Construction Needs a Gold Standard

Recent government reports have pinpointed the procurement sector as a key driver to support the construction industry and solve the challenges faced by the public sector. Gerard Toplass, executive chairman of framework provider Pagabo, discusses the need for creating a new quality benchmark – or ‘gold standard’ for frameworks – to ensure that the public sector and communities around the UK benefit from the best procurement processes possible.

“What is evident from recent government legislation, including the National Infrastructure Strategy and The Construction Playbook, is the need to support public sector partners in their bid to create the very best buildings. From schools and hospitals to prisons and major infrastructure, the government has shown that it is committed to delivering ‘better, faster, greener’ solutions to support our recovery from COVID-19 and build the economy of the future – and is asking the construction sector to be very much part of that.

“The focus on procuring for value is a big step in the right direction. The government is trying to get purchasers to understand the whole life cost of schemes, rather than just the upfront costs, which is a drum that many people in the industry have been banging for some time now.

“This means there is a big education piece with purchasers on what ‘best value’ and ‘whole life value’ actually is – it is not just about monetary cost, and we need to work with public sector organisations to define this.

“Central to this will be framework providers. They are an efficient method for government to procure public works – but many clients across the public sector also use frameworks in order to get the best possible outcomes. This is where the creation of a ‘gold standard’ for frameworks would be at the benefit of everyone working in procurement across the industry. It would enable authorities to get the best from procurement processes and achieve the best outcomes in terms of social value. And indeed, this is something that is detailed in The Construction Playbook.

“Pushing for this ‘gold standard’ is something that we welcome for procurement, particularly as it’s clear that the government expects that use of frameworks is going to grow and recommends their use. This will lead to more frameworks and even potentially more framework providers, so having an industry standard for this practice will be really important in enabling such public sector bodies – and the communities they serve – to reap the benefits.

“For example, some frameworks are much more expensive to procure works through than others, and so transparency of these costs will be important so that authorities aren’t caught out by hidden extras. In the same ways that the public sector needs to consider the suitability of a consultant or contractor, it must choose a framework provider equally as carefully. This means that framework providers must provide simple, affordable and accessible solutions, but more than this they must be transparent about costs and compliance.

“We would urge the government to consider setting out a kitemark approach so that public sector procurement professionals can feel assured that they are working with the right framework provider – and ultimately that they can rely on the organisation they are procuring works through.

“However, with a radical change in the procurement process within the public sector, as well as the sector itself undergoing changes, there will be a need for providing excellent consultancy and training to public sector workers. This has to happen so that both the wider construction sector and procurement can effectively work together, and work at the same pace.

“A big challenge is also going to be how procurement professionals will be trained on what is needed. The use of technology is going to be really important with this to help us remove red tape and bureaucracy for the public sector’s benefit. Digital technology and digitally enabled procurement and delivery could be enormously helpful in ensuring that the rest of the principles are achieved in practice.

“A prime example of this is modern methods of construction (MMC), and the way they are being used more widely. Our view at Pagabo is that MMC is not a separate function, but rather a function of construction overall – and where it can be used, it should be used. We want public sector organisations to be able to look at a scheme that’s being procured and be able to not only procure the expertise but also the best delivery methods – which will only drive better social return – on a scheme-by-scheme basis.

“This is an area that Pagabo is currently working to improve within the sector. We are currently working with Social Profit Calculator on the creation of a ‘Smart Construction Calculator’. This software aims to use historical data on MMC projects to build a baseline measurement for social value – this software will allow a client to look at the social impact of a scheme built with traditional methods and compare this to the use of MMC for the same scheme.

“But most importantly in the sector, we need to work towards talent density within procurement, properly set up frameworks that have good coverage of suppliers, lots and geographies, and the use of digital technology – all wrapped up in compliant practice with social value at its heart.

“Ultimately, if stakeholders adopt what has been outlined in recent government reports and play by those rules, then it will get the traction it needs within the industry. Mavericks will adopt the practices outlined early on, and there may be some criticism to the changes, but then will come widespread adoption. But it all starts with ensuring these rules are widely understood everyone in the industry from public sector bodies, to procurement professionals and the wider construction sector.”

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Predictions for Construction in 2021

Mark Davenport is Managing Director at AMC and Sean Keyes is Managing Director at Sutcliffe civil and structural engineers. Here they share their predictions for what they think construction will see in 2021.

Mark Davenport said: “I’m expecting 2021 to be affected mainly by the aftermath of Brexit, and the ongoing saga of Covid-19 (this at least in the first quarter). I believe the Government will do all they can to get us a deal, as it is in their best interests after campaigning for it for so long.

“It will be a difficult time for a lot of companies as travel out of the country will be restricted, but as with Covid-19 there will still be success stories and with hard work, determination and innovation there will be opportunities to thrive, and especially in the construction industry which always bounces back after times of hardship.

“As a company that prides itself on its face-to-face communication with customers, commitment to get the job done and its on-site operations, I am also looking forward to the re-opening of society in order for us to make up for the time lost during the lockdowns of 2020, which has seen the construction industry operate at less than full capacity.

“AMC are planning ahead to catch the wave of what we expect to be a real upturn in the industry come next spring/Easter, and our investment in new equipment and in the up-skilling of our staff should hold us in good stead as we look forward to showcasing our new rebranded fleet across the country.

“The green agenda will also be massive next year, and we will be working hard to ensure that our fleet is sustainable and eco-friendly. We decided to purchase 11 new electrical cranes earlier this year to improve our carbon footprint and our business, because working electrically and silently is not only a massive advantage from a Health & Safety point of view, but, will also allow us to work out of hours in town centres, which will help us further support our customers.”

Sean Keyes says: “My main prediction for the year ahead is that there will be a larger focus on healthcare. The Covid-19 pandemic has opened everyone’s eyes to protecting the NHS and more infrastructure in this sector will be crucial, as we enter into a ‘cleaner and more health conscious’ world.

“Brexit will also dominate the news, and of course be an obstacle for employment and travel in the months and years to come, but I am hopeful that one of the few positives from Brexit will be the opportunity for local people to gain opportunities and employment, as travel for EU workers is restricted.

“The housing agenda will again be a top priority for the Government next year and creating quality, state-of-the-art housing will be incredibly important, with the next 12 months set to see a move towards eco-friendly green living.”

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£39m Concrete Upgrades Contract Awarded

On 19 January, Highways England awarded the first of three multimillion-pound contracts to revitalise concrete road surfaces across the country.

Over the next four years, Highways England will work in partnership with infrastructure and engineering companies AECOM and Atkins to provide design, supervision, and project management services on a nationwide programme to repair or replace the concrete surface of a number of motorways and major A roads.

The project is part of Highways England’s Road Investment Strategy, a £400 million commitment to improve the quality of 600 miles of existing roads. This design Framework contract worth £39 million is the first of three major contracts that will be awarded this year.

Most of England’s concrete roads were built in the 1960s and 70s, so these roads are now beyond their original design lifespan and are carrying up to 25% more traffic than they were designed to. Despite providing more than 40 years of virtually maintenance-free life, decades of use and hundreds of millions of journeys have left the roads in need of upgrading.

Depending on the condition of the roads, some will be repaired to extend their life span and others will be fully replaced.

