes muddy as they can get everything they need from these drones. Hopefully, this will get them interested in construction.”

He said that he hoped the high-tech presentations would help to inspire students to consider a career in the industry, and with drones becoming a big part of BIM, children at schools should become familiar with the technology as early as possible in order for them to gain an understanding of the progression in construction.

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Pothole Action Fund

Councils to share £250M pothole fund

Earlier this month, the Government announced a £50M fund for repairing potholes across the country, meaning some one million potholes will be filled in the next 12 months.

The full scheme, the Pothole Action Fund, provides £250M over the next five years to improve local roads and deliver better journeys, by fixing over four million potholes by 2020/21.

This financial year, over 100 councils in England will receive the funding, removing some 943,000 potholes across the country. Allocation of the funding has been determined by the size of the local road network and that each pothole can be filled for £53. This year Devon has the biggest single allocation, receiving £1.9M to fill 36,830 potholes.

Local highway maintenance has been given a boost through government spending in recent years, with some £6.1Bn due to be spent between 2015/16 and 2020/21.

With the long-term certainty of funding provided, councils will be able to plan long-term in preventing potholes and improving local roads, bridges and street lighting.

Transport Secretary Patrick McLoughlin said of the announcement: “I know how important well-maintained roads are to people across the country. Almost every journey starts and ends on a local road, so the government is giving councils £250M specifically to tackle the blight of potholes in their area.

“This is just one part of our unprecedented investment in local road maintenance over the next five years. We are giving a record £6Bn to local authorities in England that will improve journeys across the regions.”

RAC chief engineer David Bizley said: “While any cash to fix potholes is welcome, we will not get on top of the problem until there is a recognition that potholes arise because of a lack of preventative maintenance. Until we start talking about how many potholes we have prevented rather than how many we have filled, we are doomed to a local road network that is the weak link in the transport infrastructure.

“It’s time for the government to recognise that local roads are a vital part of the transport infrastructure which should be brought into the scope of the Infrastructure Commission so that they are rightly treated as a long-term strategic asset.

“While the government’s Road Investment Strategy is ensuring the future ‘fitness-for-purpose’ of the strategic road network in England there is a very real danger that local roads will suffer ongoing decline through insufficient investment and no long-term strategy to improve them. What use would it be having excellent motorways, major roads, railways, ports and airports if, when getting to or from them, you are faced with pothole-ridden, crumbling local roads where, of course, all journeys start and finish.”

An interactive map has been produced to allow people to see where the money will be spent.

Councils to receive funding are:

  • Cornwall
  • Cumbria
  • Derbyshire
  • Devon
  • Essex
  • Gloucestershire
  • Hampshire
  • Kent
  • Lancashire
  • Lincolnshire
  • Norfolk
  • Northumberland
  • North Yorkshire
  • Oxfordshire
  • Shropshire
  • Somerset
  • Staffordshire
  • Suffolk
  • Surrey

 

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Knight Knox launches £25M luxury residential scheme

Knight Knox has announced plans to provide luxury residential apartments in the centre of Liverpool.

Knight Knox, provider of buy-to-let developments to the private investor market, has launched Silkhouse Court, a £25M scheme, which will provide luxury, residential apartments in the heart of Liverpool city.

Kinight Knox are working in partnership with Fortis Development, in conjuction with Elite City Living.

The apartments at Silkcourt House, a converted building from the 1980’s, will provide views of Liverpool city centre and the River Mersey. They are close to regional, national and international transport links, in addition to being in walking distance from the city centre.

The development will be Knight Knox’s 15th development in the rigion and 24th partnership with Fortis.

Silkhouse Court, located on Tithebarn Street in the bustling centre of the city, will comprise of 193 furnished apartments, ranging from spacious studios to large one and two bedroom apartments.

There will be an on-site gymnasium, secure bicycle storage and a concierge service, as well as 48 private parking spaces.

Andy Phillips, Commercial Director at Knight Knox, said: “We’re confident that Silkhouse Court will prove to be another hugely popular Fortis-led scheme in Liverpool – an innovative modern business city with a thriving artistic culture and a famous maritime history.”

Kieran Moore, Director of Fortis, said: “We’re delighted to announce the launch of Silkhouse Court, which offers truly exceptional views of Liverpool city centre.

“All 193 apartments will be built with future residents in mind and will benefit from high quality fixtures and fittings as well as contemporary designs, so we’re sure they’ll be snapped up in no time.”

Fortis Lettings and Management will let the building, while Fortis Estate Management manage it.

 

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Truckers get on their bikes as part of FTA road safety scheme

Belfast will see HGV drivers get on the bikes as part of a road safety scheme organised by the Freight Transport Association (FTA) and walking and cycling charity Sustrans.

Last year the two organisations teamed up to create a best practice training programme called Safe Urban Driving to help avert collisions with vulnerable road users in an urban environment.

The one day course sees 20 drivers mount their bikes to experience using the road from the perspective of a cyclist in an effort to improve road safety and raise awareness.