Resurfaced roads will be quieter, be easier to maintain and therefore safer.

Martin Fellows, Highways England Regional Director, said: “Millions of drivers use Highways England’s motorways and major A roads every day for work journeys and home deliveries, visits to friends and family, holidays, and the movement of the goods and services that we all depend on.

“Many of these roads were built in the 60s and 70 and, despite serving us well, are coming towards the end of their design life and need vital upgrades. We’re pleased to award the first of three major contracts that will help us deliver best on safety, customer service and efficiency throughout the duration of the project.”

Rory Poole, AECOM UK&I Head of Highways, said: “This is an exciting opportunity to increase the reach of our network maintenance and sustainability expertise. We are looking forward to working with industry partners to ensure England’s roads have a long and efficient working life, providing a safe, reliable and resilient network for Highways England’s customers.”

Ian Spellacey, Client Director, Strategic Highways, at Atkins, said: “The framework gives us the opportunity to build on work already underway on meeting the needs of road users by using innovative digital assessments to measure the technical and customer benefits for concrete surface treatments.

“Drawing on our collective experience of maximising re-use and recycling of materials, we look forward to working closely with Highways England and the other framework providers to promote a circular economy while redefining how concrete surfaces are managed across the country.”

Highways England will award a further two contacts this year under the Concrete Roads Programme. The first will cover Lifecycle Extension Works, a specialist contractor contract that will deliver specialist repairs to maximise the life of the existing concrete pavement, worth £67 million.

The final contract is the Concrete Roads Reconstruction Framework – worth £218 million over four years – that will cover the demolition of existing concrete surface and its replacement.

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Contractors Called Up for £1.5bn Framework

Contractors are being called up to help shape a new £1.5 billion build housing framework that is set to launch later in 2021.

The New Build Housing Construction (H2) framework from procurement bodies LHC, Consortium Procurement Construction (CPC) and Scottish Procurement Alliance will cover public sector projects in Scotland, North and Central England, and London and South East England.

It is set to replace the current framework, which is available from the SPA at the moment, and will be a new offering for both LHS and CPC.

Associated civil engineering and infrastructure works required for new build housing and net zero buildings will also be covered under the set up.

Planned Housing Lots:

• New build housing – low rise up to 11m to top floor height
• High rise developments with floor heights above 11m
• Construction of care homes
• Refurbishment, conversions, extensions and adaptations
• Groundworks and preparation for new build sites
• Major infrastructure for new build housing sites

Mij Rahman, Director of Procurement at LHC, said: “The new H2 framework will build on the success of the outgoing H1 framework.

“There is a growing demand for frameworks that deliver solutions which will meet the ongoing housing challenges within the public sector, while prioritising the importance of the wider societal benefits that can be achieved through placemaking that support social, human, environmental and production value.”

LHC, CPC and SPA will be delivering a series of webinars in February (8th, 9th and 11th) for interested developers and contractors.

The sessions will give an overview of the proposed framework and will give interested parties the opportunity to feedback on the framework before its scope and structure are finalised.

To register interest in the H2 framework and receive further updates, visit LHC’s eTendering portal Proactis.

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New Plan to Convert Derelict Buildings

New plans to convert derelict buildings and vacant plots of land into new home and community spaces have been announced by Housing Secretary Robert Jenrick.

The new ‘Right to Regenerate’ proposals would make it easier for those wanting to make conversions to challenge councils and other public organisations to release the land for redevelopment, This, in turn, would help communities make better use of public land and give a new lease of live to unloved buildings and derelict land.

Land that is underused would also be sold off to individuals or communities by default, unless there was a compelling reason why the owner should hold onto it. Under these proposals, public bodies would need to have clear plans for the land in the near future. If the land is kept for too long without being used, then they would be required to sell it.

The measures also provide opportunities for the public and local communities to redevelop and transform land that would otherwise be unused. These new plans also build on the UK Government’s drive to encourage development on brownfield land and create more beautiful buildings which are in line with local preferences.

The strengthened rights would also apply to unused publicly owned social housing and garages providing opportunities to transform the local housing stock. The latest figures show there were over 25,000 vacant council-owned homes and, according to recent FOI data, over 100,000 empty council-owned garages last year.

The new process will be fast and simple, and the Secretary of State will act as an arbiter to ensure fairness and speedy outcomes in all cases.

Housing Secretary Rt Hon Robert Jenrick MP said: “Right to Regenerate is the simple way to turn public land into public good, with land sold by default, unless there is a very compelling reason not to do so.

“We are cutting through red tape so that communities can make better use of available land and derelict buildings, which means more new homes, businesses and community assets.

“Millions of people will now be able to buy that empty property, unused garage or parcel of land and turn it into something good for them and their community.”

Tom Chance, Chief Executive of the National Community Land Trust Network, said: “We welcome these plans that could help communities to turn abandoned and neglected land and buildings into fantastic community assets.

“There are hundreds of community land trusts across the country wanting to build much needed affordable housing, but getting hold of land at an affordable price is a huge barrier.

“The potential for communities to be given first right of refusal could be a gamechanger. We encourage everyone to read through the proposals and respond to the consultation.”

The consultation opened on Saturday 16^th January 2021, and closes on 13^th March.

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Town Regeneration Boosted by Investment

Purfleet-on-Thames has received a multimillion-pound boost from the UK Government to help support the regeneration of its town centre.

The town centre has secured £75 million from the Housing Infrastructure Fund (HIF). This funding will also assist in bringing forward thousands of new homes, supporting local jobs and will help Purfleet-on-Thames become safer, greener, and healthier.

HIF bid proposals were submitted to Homes England in 2018 by Thurrock Council in conjunction with development partner Purfleet Centre Regeneration Limited, a joint venture (JV) between Swan Housing Association and developer Urban Catalyst, and with these two working together they are creating a vibrant new riverside community.

The funding will be used by Purfleet Centre Regeneration Ltd (PCRL) to pay for infrastructure provisions in the early phases of the development, including new roads and a pedestrian and vehicular bridge over the railway line. The funding will also support land acquisition, remediation and site preparation works.

Work has now started on the HIF-funded infrastructure preparatory work and the main infrastructure works will commence in February 2021 and will continue for approximately three years. The green light was given to the regeneration’s first phase in January this year, consisting of 61 new high-quality family homes and a children’s play area. This first phase will also reinstate public access to Hollow Woods and will form part of the development which has been designed to enhance the green links to Purfleet’s Conservation Area. Preliminary works are anticipated to start on site in early 2021.

Once completed, the £1bn regeneration of Purfleet-on-Thames will deliver a new town centre complete with shops and restaurants and new railway station. Up to 2,850 new homes will be provided as well, alongside an Integrated Medical Centre, improved transport infrastructure and a new primary school.

The plans, approved in December 2019, also include a 1 million sq. ft. ‘media village’ to support the UK’s booming TV and film industry. This will help Purfleet-on-Thames on its journey to becoming a leading creative hub, with the town already being home to High House Production Park and Royal Opera House production workshops.

Later phases will deliver a higher/further education campus creating leading facilities with a focus on health and the creative arts.