Following the success of last year’s event, spaces on two new courses – one taking place today and the other 3rd May – are already fully booked and are set to improve road safety between HGVs and cyclists in Belfast and Northern Ireland.

Seamus Leheny, FTA’s Policy & Membership Manager for Northern Ireland, said: “The feedback from local HGV operators on this road safety initiative has been extremely positive, and we are delighted to be running the scheme in Belfast again this year.  It is vital that as an industry we play our part in improving road safety, especially in Belfast city centre and our other urban areas, and FTA is delighted with the proactive response from members towards this scheme.”

The Driver CPC accredited course was developed by FTA and Sustrans in partnership with Cycle Training UK (CTUK) and is funded by the Public Health Agency (PHA) and Belfast Strategic Partnership.

Karen Mawhinney, Sustrans Cycling Skills Co-ordinator said: “We’re really pleased to see the high demand for the Safe Urban Driving course. It’s not that surprising to us as lorry drivers who have already participated have said they enjoyed it and learned a lot. The more awareness training drivers receive, the safer the roads are for cyclists. We all have to learn to share the road.”

A leaflet has also been produced alongside the course that gives helpful safety tips for both cyclists and drivers.

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Lunes, Abril 25, 2016

FTA to announce the release of Truck Excellence

The Freight Transport Association (FTA), will announce the release of Truck Excellence scheme at CV show.

The FTA will announce the release of new industry-government scheme, Truck Excellence, tomorrow (26 April) at the Commercial Vehicle (CV) Show at Birmingham NEC.

The voluntary scheme, which is open to FTA members and non-members, is designed to raise standards and recognise excellence in the operation and management of large good vehicles.

Covering areas such as operator licensing regime, transport management, operating centres and vehicles, maintenance systems, drivers’ hours and records and good repute, Truck Excellence is the only national scheme that accredits operators against the operator license undertakings.

Each standard maps entirely to obligations under the operator licensing regime and associated core legislation, which is what both regulators and industry agree is the desired standard for excellence.

The auditing approach within the scheme is designed to ensure operators can demonstrate they have systems in place, using the “Plan, Do, Check” approach. This was recommended by the HSE and Institute of Directors in the publication “Leading Health and Safety at Work”, looking at the role of the license holder as well as transport manager.

As a result of this, if a vehicle is involved in an incident, an accredited operator is able to demonstrate the steps they have taken to manage their risk and obligations under their operator’s licence.

The scheme joins the well-established Van Excellence Programme under the FTA’s Fleet Excellence Programme.

Sally Thornley, FTA Director of Standards, Audit and Accreditation said: “The scheme has been developed to include a modular approach, making it flexible enough to include and adapt to the changing standards of other accreditation schemes – looking to make the scheme both cost effective and future-proof.”

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Hinkley Point decision delayed again

France committed to Hinkley Point but decision has been postponed for a further five months.

France is still committed to the £18Bn power station but no final investment decision will be made for five months, according to Emmanuel Macron.

The decision on the Hinckley Point nuclear power plant was previously expected to be made in March, but EDF has been struggling to find the cash for 66.5% of its remaining stake.

Last month, the company’s Chief Executive, Jean-Bernard Levy, said that the financial context was “challenging” and that he was negotiating with the French government to secure more funding.

A deal was agreed in October last year, where China General Nuclear Power Corporation (CGN) agreed to pay a third of the of the project in exchange for 33.5% stake.

EDF, which is 85% French state owned, on Friday detailed plans to raise €4bn.

Up to €3bn in the expected rights issue, which will allow shareholders to buy new shares in the firm, will be provided by the French government.

The new Hinkley Point nuclear power point could produce 7% of British electricity and create 25,000 jobs, according to EDF. The plant was due to start producing electricity in 2025, however the delays in an investment decision means this date is expected to slip.

Last month, the company’s Chief Executive, Jean-Bernard Levy, said that the financial context was “challenging” and that he was negotiating with the French government to secure more funding.

Any further delays put pressure on an already tight schedule to complete the two “new generation”, high-pressure water reactors at Hinkley by the middle of the next decade.

In September last year, the Chancellor George Osborne said Hinkley Point was a central part of the government’s strategy to “make sure the lights stay on”.

“The current generation of nuclear power stations are coming to the end of their life. That’s going to create a very big hole in our base electricity supply unless we do something about it,” he told a House of Lords committee.”

Thomas Piquemal resigned from his post of EDF Finance Director in March, after expressing fears that Hinkley could threaten the company’s future.

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£95M Ulster Hospital scheme appoints main contractor

The Graham-Bam Healthcare Partnership has been appointed to deliver Ulster Hospital’s new £95M Acute Services Block by the South Eastern Health and Social Care Trust.

Forming part of a wider redevelopment of the Belfast hospital, the Acute Services Block will replace the out-dated existing main ward block and other specialist acute services within the hospital.

The new building will be located next to a new £86M ward facility currently being built on the same complex by Graham-Bam Healthcare Partnership, which to due to complete this autumn.