Sir Tim Laurence, chairman of PCRL, said: “The HIF funding is a major milestone in the regeneration of Purfleet-on-Thames. It will allow us to upgrade the town’s transport links and pave the way for us to deliver thousands of new high quality homes.

“Infrastructure investment like this will be crucial to unlocking the potential of regeneration projects across the UK and to meeting the government’s ambitious house-building targets.

“We look forward to starting on site with the infrastructure works in 2021 and moving one step closer to realising our vision for a greener, healthier and safer Purfleet-on-Thames.”

Sophie White, Homes England’s Director of Infrastructure Grants, said: “We are committed to working with ambitious local authority partners seeking to meet their local housing needs through delivery of key infrastructure.  Our multimillion-pound funding in the Purfleet-on-Thames scheme will help to address the complex infrastructure requirements and constraints associated with the development. This will in turn help unlock the housing sites and allow the Council and its development partner PCRL to deliver their vision for the town centre and much needed housing growth.”

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Sustainability Helps Civil Engineering Become Carbon Net Zero

James Maclean is CEO at leading wet civil engineering firm Land & Water. In this feature, he writes about how sustainable practices need to be adopted by the civil engineering industry in order to become net zero as well as drawing on the plans Land & Water is making to drive its low carbon thinking.

With a 13% decrease in UK greenhouse gas emissions during 2020, compared to the previous year, the Coronavirus pandemic has certainly shifted our nations focus towards a greener future.

The UK government recently announced its plans to cut carbon emissions by 68% by the end of 2030, however with the reduction in emissions in 2020 being a result of behavioral changes rather than structural enhancements, we still have a long way to go when it comes to implementing sustainable practices.

As one of the key producers of CO2, the construction and civil engineering industries need to be at the forefront of creating environmental change.

At Land & Water, we pride ourselves on introducing some of the most innovative sustainable solutions to our projects whilst following a carbon reduction agenda to add value to the areas in which we work.

We consider this environmental responsibility at each stage of every project whether that be in design, thinking, planning or delivery in order to produce smart changes.

A recent project at Calstock, in Cornwall, on behalf of the Environment Agency is a great example of how Land & Water used strategic, sustainable thinking to drive emissions down.

During the project which reduced the risk of flooding in the local area, through the construction of new flood defence embankments on a set-back alignment, Land & Water saved 75% of construction carbon and 72% whole life carbon. The team also reduced its carbon footprint by 7,350 tonnes by redesigning the geotechnical embankments to prevent the need for using cement to stabilise soils and cement tanker deliveries through the villages.

What’s more, we also increased biodiversity by creating reedbeds to offset some of the habitat losses caused by global warming and protect future eco-systems.

By considering alternative engineering practices, these low energy consumption operations can bring about positive behavioural change within the construction and civil engineering industries.

We are currently developing a simple four step process to help support this carbon reduction strategy. Step One looks at how we deliver our projects – do we actually need to deliver them or can we improve and maintain our waterway and estuarial infrastructure’s differently. Step Two looks at delivery, perhaps maintenance works can use digital mapping and AI to enable “little an often” low energy consumption operations rather than heavy footprint major campaigns. This highly influenced our Calstock project and reduced the use of heavy equipment with alternative materials.

Step Three looks at building in nature as we leave a project behind, creating a habitat within the infrastructure to encourage Net Biodiversity Gain and carbon sequestration at the point we have infringed, and Step Four identifies the most responsible form of offsetting for any residual carbon impact, as close to the project as possible, keeping our carbon impact cycle local. (Buying rainforests abroad, in my opinion, is a “cop out” to a carbon infringement at home, and shows a lack of genuine CSR).

One method myself, and Land & Water, are becoming passionate advocates of is the use of HVO fuel as an alternative to diesel. Not only does it support the UK government’s net zero plans but Crown Oil’s HVO fuel is a 90+% net carbon neutral, fully biodegradable biofuel which uses hydrogen to promote a cleaner-burn, straight carbon chain, without troublesome Esther’s which can cause degradation in time and ultimately block fuel filters.

We have trialled this fuel at Land & Water’s Habitat Creation Scheme at Rainham Marshes and have been incredibly impressed by its performance.

It is therefore important to me that we create as much awareness of this biofuel amongst civil engineering and construction industries as a solution to cutting carbon emissions.

I understand cost can sometimes be a major factor, especially at a Director level, when considering alternative practices, however one of the most impressive advantages for Land & Water was that plant does not need to be modified.

This can significantly help to cut future costs and enable engineers to better the embedded carbon in its existing machinery.

We chose Rainham Marshes as the site for fuel testing due to its existing commitment towards sustainable thinking through its removal, re-use and recycling of dredged materials to enhance the local ecology and achieve a disposal policy of less than 10%.

Land & Water has been working with the Port of London Authority (PLA), RSPB and Natural England to use redundant, non-hazardous waste to create landforms along the East London Corridor. This collaboration will see us operating the 152 hectares of silt lagoons until 2042, resulting in over six million tonnes of wet and dry spoil material being repurposed and 1,000,000m2 of valuable habitat being created.

It’s about being smart and forward thinking.

By prioritising re-engineered spoil, we can minimise landfill waste, reducing carbon emissions generated by waste, and increase biodiversity through enhancing environments and protecting eco-systems.

Many of our other projects, including the recent lake regeneration works at Colchester Hospital and Thames Tideway Tunnel project, have already contributed towards the Habitat Creation Scheme.

We very much look forward to harnessing Rainham as a sustainable solution for change for many years to come and encourage other organisations to explore similar projects which could help safeguard our planet.

Whilst reengineering heavy plant and incorporating alternative fuels is incredibly impactful, educating team members is of similar significance when it comes to driving down carbon and being more environmentally conscious.

It’s about giving the correct operator training and spreading a company’s sustainable ethos from the top down.

An acronym I like to follow is it’s SSSSO simple! That’s ‘it’s so simple… simply switch it off’. By turning off machinery and reducing idle time, which is currently between 25% and 35% on UK construction equipment, firms can start creating sustainable behavioural change.

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Land & Water Wins Bishopsford Bridge

Land & Water has announced it has been appointed by Merton Council to build a new road bridge over the River Wandle in Mitcham. The new bridge will replace the previous structure, which had to be demolished due to safety reasons after it partially collapsed following heavy rainfall.

Land & Water was contracted by Merton Council to carry out the demolition in Spring 2020.

The replacement of the bridge is a complex task as the structure not only influences the river flow but has a range of utilities running through it. During the project, a temporary cofferdam to the north and south side if the bridge will be installed whilst work takes place underwater.

The new crossing along the A217 will be wider than the previous bridge to include a northbound segregated cycle lane and a wider shared pavement and cycle space. This new design has a single span as opposed to the three arches of the old bridge.

Construction Director at Land & Water Kevin Kirkland said: “We are looking forward to returning to Mitcham to build a new bridge at this key river crossing.

“It is a particularly challenging project because the bridge influences river flow and has a range of utilities running through its structure. We will be working closely with Merton Council to safely build a new bridge to replace the 200-year-old previous structure. The new bridge is designed both to meet the demands of today’s traffic and to encourage people to make more journeys by bike or on foot.

“Land and Water is committed to improving the environment around its engineering works.”

Land & Water’s ongoing environmental commitment has been reflected in its choice of specialist plant, which minimises noise. The riverbanks border Watermeads Nature reserve and the plans will help promote biodiversity in the river and on its banks.

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BAM Participates in Trial Innovation of 5G

BAM is set to be part of a new Government-funded trial to explore the potential of 5G to improve people’s lives and help build back better from the COVID-19 pandemic.

This is one of nine projects which have received funding as part of a £28.3 million joint investment between the Government and businesses to test how the country could seize the full benefits of 5G and which will also help British industries capitalise on the power of modern technology.

5G Create is part of the UK Government’s £200 million investment into testbeds and trials throughout the UK to explore ways in which this new tech can boost productivity as well as to grow existing businesses or spark new ones. In the second round of the competition, the Department for Digital, Culture, Media and Sport (DCMS) has provided £15.2 million to be shared across nine projects, with the remaining £13.1 million coming from project partners.

Minister for Digital Infrastructure Matt Warman said: “The Government has put £200 million behind some of the UK’s most enterprising innovators to explore how 5G can accelerate growth in key industries. I look forward to seeing how this new era of mobile technology can empower construction firms to work smarter, shorten delivery times and cut costs.”

BAM Nuttall will explore how 5G can support the construction industry, by testing 5G powered cameras, drones, and sensors at construction sites throughout Scotland, at Kilsyth, Glasgow and Shetland.

The project working as 5G AMC 2 (Accelerate, Maximise and Create for Construction) seeks to explore how 5G can enable the use of data to maximise productivity of construction processes. The project will set up a private 5G network at construction firm BAM Nuttall’s regional office in Kilsyth, Scotland and a construction project in Shetland, using cameras, drones, mixed reality and IoT sensors to monitor construction process and track assets.

The UK Government’s Parliamentary Under Secretary of State for Scotland, Iain Stewart, said: “The UK Government is funding 5G innovation trials to help Scottish industry harness the opportunities and possibilities 5G offers.

“5G is an exciting technology, with higher connection speeds and capacity having potential to enable the use of innovate technology, transforming industry. I’m delighted this significant UK Government investment is funding such an important project in Scotland.”

Colin Evison, Head of Innovation at BAM Nuttall, said: “We are really excited to join the 5G Create programme and have the opportunity to further develop our digital capability that will help us in our mission to build sustainable environments that enhance people’s lives. We believe the project outcomes will benefit our business and the wider construction industry in its drive to improve productivity.”

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Kier to Maintain Tech Assets on Area 13 Contract

Kier Highways has announced that it is now maintaining the technology assets throughout the Highways England Area 13 network where it has delivered the Maintenance and Response contract for the last three years.

This technology element of the contract will remain in place for the next 11 years. This also follows the end of the North West Regional Technology Maintenance Contract and is part of Highways England’s drive to integrate technology maintenance into all Maintenance and Response contracts, meaning it would have a more consistent approach to maintaining the asset.

Four employees have joined the Area 13 contract as part of this, bringing technology expertise into the team. Before Kier had the Area 13 Maintenance and Response contract, it maintained the network under the Managing Agent Contractor Contract.

Matt Smith, Senior Technology Maintenance Manager at Kier Highways, said: “We’re extremely pleased to welcome the new technology engineers to the Area 13 M&R team. Technology is a key element of keeping our network operational and safe, and I’m confident that the skills our new colleagues bring with them will help build on the successes we’ve achieved in the region to date. Integrating the technology asset will allow us to deliver a full turnkey solution in maintaining our network, as well as delivering efficiencies.”

Dave Dickinson, Highways England’s regional change lead in the North West, said: “We are pleased to have worked closely with Kier Highways to successfully implement this change of including the maintenance for roadside technology assets within the Area 13 M&R contract. The North West region was the first Highways England region to add roadside technology maintenance into the Asset Delivery operating model and M&R contracts which will result in safety, efficiency and customer service benefits for our customers. I’d like to thank Kier Highways for the help in delivering a smooth transition and the knowledge learned through mobilising this change will now be used to make the same change in all other Highways England regions in the near future.”

The Kier Highways Area 9 contract first trialled this new integrated model and was part of Progressive Asset Delivery last year. Its Area 4 contract will start the integration of technology maintenance into the M&R contract from 2022.

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Double Win for Winvic at Edgbaston

Winvic Construction Ltd has been appointed by two new clients for concurrent works at Edgbaston Stadium in Birmingham. The £93 million GDV project began at the start of January 2021.

The contractor will deliver improvement works at Warwickshire County Cricket Club (WCCC) ahead of the forthcoming 2022 Commonwealth Games. They will also construct a mixed-use scheme for PATRIZIA (UK) which will comprise 375 build to rent (BTR) apartments.

The PATRIZIA privately rented sector (PRS) project, named The Residences, will provide 189 one-bedroom, 169 two-bedroom and 77 three-bedroom apartments, along with circa 20,000 sq ft of commercial space across five units on the ground floor.

Winvic is also to construct five concrete-framed blocks of five, seven, eight, 19 and 18-storeys in situ utilising two tower cranes. There will also be a landscaped podium deck with undercroft car parking and a rooftop amenity space for residents to enjoy, spanning almost 3,000 sq ft.

Full fit-out will be undertaken by Winvic and the project handover will take place over five phases, allowing the cricket club, car park, conference facilities and practice nets to remain open through the works. Challenges for Winvic include installing various underground services whilst managing the water and sewage mains that run through the site and working considerately adjacent to residential housing and the junction of two major routes into Birmingham city centre. Edgbaston Road will be realigned and a new opening on Pershore Road will be formed by Winvic as part of the programme, plus an access road through the site will also be constructed. The work is scheduled to be completed in the second half of 2023.

The works for WCCC on the western side of the stadium will include groundworks, along with the demolition of a derelict building. This is all in preparation for the reconfiguration of the existing car parking, and creation of new parking areas, which will result in a further 229 parking spaces. A new 56,500 sq ft entrance plaza will be constructed, which will enhance the main arrival space for visitors as well as helping to improve accessibility and circulation around the famous cricket stadium. Work will also comprise major drainage attenuation, lighting and landscaping, with circa almost 3,000 trees and shrubs planted. The whole of this project – as well as the landscaping programme for the BTR scheme – will be fully completed in the run-up to summer 2022 when the Commonwealth Games Women’s T20 cricket will be held at Edgbaston.

Mark Jones, Winvic’s Director of Multi-room, commented: “The Residences BTR project and redevelopment works for Warwickshire County Cricket Club are both exciting schemes in different ways, and winning these contracts illustrates Winvic’s breadth of experience across the various areas of construction. Winvic is as comfortable delivering 18 storeys of luxury apartments for PATRIZIA and highways works for WCCC as it is creating over 76,000 sq ft of car parking and a large piazza which will be welcoming people to watch the Commonwealth Games in 18 months. We have already built a great relationship with these two new clients and we’re looking forward to exceeding their expectations.”