The Graham-Bam Healthcare Partnership was appointed to the £185M four-year framework in 2013. The Company is currently working on the first phase of the redevelopment programme at Ulster Hospital. The current seven-storey new build Inpatient Ward Block will contain a ground floor procedural area, with four upper floors providing 288 en-suite bedrooms within 12 inpatient wards.

The Graham-Bam Healthcare Partnership will now act as Main Contractor on the new eight-storey, 31,000 sq m Acute Services block that will include specialist wards, support services, assessment unit, inpatient imaging department, and a new emergency department, which will be able to handle 110,000 attendances per year.

The project is designed to achieve the BREEAM Excellent standard and will see flat slab construction used to integrate the structure with its services and the clinical spaces. Operational running costs will be reduced by the building’s high thermal mass, while structural and acoustic solutions will enhance the healthcare services provided.

Hugh McCaughey, Chief Executive of the South Eastern Health and Social Care Trust said: “We are investing heavily in our modern and fit-for-purpose facilities so we can give our patients the best possible treatment. The redevelopment of the Ulster Hospital will enable us to implement a new service model with future focus on the management and treatment of acutely ill patients within the hospital setting.

Peter Reavey, Director, at Graham-Bam Healthcare Partnership said: “This is a state-of-the-art building designed to provide specialist care at the highest level, from operating and post-operative care facilities to high tech containment laboratories. We will be drawing on our strong track-record of delivering world-class medical facilities as we prepare to start the 39-month construction programme, which is expected to complete in summer 2019.

 

 

£95M Ulster Hospital scheme appoints main contractor

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CECA warn North East roads could be left behind

Industry leaders have warned that the North East of England’s road infrastructure development is in danger of leaving the region on the fringe of the Northern Powerhouse if it can’t get the investment it needs as a manufacturing base for the UK.

The newly elected Chairman of the Civil Engineering Contractors Association (CECA), Stephen Marshall, said: “Although the delivery of a motorway to Newcastle upon Tyne is becoming a reality with the final section of the A1(M) between Leeming and Barton near completion in North Yorkshire, it’s a sad state of affairs that the traffic will be restricted to 50mph as it passes through Tyneside on its way to Scotland and Cumbria, and that no high speed road will exist to circumnavigate the city.”

Mr Marshall is a Senior Contracts Manager for John Sisk and Son and is currently managing an A19/A1058 junction improvement scheme due on site in June. The project will deliver improved traffic flow between the Tyne Tunnel and those to and from the North Tyneside coast.

Speaking to members at the CECA annual meeting, he said: “Major projects being undertaken in the region by Highways England and Network Rail have long-term frameworks in place to deliver projects. But funding for these continues to be questioned, and the long-term delivery of many of these projects is not guaranteed. Meanwhile the National infrastructure Delivery Plan makes sweeping statements about investment in the North, with the Northern Powerhouse central to most plans.”

Outgoing CECA Chairman, Chris Dancer, has said there were some positives however to be taken from the region’s current position as two years ago, only the South East was experiencing a recovery in the groundwork industry. He said: “There was real concern in the North East that things had to get worse before they got better here. But today is certainly brighter with businesses reporting growing sales and employee numbers rising.

“A more predictable forward line of schemes is emerging around the region, and a skills shortage proving challenging.”

In an effort to increase opportunities for smaller companies, CECA will continue to lobby the North East Purchasing Organisation – which negotiates contracts for local authorities – to simplify its pre-qualification questionnaires (PQQs), both in its portal and in its general entry requirements.

Mr Dancer says that while there are still faults with the system, his work on behalf of CECA has seen improvements. His work will be continued by Stephen Marshall, who will look to negotiate a portal that CECA would consider fully suitable for procurement in infrastructure.

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Active House: A holistic approach to sustainable construction

Active House is a vision of buildings that create healthier and more comfortable lives for their occupants without negatively impacting the surrounding environment.

UK Construction spoke to Peder Vejsig Pedersen, Director of the Denmark-based Cenergia, about his work with the Active House Alliance, the Organisation’s remit and the challenges facing sustainability in the construction industry.

For the uninitiated, could you provide our readers with an introduction to the Active House Alliance?

The Active House Alliance was originally established in April 2010 during a conference held in Brussels. There, both the board of directors and the advisory board for the Alliance was agreed. The board of directors currently includes representatives from such organisations as The VELUX Group, Saint-Gobain and Hunter Douglas. The London-based architectural practice, HTA, is a member of the advisory board besides Cenergia and others.

Since then, the Alliance has – with a lot of specialist involvement – developed the Active House Specification. As part of this there are three key areas – energy, comfort and environment – and for each of these there are three sub-categories. Each category helps document the quality of a building project and its eligibility for the Active House label.

Previously, there has been a lot of discussion about how to show that a project lives up to the Active House standard. The Alliance decided upon a simple label, with a minimum demand in all nine areas of quality, so that successful developers are able to promote their project as being Active House compliant. A specialist institution has also been elected to verify projects that aim to live up to this standard. The Alliance has established networks to other associations worldwide and, in the UK, there is cooperation with the Good Homes Alliance.

How did you come to be involved in the Active House Alliance?

I was actually quite involved in the creation of the concept of the Active House Alliance. In 2005, Cenergia worked with The VELUX Group on an iconic project – sol tag or solar roof in English. This was a zero energy building, which used building integrated PV, heat pumps and so on. It was developed as an energy neutral rooftop apartment in Copenhagen and used as an exhibition house.

That was the start of our cooperation and, in 2006, The VELUX Group became very focused on the climate agenda and wanted to promote a standard for these kinds of energy neutral buildings.

How does the Active House Specification differ from The Passivhaus Standard?

I think Active House Alliance should be viewed in the context of European development in the low energy building sector. There has been some quite considerable success with Passivhaus – at Cenergia we made the first Passivhaus project in Denmark. But it was felt that the Passivhaus quality was limited to the climate shield. Though they’re very efficient buildings, comfort and sustainability are not the focus.

Some of the larger companies like ROCKWOOL and VELUX thought that it would be good to have a simple labelling system that had the same qualities as Passivhaus, but with additional focus on energy, comfort and environment also.

Active House: A holistic approach to sustainable construction

Can buildings be comfortable, energy efficient and environmentally friendly, whilst also remaining cost effective?

It’s very possible, but you have to be smart. We’re seeing the same thing with Passivhaus. Though there’s a lot of insulation involved, it is more to do with the qualities that you aim for rather than the cost to avoid potential code breaches.

For Passivhaus, we have seen that you need to have high performance windows. But triple glazing decreases in cost the more that it is used, meaning – at least in Scandinavian climates – that it is becoming the standard solution.

The concept of heat recovery has also become a standard feature in new buildings during the last five to ten years, and with it the demand for air tightness has risen. It’s something new but it adds to the comfort of the building while also ensuring better ventilation and very low heat loss.

We’ve seen the same development for solar solutions. Solar PV systems have dropped in price very rapidly and now, in Denmark, you can actually buy facade and roofing materials that can be architecturally integrated so that they look almost like a normal aspect.

If it’s not a matter of cost, is the challenge changing attitudes in the construction industry?

Yes. That’s where the challenge is, I think. The EU building directive arrived in 2002 and, in 2006, it was introduced into the Danish building regulations. Since then, we have worked within the ever increasing demands of these directions. Still, if you follow new regulations – the Danish Building Regulations 2015, for example – you can also employ the Building 2020 standard, which is 25% better and normally involves some sort of renewable energy.

But the big challenge is not really new builds, where renewables cost relatively little and are now part of standard practice, but existing buildings. It’s a very different situation in different European countries. The social housing sector has a lot of old concrete buildings from the sixties, for example. In Denmark, there is a special system for social housing – tenants pay an extra fee of five to ten percent on top of their normal rent. That fee goes into a special fund for social housing stock, meaning that social housing associations can apply for funding for the renovation of their buildings.

This is possible in Denmark, but in Sweden they don’t have that kind of fund. They need to find other ways of financing improvements to existing building stock and that can be more difficult.

How does the UK’s sustainably credentials stack up against other countries in Europe?

We have done several projects in the UK over the years, with EU funding in some cases. It was always a little more difficult than in Denmark because of the simple fact that energy in Denmark is very expensive. We have a lot of taxes on both electricity and heating, while the UK has less than half the cost, and with no VAT on energy. This means that the business of improving a building becomes more difficult because the payback is not as good.

On the other hand, my impression is that there is now a focus on this and the overall climate agenda in the UK.

Active House: A holistic approach to sustainable construction

Generally speaking, is the construction industry doing enough to encourage the use of sustainable construction techniques? What more can be done?

That’s a good question. The idea behind the Active House label is the focus on certain qualities and the documentation of those qualities. It has not been standard practice to show how good a building is performing on different criteria, but there’s no doubt that this will be a demand in the future and it is part of the EU building directive. All countries will need to introduce performance documentation of buildings before 2020.

What we have seen is that it’s actually Sweden – our neighbour country – that has put this into practice. It is part of their building regulations and that has changed their whole way of working.

The construction industry, together with building owners, must focus on how to measure building performance across a range of criteria. This has a tremendous effect on the quality of Swedish building projects. We’re hoping that this will come to Denmark in the next few years, but all European countries will need to follow it eventually.

How do you see the Active House Alliance continuing to develop in the future?

Once we’ve introduced the labelling system this spring, the hope is that it can be linked to a focus on performance documentation. You will be able to calculate that a building lives up to a certain standard, while also showing how a building performs in practice.

For more information about the Active House Alliance, please visit: http://ift.tt/1kDyjch

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Linggo, Abril 24, 2016

Good news or bad? and the impact on cashflow

Regional director of Ultimate Construction Finance, Euan Bell, suggests companies should turn outstanding billings in to cash rather than waiting months for them to be paid.

impact on cashflow Euan Bell ultimate finance

Which do you want first, the good news or the bad news?