Daniel Williams, Head of Development UK and Ireland at PATRIZIA, said: “With this new development we are building a vibrant community where people will want to live. We are at the same time addressing Birmingham’s acute need for first-rate and affordable rental accommodation aimed at local residents, as well as those visiting Edgbaston Stadium. We have worked closely with both Warwickshire County Cricket Club and Homes England to ensure these plans are right for the local community, as well as for the iconic Edgbaston Stadium, the Club and its visitors. Of course those partnerships now also extend to Winvic, and we are delighted to be working with such a delivery-focused contractor that has a wealth of experience in the build-to-rent sector.”

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Heat Network (Metering and Billing) Regulations

David Lewis – Managing Director of ista Energy Solutions explains why the amendment is not a risk but an opportunity for compliance and sustainability using simple proven technology.

With the update of the Heat Network Regulations from The Department of Business, Energy and Industrial Strategy last month the Operators of any unmetered shared heating system must try to charge Residents for their measured heat use.  This is therefore another important piece of Legislation that a Managing Agent must become familiar with to effectively support the Resident Management Companies that rely on their expertise.

As a starting point it is important to identify what a Heat Network is and must therefore comply.  A Heat Network is defined as either a district heating or communal heating system that provides heat to more than one final customer.

It is the Heat Supplier that has the obligation to comply, in most cases this will be the Resident Management Company, but this could be fully delegated to the Property Manager.

This may seem like a further Compliance demand for Managing Agents in a property sector that is already heavily burdened with new rules, however, there are options to ease a path through these Regulations and create value for Landlords and Residents.

The main obligations on the Operator of the unmetered heat system are summarised as follows:

• Notify the Office of Product Safety and Standards (OPSS) about the Heat Network and details of the installation. This must be repeated every four years, a new pro-forma has been provided.
• Assess the feasibility, both Technical and Economic, of installing metering to each dwelling in the property – a standard tool is provided for the economic test
• Install meters in all situations in which metering is demonstrated to be feasible
• Provide Residents with consumption bills that clearly explain the charges

The scope of the Regulations is wide and will typically affect residential properties constructed prior to 2010 where a communal system is installed for providing heat and often hot water.  There are exclusions, using Building Classes, in the Act but these are limited to purpose-built student accommodation, almshouses and ‘supported housing’ (a clearly defined term in the Regulations).

A very particular exclusion that will be important for Managing Agents to note relates to existing leases that prevent the installation of meters or the charging for the heat use based on measured consumption.

The Regulations contain very clear compliance deadlines:

• 27^th November 2021: all unmetered Heat Networks must be re-registered with the OPSS and includes the feasibility testing described above.
• 1^st September 2022: all identified meter installations are completed.

It is therefore important that Managing Agents consider completing assessments quickly to allow a longer programme of installation – taking advantage of both summer periods within the timescale for implementation with minimum disruption.

Installing metering for all properties in an existing building sounds like a daunting, expensive and highly disruptive major works project but using a solution specifically designed for retrofitting, called Heat Cost Allocation, this process is straightforward and is normally cost effective.  Whilst not currently common in the UK it is estimated that over 250million such devices have been successfully installed throughout Europe – indeed ista patented their first such solution in 1924!

In addition to complying with the Regulations, there are benefits for both the Operator AND Residents:

• Energy savings averaging 20% have been independently verified, reducing the costs for the Operator and Consumer alike
• Carbon emissions from energy use for the Property are reduced – an important motivator for many owners and renters given the widespread concern about a climate emergency
• Residents are charged fairly. At a time when the use of the home is changing at an unprecedented rate paying only for what you use is very important to all
• Each month the actual cost of operating the heating system are recharged to the Residents, reducing the risk of a shortfall in operating budgets
• The Solution is not disruptive, in most cases installation of the required devices is completed in less than an hour

ista provides a complete end to end metering service for Local Authorities, Social Housing Providers and Resident Management Companies.  We will assess each property, complete the necessary Regulatory documents, arrange installation, and finally provide the consumption bills for each Resident.  In nearly all situations it is demonstrated, using the Government approved modelling tools, that this improvement to the property benefits all Parties.

ista is an International energy services business, specialising in the management of information for the property sector.  With over 5,800 employees, the company operates in 22 countries and has installed 60m measurement devices in 13m homes.

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Contactor Chosen for Tunbridge Wells School

Willmott Dixon is pleased to announce that it has been chosen by Kent County Council to build a three-storey satellite facility for Tunbridge Wells Grammar School for Boys in Sevenoaks.

The work to extend the school was procured via the Procurement Hub Major Projects Framework.

Adam Worrall, Director at Willmott Dixon in London & South, commented: “Having worked in collaboration with Kent County Council for many years, we are delighted to be working with them once more to deliver the much-needed expansion for the school. Designed by Bond Bryan Architects, the extension will allow the school to continue to provide an outstanding pupil experience.”

Clare Moore, Client Relationship Manager, Procurement Hub, said: “It has been a pleasure to be working alongside Willmott Dixon and Kent County Council on the expansion of Tunbridge Wells Grammar School. We are looking forward to seeing the completed project!”

Included in this contract is the renovation of the nearby Weald of Kent Grammar School, which will see the creation of a new mezzanine level, along with new teaching areas.

This work follows Willmott Dixon’s previous construction in the area where it built the Trinity Free School.

The work is the latest in a series of projects in the Sevenoaks area for Willmott Dixon. In 2017, the construction business completed an extensive expansion at the Weald of Kent Grammar School, this work follows on from Willmott Dixon’s previous construction in the area where it built the Trinity Free School.

The company has also previously delivered an extension at Knole Academy.

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Decarbonising Construction Steps to Net Zero

Stuart Beasley is Head of Energy Solutions & Generation Services at npower Business Solutions. In this feature for UKCO discusses looking toward 2021 and the steps toward Net Zero.

As we look towards 2021 after what has been a turbulent year for many industries – construction included – one issue that has come to the fore as the UK plans its recovery is sustainability.  With the Prime Minister recently unveiling the government’s ‘Ten Point Plan for a Green Industrial Revolution’, closely followed by the publication of the long-awaited National Infrastructure Strategy at the same time as the Spending Review, and The Energy White Paper, the focus on delivering a built environment that is fit for a sustainable future is now firmly in focus.

It is estimated that the built environment contributes up to 40% of UK’s emissions – including the construction, operation and maintenance of buildings – with the UK Green Building Council (UKGBC) stating that around 10% of emissions are directly attributable to construction.  This includes everything along the supply chain, from the manufacturing of building materials – typically a highly energy-intensive process – through to transportation and the construction process itself.

Therefore, there is a focus on how the industry can reduce carbon in the way infrastructure assets are designed, built and maintained.

Steps are already being taken to address the decarbonisation challenge, with organisations such as UK Concrete recently publishing its ‘Roadmap to Beyond Net Zero’ which looks at how net zero can be met through decarbonised electricity and transport networks, fuel switching, the use of low-carbon cements and concrete as well as using newer technologies such as carbon capture, usage or storage (CCUS) for the manufacturing of cement.

The UKGBC has also recently published new guidance – ‘Unlocking the Delivery of Net Zero Buildings’ – designed to help break down barriers when it comes to designing and constructing net zero buildings.

Similarly, construction businesses are setting their own ambitious targets, including Wates Group targeting zero waste from all on-site operations and zero carbon emissions from operations and vehicle fleets by 2025, and Mace announcing in January that it would be net zero this year.