Well the bad news, as you may know, is that according to data from the Office of National Statistics, UK construction output took everyone by surprise by falling 0.2% in January, compared to December, when analyst were predicting a rise of 0.3%.

Further statistics from Markit/CIPS UK Construction Purchasing Managers’ Index (PMI), indicated that growth in Britain’s construction industry unexpectedly dipped to a ten-month low in February.

It also revealed that optimism among construction companies regarding business activity for the year ahead fell to its lowest level since December 2014.

But fear not…now for the good news!

George Osbourne announced mid-March that the Government is to accelerate spending by pumping billions into the construction of new roads, railways and housing so the economy doesn’t stagnate.

He lists loads of exciting projects across the UK, with quite a bit of emphasis on creating his much talked about Northern Powerhouse.

Whether you’re a ‘glass half full or half empty’ type will dictate whether you are concerned about the slow down or excited by George’s news. Either way both will probably have an impact on cashflow.

For those that have plenty of work on, the slowdown may have little effect on the volume of business in the short term. However many of those companies may be subcontracting for the bigger firms who are most likely to be the first to feel the pinch.

If they do, it will inevitably lead to them hanging on to their cash a bit longer, leading to a domino effect all the way down the line with the squeeze getting greater and greater, depending on your position in the ‘pecking order’.

It doesn’t make those smaller companies any less successful, it just means it’s taking longer to be paid for the work they have been asked to do.

This is compounded by the fact that SMEs in the construction industry are second only to the manufacturing sector in having the most unpaid outstanding billing, according to research by the Asset Based Finance Association.

Furthermore, when it comes to payment times, construction companies are treated the worst, having to wait an average of 107 days before their billing is settled.

Put these factors together and it results in an ever-increasing strain on cashflow.

One solution is to go to the bank to arrange or increase your overdraft limit – ‘blood and stone’ come to mind.

Another is to make the most of your assets, and by that we mean your outstanding billing, whether it is ‘Uncertified Applications for Payment’ or invoices.

By arranging an invoice finance facility these ‘assets’ can be turned into cash the next day. If you have earned it, why should you have to wait an average of 107 days to get paid? This will ensure problems being experienced ‘up the line’ will have less impact on you.

On the other hand, experience tells us that the extra work planned for the sector by the Chancellor could also put a strain on cashflow.

We have worked with many companies that have been asked to tender for a large project who have seriously considered turning it down because they could not afford to take it on.

That’s because they would have to recruit extra staff and purchase the materials to carry out the contract. With cashflow already tight it looked like a non-starter.

At Ultimate Finance we believe that successful companies winning new contracts should not be held back because they are being made to wait three months or more to be paid for a job they have completed successfully.

By using an invoice finance facility the outstanding billing can be turned into cash almost as soon as they are issued which means they can tender for the contracts and not worry about the consequences if they win them.

If you haven’t already done so, it would be worthwhile reviewing your working capital position and calculate the potential value to be released in outstanding billing. Then just think about how the company could benefit, and grow, if they were all paid now.

Ultimate Finance has offices across the UK.

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Sabado, Abril 23, 2016

The illusion of control

 

Barry Ashmore, MD and co-founder of StreetwiseSubbie.com, talks to us about how to stay in control of payments.

illusion of control - Barry Ashmore, Streetwise Subbie

Are you the man with the red hat?

I’ve been catching up on some reading recently and wanted to share some topical insight I picked up from best-seller, ‘The Art of Thinking Clearly’ by Rolf Dobelli.

Chapter 17 is entitled ‘You control less than you think’ and it discusses the ‘illusion of control’, something that really resonates with me as a former sub-contractor and business owner.

The author opens the chapter by telling us about a man with a red hat who stands in a square at 9am every day waving his cap wildly in the air. One day, a policeman approaches the man and asks him what he is doing. The man’s reply? “I’m keeping the giraffes away.” “But there aren’t any giraffes,” replies the policeman. “Well I must be doing a good job then,” comes the reply.

Another analogy Dobelli uses to illustrate our ‘illusion of control’ is the fact that in casinos most people throw a dice as hard as they can if they need a high number and as delicately as possible if they need a low number. What nonsense! He compares this to football fans believing they can swing the result of the game by gesticulating at the TV – come on now, we’ve all been there!

This shared illusion that we can somehow influence the world by sending out the ‘right’ thoughts, positive energy or that karma actually exists is essentially a basic human instinct. States Dobelli: “The illusion of control is the tendency to believe that we can influence something over which we have absolutely no sway” and was discovered in 1965 by two researchers, Jenkins and Ward, who carried out a simple experiment involving two switches and a light. The men could adjust when the switches connected to the light and when they didn’t. Even when the light randomly flashed on and then off the subjects were convinced they could influence it by using the switches.

Do you approach your contracts like those experiment subjects? Do you feel that you are in control of how your various construction projects are progressing? Do you feel you have a tangible influence on the whole decision making process? Chances are you have very little under your control simply because that is the way our industry operates and has always operated.

I’ve talked time and again about how specialist contractors bear the brunt when a project gets out of control or if something goes wrong. It’s usually the default setting of the main contractor to lay the blame at the subbie’s door and when that happens it’s a sure sign that everything is spiraling out of control.

It’s the same when it comes to the spectre of late or non-payment. The ‘illusion of control’ is particularly strong here: maybe if you are the client or the client’s representative, (particularly on public sector projects), you think that paying the main contractor on time means everyone gets paid on time.

If you are a specialist contractor however, the fact that you entered into a contract in good faith, you’ve done everything expected of you (and often even more!), you checked all the small print but there’s still a delay. So why?

It seems like it’s out of your control. Or is it?

Dobelli closes the chapter by asking the reader: “Do you have everything under control?” and concludes that, most of us are just like the man in the red hat.

But, when it comes to payment, ensuring that you are in control is easier than you might think. You can stay in control simply by focusing on the few things that are actually important and you can influence.

For example, by being very clear about, and understanding the terms and conditions you will be working under before you enter into the contract. Don’t be led astray or distracted by things that aren’t relevant to you or your business. Make a list of what is key for you and ensure you can positively influence these things. If you can’t, maybe it’s not a project or contract you should even entertain entering into. Turning down new business is very difficult, I accept that, but remember, one bad contract could take down your entire business!

Dobelli’s advice when it comes to the ‘illusion of control’, and mine too for that matter: concentrate on what’s important and make sure you control it. Don’t be the man with the red hat!

And as for everything else? Dobelli puts it so eloquently: que sera, sera.

 

Barry Ashmore is MD and co-founder of StreetwiseSubbie.com which provides business solutions for Specialist Contractors throughout the UK.

 

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Biyernes, Abril 22, 2016

Derelict theatre in Aberdeen transformed into new business offices

Knight Property Group and M&G Real Estate celebrated the completion of The Capitol at their grand opening yesterday.

What was once a derelict theatre in Aberdeen, has now been restored to its former glory and will be used as offices, with the aim of bringing new businesses into the City.

Knight Property Group and M&G Real Estate welcomed guests at the grand opening yesterday, at 432 Union Street, with a red carpet and paparazzi in memory of the buildings past glory.

The building stood derelict from 2008.

Knight Property Group and M&G Real Estate made the investment in 2013, with the aim of transforming the unrecognisable building back to its former self.

The £30M investment will play a key role in transforming the fortunes of Union Street by bringing more people into the area to work. Aberdeen has struggled with a shortage of premium office space in the city centre and so The Capitol is a positive development needed in the area.

The original features of The Capitol have been kept the same, but over 22 months, both Knight Porperty Group and main contractor Andrew Cowie Construction have refurbished the canopy entrance and inner vestibule doors, art deco light fittings and clocks, pilasters and motifs.

The Capitol has 72,600sq ft of column free officer space, which could see around 700 employers working within the building. As a result, the local retailers, restaurants and local businesses will benefit from an increase in footfall in the area.

Pricewaterhouse Coopers and marketing agents AB Robb, Ryden and Savills are excited about the prospects of further lettings at The Capitol.

James Barrack, Managing Director of Knight Property Group said: “At the heart of the Capitol redevelopment is a desire to bring new life to an iconic but derelict building. Incorporating the old with the new, we have worked closely with the project architects, Keppie Design, to ensure that the building seamlessly moves from the 1930’s art deco front of house into the column free grade A office space in the back.

“I don’t think we appreciated at the time the level of damage which had occurred over years of neglect. The difference from purchase to completion is astounding. It’s a proud moment within my career knowing that we have restored an Aberdeen landmark to its former glory.”

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Steel crisis: What are the options?

Specialist engineering and construction recruiter Randstad CPE, say steel crisis must be tackled to prevent industrial skills emergency.

Britain’s Steel Crisis could trigger a wider industrial skills emergency, and must be tackled – say specialist engineering and construction recruiter Randstad CPE.

It was revealed that a total of 94% of specialist engineering workers support some form of action by the UK government, to provide support for Port Talbot and the UK steel industry, enabling it to once again become sustainable and profitable.

In a snap poll of specialist engineering workers, more than a third (35%) believe that the best course of action is to impose tariffs on foreign steel exports, for example those from China, which due to low prices, contributed greatly to the closer of the major UK plants.

The second most popular course of action, with 31% of voters support, is mandating all public projects. Projects in the UK including rail, warship and infrastructure, would only be able to use UK steel, rather than imported alternatives. This would eliminate competition and ensure that the UK steel industry is thriving.

A total of 7% of workers say the best way to save UK steel making is by exempting firms from certain green levies, and a further 7% say that the government should exempt steel firms from business rates if this can ensure the security of the industry.

Other possible courses of action that specialists believe are optional include exempting steel makers from business rates, and the more drastic option of nationalisation, which was backed by 14% in the poll.

There are worries that the steel crisis could face a knock on effect beyond the risks of the 24,000 jobs directly involved in the manufacture of steel in the UK, which could affect millions of other jobs in the wider production sector of the economy.