The National Infrastructure Strategy in particular looks at how UK infrastructure can be ‘transformed’ to achieve net zero emissions by 2050, with a focus on new generation assets such as offshore wind and nuclear, as well as £13bn to accelerate charging infrastructure to accelerate the mass adoption of electric vehicles.

With this in mind, what are the top steps construction businesses can take in the short to medium term to reduce emissions and embark on their road to net zero?

1. Use sustainable materials – As mentioned, producing building products can be a very energy intensive process.  Therefore, looking at more sustainable materials – which contain lower embodied carbon – should be high on the agenda. It is important to assess the low-carbon credentials of each product used as part of the construction process.  For example, as part of its ‘Roadmap to Beyond Net Zero’, UK Concrete stated that “a net negative industry by 2050 will be achieved by using the natural, in-use properties of concrete which include its ability to absorb carbon dioxide during use, and the benefit of using the thermal properties of concrete in buildings and structures to reduce operational emissions.”  In addition, a focus should also be on the manufacturing process itself, for example, earlier this year brick manufacturer Ibstock announced plans to pilot at least one net zero factory, with the company outlining its intention to set a net-zero carbon goal for its operations in the near future.
2. Green your fleet – In its Ten Point Plan, the government outlined it would invest £20 million in 2021 on freight trials to pioneer hydrogen and other zero emission lorries. It also announced its intention to accelerate the move to electric vehicles (EVs), however, with the cost of EVs currently higher than petrol or diesel, building the investment case can be difficult.  However, the benefits should outweigh the negatives.  For example,moving to EVs will help reduce Scope 3 emissions i.e. the indirect emissions that occur in a company’s value chain including up and downstream transportation and distribution, which can often be a requirement for a  customers’ sustainability requirements.
3. Invest in energy efficiency –  Energy efficiency is a ‘no regrets action’, particularly if you have a plant, office or on-site premises that could benefit from relatively ‘quick wins’ such as switching to more efficient lighting, air conditioning and heating, as well as bigger investments such as implementing a smart energy management system. Using real-time data collection and analysis can enable your business to spot and correct areas of waste, or to assess the effectiveness of each new energy efficiency measure implemented.  An energy audit can identify improvements including looking at times of use, efficiency of infrastructure and processes, and how to change employee behaviour to help reduce emissions or costs.
4. Improve waste management – waste is often produced when excess materials are ordered for a project.  Each of these additional products has a carbon footprint attached to it, so accurate estimating is crucial, as is having an effective recycling strategy, so these materials can be reused on other projects.
5. Procure ‘green’ power – Buying and using renewable power for offices and plants is another way to offset carbon emissions. There are two potential options. The first is generating local energy by installing on-site generation. Or, if space or capital are not available, then local generation schemes – for example large-scale solar or wind solutions – can be used to offset future energy demand via a Power Purchase Agreement (PPA). When it comes to on-site generation, there is now a great deal of choice including CHP, wind, solar photovoltaic (PV) or biomass. Organisations need to make sure that any plans for on-site generation are scoped appropriately, so they can assess where the payback and benefits are – for example, for companies with large plants that have significant roof spaces, solar may be the best option.

The recent government announcements are likely to kick off a string of net zero policies and initiatives – including the Net Zero Review and Industrial Decarbonisation Strategy – as the UK prepares to host COP26 in November 2021.  As such, sustainability will be one of the biggest trends next year, so collaboration across the whole construction process and between all parties – including developers, designers, engineers, contractors and building products manufacturers – will be key to success.

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Keir Appointed to £10.5bn NHS Framework

Kier are pleased to announce that it has been appointed to the £10.5 billion NHS Shared Business Services public sector construction framework.

The framework is for use by NHS and all public sector organisations within the UK to procure for building and construction works. This includes demolition, upgrades and refurbishment projects, as well as design and build schemes.

The framework consists of five lots. Kier  has been appointed to Lot 4, for projects ranging between £15 million and £35 million throughout the UK and Lot 3, for projects that are worth £5 million – £15 million in the South West, South East, London, Eastern England, West Midlands, East Midlands, North West, Yorkshire & North Lincolnshire, North East, Wales, and Scotland.

NHS Shared Business Services was established by the Department for Health and Social Care (DHSC) in 2005 and is a joint venture between the DHSC and Sopra Steria. This new framework is set to run for an initial three years, with there being a possibility to be extended for a further four years. This framework also requires all partners to have a focus on collaboration, modern methods of construction (MMC), sustainability and social value.

Liam Cummins, Group Managing Director for Kier Construction, said: “I am delighted that we have been appointed to another public sector framework, where we can utilise our sector leading experience and knowledge in health, education, justice and defence, to support the delivery of vital new infrastructure for clients and communities across the UK.”

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Brownfield Fund to Include Self-Build Plots

Following recent announcements in support of custom and self-build homes, the UK Government has announced that it is to launch a £100 million Brownfield Land Release Fund this month (January 2021).

The Brownfield Land Release Fund will look to support the development of brownfield estate regeneration and development on public sector land and, will also support the creation of self- and custom-build serviced plots. This announcement reflects the Government’s ambition to create more new homes for England’s cities, and is available to all councils throughout England, with the exception of Mayoral Combined Authorities.

The guidance notably states that “a significant portion of the new £100 million will go toward supporting self- and custom-builders, which is a growing sector that the Government is committed to.”

The UK Government is urging councils to prepare their bids, although bids cannot be completed until the prospectus is launched.

Andrew Baddeley-Chappell, CEO of the National Custom and Self Build Association, said: “This is more welcome news for the custom- and self-build sector. The investment in bringing forward carefully selected sites for serviced plots of land offers the opportunity to deliver a number of exemplar sites across England.

“These will act as a further catalyst for further growth as England seeks to catch up with the rest of the world with regards the level of quality, innovation and choice in our new homes market.”

Wide custom- and self-build support announced recently includes:

• Announcement of a government review of the Right to Build legislationto ensure it’s working to support custom and self-builders
• Announcement that the “the data councils collect on self- and custom-build in their area will now be published annually”by the government.
• Announcement of the forthcoming launch of a government Help to Build equity loan schemefor custom- and self-builders

Plus, recently launched by the Right to Build Task Force:

• Launch of Custom and Self-Build Planning Guidanceto support greater delivery
• Launch of a new website with updated advice notes righttobuild.org.uk

Housing Secretary Rt Hon Robert Jenrick MP recently said: “We are backing people who want to design and build their own home and I have launched a review to ensure councils provide enough land and take proper consideration for these homes when making planning decisions in their area.”

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Three Predictions for Successful Construction Rebound

Mike Smith is Managing Director (Direct) of Virgin Media Business, in this feature he shares his predictions for a successful construction rebound in 2021.

Covid-accelerated digital transformation revolutionised construction in 2020.

The speed of change was extraordinary. When the first lockdown struck in March, construction businesses had to switch to remote working overnight to survive and stabilise.

But according to our research and interviews with industry leaders, not all of them were prepared for this upheaval. Just 20% told us they were ready to adapt to the pandemic. 30% said that the speed of change left them unable to consider security risks. Lack of integration was also an issue, with 25% pointing to incompatibilities as significant problems. Supply chain delays and the suspension of some site work also created difficulties, especially during the first national lockdown.