Owen Goodhead, MD of Randstad Construction, Property & Engineering said: “Jobs and skills simply don’t behave like volatile commodity markets. Once you have a skills shortage, it is here to stay. Steel itself could just be the tip of a terrible iceberg – and the start of a far longer industrial skills emergency.

“Today the price of steel is low because of an error of oversupply on the other side of the world. If that was a permanent factor, we might need to think twice about trying to compete. It is not. But as a result we are talking about permanently shutting down our own centres of global engineering expertise.”

With the UK not currently handling its own scrap, production of ready-to-use steel in the UK is not as high as it could be, with the latest figures showing net exports of scrap steel amounting to 6.6 million tonnes leaving the country every year. Scrap surplus has been looking into as a possible solution, along with reviewing the methods of steel-making itself, currently conducted through oxygen-blown furnaces.

Owen Goodhead concludes: “Steel must be profitable and part of a long-term sustainable economic plan for the industrial skills base of the future. How will we have a car industry without steel, or the aspiration and education that goes along with it? How can we have aircraft carriers without steel? How will oil and gas jobs and rail jobs be sustainable without steel? Or a glittering financial services sector in great steel towers, without steel? How will we have the much-vaunted ‘balanced economic recovery’ without steel?”

 

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Can you dig it? Construction warriors battle in bulldozers

Two rival construction companies engaged in a street battle in China as they faced off with heavy plant bulldozers over an alleged dispute over clients.

The construction conflict took place last weekend and saw the six bulldozers clash in a street in Xingtang county in Hebei province.

The battle is reminiscent of a destruction derby video game as the metal clashed and a cloud of dust envelops the scene.

Crowds gathered along the street to watch the warring machines, with the footage captured on video showing two of the diggers striking each other with their shovels, before one is toppled over.

Cars using the road were forced to avoid the two bulldozers as they duked it out with their front shovels.

A third truck can be seen arriving in the background, before another two join in the battle.

The driver of the toppled vehicle managed to free himself from the cabin and jump into another bulldozer presumably to re-join the battle.

It is still unknown at this point which companies were involved. The incident was confirmed by the Hebei Province Public Security Bureau who said an investigation was taking place to determine who was involved.

As well as the obvious damage to the heavy plant vehicles, it is thought that a number of injuries were sustained in the skirmish. It is believed that the incident only ended once the local police arrived.

Tensions may have been high amongst the rival construction firms, as China’s construction industry growth has dropped significantly in recent years. It would appear that the two companies competing over business might have been the most likely cause of the clash.

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Female construction students topping out in class

Female construction students at New College Lanarkshire, are beating the boys in the Construction Pre Apprentice course.

Females are topping out in the Construction Pre Apprentice course, with five out of only six females currently on the course at New College Lanarkshire, appearing in the top 15 students on the taster course for a career in the industry.

Wishaw student Kait Finnan, aged 19, has notched up 100% from all her tutors during the training programme, above all of the 90-plus trainees.

The programme runs throughout the year, and covers painting and decorating, plumbing, joinery, technical drawing, brick and block-laying and health & safety.

Antonia Collins, 18 from Holytown, Dainah Smith, 18 from Hamilton, Shannon Docherty, 16 from Wishaw and Sophie McRobie, 17 from Lanark, followed closely in the top 15 fellow students.

Kait, a former pupil of Clyde Valley High School, said: “I think I put 110% into tasks, and have a good work ethic. I’m also fairly critical of myself, so I always look for ways to improve my standard of work. Perhaps the lecturers have noticed this, and that’s maybe helped with my ranking.

“It’s great that the other girls have done so well. Feminism is really important to me, and with so many of us doing so well I feel like we really are showing that women are just as capable as men, if not more.”

Kait says that painting and decorating is her favourite topic, and recommends the course.

At the beginning of May, Kait will be among the 60-plus students who are heading out for a six week placement with firms and businesses. She will be working in the technical department of the Bothwell Branch of international weather and water protection firm Seal Eco, where she will study building design, and visit sites.

Martyn Campbell, Curriculum and Quality Leader in Construction, said: “Kait has done magnificently well to achieve this status in her own right but for a young woman to have done so in this sector is little bit more special.

“These students have proved that females are more than capable and hopefully many more apply for the courses we are currently recruiting for.”

 

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Transport manager qualifications launched by FTA

New qualifications for fleet managers have been launched by the Freight Transport Association (FTA) with the target of “professionalising” the industry and defining a structured career path for the role.

The Commercial Vehicle Fleet Management Qualifications (FMQs) will provide fleet management professionals with a Continuous Professional Development (CPD) framework and are the first national vocational qualifications in the sector created in partnership with industry to deliver the necessary skills in people management, vehicle procurement and fleet maintenance.

The qualification would be suited to people looking to advance in the logistics industry and for existing fleet managers with no formal qualification.

The qualifications would also provide employers with the nationally recognised qualifications with the ability to identify the competencies and abilities of fleet managers when recruiting and training staff.