But as the year closes, the mood among construction leaders is more optimistic. 67% believe the industry is well-placed to recover. With the Chancellor’s Stamp Duty Holiday in effect, the Government’s extension of the Help To Buy scheme and construction sites remaining open, not to mention the Covid-19 vaccines, this positivity is well-founded.

I believe 2021 will be full of opportunity for the construction industry, as it switches from surviving and stabilising to thinking about rebound and growth. While there is still a lot of uncertainty in the air, we think three technology trends will be important as we leave this revolutionary year behind.

From universal homeworking to Operate From Anywhere

Before Covid-19, only 30% of decision makers in the construction industry ranked mobile working as a top priority for their organisation. This has since skyrocketed to 70% of leaders.

Research from Sir Robert McAlpine found 66% of construction firms want to retain remote working options beyond the end of the pandemic, while a further 63% intend to keep flexitime working.

This is a positive development because studies show workers are more productive when operating from home and feel more fulfilled. As one C-Suite leader put it, “Covid has positively forced us to do what we always thought was impossible: give our workforce the freedom to work remotely”.

But in 2021, a key challenge for the construction industry will be shifting from mass homeworking to a hybrid model. Mass immunisation will mean that many workers – engineers, architects, and project management staff – will be able to return to the office, while frontline workers continue on site.

In this “Operate from Anywhere” model, employees will need to be able to collaborate seamlessly and securely across multiple locations.

And this will elevate the importance of advanced connectivity solutions. Especially those capable of providing greater flexibility and agility for organisations, such as SD-WAN, which provides network managers with greater visibility and control over their bandwidth.

Our research suggests construction leaders now see advanced connectivity as a priority for their organisation. 50% now regard SD-WAN as a critical to their future, compared with just 30% before the pandemic. And 80% now say network capacity is fundamental to supporting flexible working in their business.

In 2021, we will see these attitudes translate into willingness to network investment, as more construction leaders recognise their fundamental role in powering hybrid working.

Emerging technologies will be embraced

The construction sector has made many years of digital progress in just a matter of months.

McKinsey found that Covid-accelerated digital transformation has improved planning and resource monitoring processes. By drawing on e-Sourcing and digital stock management systems, end-to-end software platforms are enabling construction companies to better control and integrate value into supply chains.

The success of these digital initiatives is fuelling more open, optimistic attitudes towards emerging technologies. 55% of construction leaders told us that they are more open to IoT and analytics solutions to help with employee safety, automation, and predictive maintenance. So, in 2021, we expect to see an increase in adoption of these innovative technologies.

We will also see immersive technologies become more commonplace in 2021. Already, some organisations are adopting virtual and augmented reality to support virtual tours of sites, helping reduce on-site footfall, and keeping staff safe and projects moving.

And smart helmets and rugged wearables are providing workers with instant on-site feedback, helping them benefit from safety features such as health trackers and emergency alerts sent instantly to their field of vision.

The risk is that a critical part of these emerging technologies is overlooked. Connectivity, of course.

Our study of 252 senior IT managers recently found that although there is widespread enthusiasm for next-generation technologies, only 48% are actively planning to upgrade their networking infrastructure to support them.

It is important that construction decision-makers make the link between future-proofing their organisations and upgrading their networking technologies. This recognition will be critical in enabling their businesses to rebound and flourish beyond the pandemic.

Overcoming fragmentation

A challenge the construction industry has faced in the past is fragmentation, hindering project management.

The number of parties involved in construction projects can mean that ensuring a consistent quality of work across the supply chain can be challenging for managers and senior stakeholders.

As one construction leader we interviewed put it, “there is little ability to fact-check information regarding delivery time, completion status, or anything else, as (managers) don’t have access to subcontractors’ systems or supply chains”.

But cloud-based project management and collaboration software, the adoption of which has been accelerated by Covid-19, is helping to address the problem. It is allowing the client, design team, engineers, consultants, contractors, subcontractors, and operatives to collaborate seamlessly, reducing waste, eliminating costly errors, and avoiding project delays.

We expect this to continue in 2021, as programmes such as Monday.com, Corecon and CoConstruct are more widely adopted across the industry, improving efficiency, visibility, and accountability throughout the construction project network. This will prove vital as the sector looks to rebound.

Grasping the opportunity

The construction industry is vital to the UK economy. Economic output from the sector amounted to £117 billion last year, representing 6% of overall GDP. It employs 2.4 million people.

So, we should all be pleased that the outlook for the industry in 2021 is positive. Even more promising is that construction leaders are increasingly recognising the importance of networks and the cloud and showing a willingness to invest in emerging technologies.

By taking a proactive approach to digital transformation, and continuing to invest in advanced connectivity, construction leaders can ensure they are well-placed to recover, rebound and race ahead in 2021.

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Coventry and Oxford Set to be First All-Electric Bus Cities

UK Transport Secretary Grant Shapps has announced that Coventry and Oxford are developing proposals to become the UK’s first all-electric bus cities.

The two cities are currently developing business cases in an England-wide competition to swich an entire town or city’s bus fleet to electric vehicles. If the business cases win, each city could be awarded up to £50 million not only to replace its entire fleet of buses with all-electric versions, but also to install new infrastructure, for example charging stations, as well as paying for electric grid updates.

By changing to a cleaner and greener bus fleet, the air quality will be improved, which will also lead to a reduction in emissions. This in turn will help to deliver on the Government’s efforts to decarbonise the transport network, as well as supporting local businesses and jobs in the UK developing green buses.

Mr Shapps said: “As we build back greener from COVID-19 we can provide people with more environmentally friendly transport and cleaner air.

“Coventry and Oxford could soon be at the forefront of our plans for a new era of bus services, helping us develop the green transport network of the future and support jobs right here in the UK.”

The Government has received 19 bids from across England to become the first all-electric bus town or city. Applicants were required to:

• Demonstrate buy-in from stakeholders in their local areas
• Outline existing plans to reduce greenhouse gases and improve air quality
• Show how the plan would tackle an existing air quality problem

Andy Street, the Mayor of the West Midlands, said: “This news is brilliant for Coventry and the West Midlands, and I am delighted the Secretary of State and his department have once again put their faith in our region to deliver.

Turning all of Coventry’s bus fleet electric is not only a major boost to public transport in the city, but it will also help tackle the climate emergency we face both here in the West Midlands and the wider UK.”

Oxfordshire County Council Leader, Cllr Ian Hudspeth, said: “Oxfordshire’s bid comes at a time when our council is determined to take concerted climate action to cut vehicle air pollution and expand the provision of bus services with our Zero Emission Zone and Connecting Oxford plans. This council is committed to offering our residents a clean and environmentally sustainable future through a series of steps including through better public transport.”

The government will work with the two local authorities to finalise their business cases over the coming weeks.

The all-electric bus towns and cities competition is part of a wider package of measures to improve services and make bus journeys greener, easier and more reliable.

In February 2020, the government announced £5 billion for a new golden era for buses and active travel. The UK’s first-ever long-term bus strategy will be launched in the coming months to ensure buses are prioritised in the future.