The FTA has also worked in collaboration with City and Guilds to establish a new Transport Manager CPC qualification.

FTA Head of Training Keith Gray said: “We are delighted to be able to offer qualifications that provide a structured career path for logistics professionals.

“In terms of professional development, the CPC has often been the destination for Transport Managers. Now, with the introduction of FMQ, there is a development pathway along which CPC is an important milestone.  Our aim is to create a portfolio of qualifications that give those working in the industry nationally-recognised, transferrable skills.”

The qualifications have been created with City & Guilds and are registered with the Office for Qualifications and Examinations Regulation.

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Huwebes, Abril 21, 2016

Government will take a 25% stake in rescue of Tata Steel

The government is willing to take a 25% stake in any rescue of Tata Steel UK operations, it has been announced.

The UK government will prepare to make a support package “worth hundreds of millions of pounds” available to potential buyers, willing to take a 25% stake in rescuing the industry.

Business Secretary Sajid Javid said last week that the government would provide financial support to a credible buyer, to help the UK steel industry that has been hit by falling prices, high energy costs and cheap Chinese imports.

There have been two points of interest shown in buying the business. Stuart Wilkie, Chief of Tata’s Port Talbot factory, the UK’s largest steel operation, has canvassed workers about joining a bid by investing £10,000 of their own money in a management buyout.

Steel company Liberty House, owned by Sanjeev Gupta, has also expressed interest in buying parts of the business.

The UK and Welsh government have said they are willing to consider additional grant funding support where needed. This could include money to support the development of power plant infrastructure, energy efficiency and environmental protection measures, R&D and training.

The government will be working with the pension scheme trustees of Tata Steel and British Steel to minimise any pension impact on the purchaser.

Tata Steel is giving the government and potential buyers the time to arrange a rescue package, but has made it clear that it does not want to prolong the uncertainty for customers and workers.

The Prime Minister’s official spokeswoman said: “We would work alongside a potential buyer to make sure that the government is doing what it could to support a viable sale.

“If we were to take an extra stake it would be a minority one with the aim of supporting the purchaser in delivering a long-term future for the business, we are certainly not seeking to be controlling the company.”

The government have said that the investment is offered on commercial terms, and that they would not take any control over the business, insisting that nationalisation is not the answer.

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Reaction to the RICS UK Construction Market Survey

The Vinden Partnership says that the construction industry may to wait until after European Union referendum before the sector picks up.

The Royal Institution of Chartered Surveyors (RICS) has released its UK Construction Market Survey revealing that the private housing sector is at its lowest rate since the second quarter of 2013.

The government has pledged to build 200,000 new homes by 2020 and “tackle the crisis of home ownership”.

The survey shows only 36% more respondents saw an increase rather than a drop. In comparison, the figure was closer to 50% in the first quarter of last year.

Looking at the construction industry as a whole, the report showed that 33% more reported a rise in work than a fall during the fourth quarter of 2015. The first quarter of 2016 saw the figure drop 5%.

Confidence in the construction industry appears to have been shaken with those respondents predicting an increase in work over the next 12 months outweighing those forecasting a decrease by 55%. The same period last year saw 79% more respondents expected to see a rise in workload.

Peter Vinden, Managing Director of The Vinden Partnership – a leading multi-disciplinary consultant company to the built environment – said: “Anybody following the recent surveys and analysis of the construction industry, will know the European referendum is creating uncertainty within the sector.

“The ONS recently reported a record increase in housebuilding but there can be little doubt that construction projects are being delayed as investors wait to see how the result of the referendum affects the industry. It may be that we see a glut of project starts later in the year but, in the short term, we can expect the construction industry to remain in this state of flux.”

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5Bn of extra mortgage lending in March after stamp duty rise

Landlords aiming to beat the stamp duty rise, has led to up to £5Bn worth of extra mortgage lending in March.

There has been a “late surge” in gross mortgage lending, as it hit £25.7Bn last month, 59% higher than the previous March, according to the Council of Mortgage Lenders (CML).

This is due to the 3% stamp duty surcharge, announced in the Autumn Statement by Chancellor George Osborne and introduced on 1 April, for purchases of homes that are not the buyer’s main residence (second home or buy-to-let).

The impact of the change in tax is expected to continue to ripple through the housing market for the next few months, although the CML said it now expected sales to drop off after the extra tax came in.

CML’s analysis suggests there were £4-5Bn in extra lending than what would have usually been the case, which translates to about 30-35,000 more transactions as a result.

CML Economist, Mohammad Jamei, said: “The distortion caused by this stamp duty change appears to be larger than any previous stamp duty change we have seen.

“As a result, we expect there will be about 10,000 fewer mortgaged transactions each month in the second quarter of 2016 than would otherwise have been the case, offsetting the increase in activity seen in March.”

HM Revenue ad Customs (HMRC) also recorded the surge in property sales, with a total of 161,990 properties sold in the UK during the month.

The Bank of England has announced plans to subject landlords to a series of affordability tests, where their personal income and expenditure could be scrutinised by lenders before they decide to give them a mortgage.

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