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Race for £7bn School Framework Renewal

The Department of Education (DfE) has started a tender process for a new line-up of firms to deliver its £7 billion school building programme over four years.

There are more than 30 contractors on the existing schools and further education colleges mega framework, all of which will need to reapply to join the new panel of preferred contactors, which will be selected in Autumn 2021.

DfE chiefs are getting ready for a major school building push, as promised by UK Prime Minister Boris Johnson, as part of his COVID-19 infrastructure recovery programme.

More than £1 billion is to be released shortly to fund the first 50 projects of an ambitious, 10-year school rebuilding programme, starting from 2020/21. The first of these projects is set to be confirmed in Autumn 2021, with construction on the first sites to begin in September 2021.

Much like the previous framework, firms can bid for 22 lots. For high-value projects over £12 million, England is being split into North and South regional panels of building contractors. Medium value projects, valued between £5 million and £12 million, are to be divided into eight regional lots and lower value schemes into a dozen regional lots.

The DfE Constriction Framework lots include:

High Value Band:

• North: Total spend £1.25 billion – 5 firms
• South £2.25 billion – 7 firms

Medium Value Band:

• North East of England and Yorkshire: £300m – 5 firms
• East Midlands: £200m – 5 firms
• East of England: £300m – 6 firms
• London: £720m – 6 firms
• South East of England: £400m – 6 firms
• South West of England: £250m – 5 firms
• West Midlands £200m: – 5 firms
• North West of England: £150m – 4 firms

Low Value Band:

• North East of England: £75m – 4 firms
• Yorkshire and the Humber: £75m – 4 firms
• East Midlands: £60m – 5 firms
• East of England A: £60m – 5 firms
• East of England B: £75m – 5 firms
• London: £150m- 6 firms
• South East of England A: £150m – 6 firms
• South East of England B: £75m – 5 firms
• South West of England A: £50m – 4 firms
• South West of England B: £60m – 4 firms
• West Midlands: £75m – 5 firms
• North West of England: £75m – 4 firms

Firms have until 5^th February 2021 to submit prequalification information. If you are interested, you can find more information here.

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A Year of Innovation and Collaboration

2020 has been an extraordinary year and has presented several unprecedented challenges for the UK’s construction industry, but COVID-19 has also provided unique opportunities for innovation as we look to move forwards and out of the pandemic. Charley Wainwright, The Future of Construction lead at national framework provider Pagabo, discusses what learnings this year has provided and considers what might be to come in 2021.

Enhancing productivity and closing the skills gap

If this year has taught us anything, it is the importance of a collaborative approach in construction, as well as a clear and refined focus on the future. We hope that construction continues to innovate through modern methods of construction (MMC), which is something that we have seen a huge uptake in over the last year or so, especially in student accommodation projects, high-rise apartment blocks, and modular buildings.

This expansion into MMC will allow contractors to build more efficiently and at greater speed – both of which are crucial in facilitating the UK’s economic recovery. Our collaborative work with The University of Sheffield Advanced Manufacturing Research Centre (AMRC) is set to challenge current methods in the sector and pioneer fresh ideas and innovations, taking learnings from the manufacturing industry to drive new ways of working and to embrace technology that increases productivity levels.

In conjunction with the requirement for greater collaboration is the much-needed closure of the skills gap in order to make the construction industry a more attractive place to work. As a result of mass job losses throughout the year, the most recent unemployment rate for July to September was 4.8% according to the Office for National Statistics (ONS) – which is an increase of 0.7% compared to the previous three months and meant that 1.62 million people were unemployed.

The construction sector is an industry where there is always opportunity for growth and development. Because of this potential, we must continue to place focus on our industry-wide engagement to create the construction industry of the modern day, in which we ‘do things better’. Our work at Pagabo will include working on the creation of modern construction qualifications that centre on modern practices and technologies to ensure that qualifications keep pace with the innovation we hope to see within the sector. It’s been clear over the latter part of 2020 that construction is set to be central to the post-COVID economic recovery, so it’s more important than ever that we plug the skills gap and ensure that construction is not just seen as a job, but an enticing career option.

The emphasis on wellbeing

It is no secret that suicide rates among those who work in the UK construction industry are three times higher compared to the national average. Stereotypically speaking, construction workers are renowned for their stoic and tough demeanour, and while these are not negative characteristics, they often result in the overwhelming need to be self-sufficient and can result in people not reaching out for help. For these very reasons, alongside the evidence we have to hand, it’s imperative that the industry takes more of a proactive approach to supporting those who may be suffering – often in silence.

There is still very much a crisis surrounding mental health and wellbeing within the sector and although large parts of the responsibility will fall upon individuals and the cultures of businesses in the industry, there are now tools that can be used in order to support the mental health of personnel in construction. One such tool is Moodbeam’s wearable health tech, which provides a unique solution to understanding and appreciating how employees are feeling at work via real-time reporting. With improving mental health provision within construction being the focus of the Pagabo Foundation, we are proud to be continuing to work alongside Moodbeam to combat mental health issues and the stigma that still exists particularly within our industry.

A focussed approach

There is no question that the construction industry is crucial to the UK economy and, as such, we were one of the sectors that was encouraged to continue working when the rest of the country was placed into a national lockdown in March. Boris Johnson’s ‘Build, Build, Build’ mantra is most certainly something that we will be aiming to latch onto in order to get ourselves out of the current tumultuous economic climate.

The latest iterations of Pagabo’s Major Works and Professional Services framework went live in the early weeks of lockdown, meaning that our launch plans had to adapt very quickly in order to provide our high-quality support to our ecosystem. This was only possible due to the implementation of digital communication – something that we have all become overly familiar with since March. We expect that the use of technology in this manner will continue in 2021 as we continue to battle the impact of COVID-19, but we also expect that many companies will take a blended and flexible approach when life does return to normality.

Face-to-face meetings and physical site visits will always have an important place in the construction industry, but the forced adaption to technology such as video conferencing we have all gone through in 2020 has found a firmly rooted place in practices moving forwards – and will help companies in a multitude of ways, from time saving to reducing carbon emissions.

We have rounded off the year with the awards to our brand-new developer-led framework, worth £47bn. Procurement practices like our own will be critical in helping public sector bodies bounce back as quickly as possible, providing a simple, effective, and compliant route to market.

The COVID-19 recovery will put a growing focus on social value, especially as public sector bodies face tighter budgets and need to show real, demonstrable return on investment.

As an organisation that puts social value at the heart of everything we do, we will be focusing on how we can help our clients and wider ecosystem generate positive social impact, as well as positive change for the industry as a whole. We are listening to clients and understanding which projects our public sector clients are looking to procure and when. We are also sharing that information with our partners where and when we can – to instil confidence and help them plan for 2021 and beyond.

Moving forward, everyone in the industry needs to work collaboratively with their clients to gain a better understanding of their issues, needs and requirements moving into 2021 – only through this can we all move forwards into what we all hope will be a year of greater productivity and collaboration, and one that sees a significant construction boom.

At Pagabo, we are passionate about being a solution-focused organisation and working alongside clients to deliver the very best outcomes for them. Despite approaching a new year with a somewhat unclear idea of what the next 12 months will look like, we will continue to champion and drive innovation and finding new, better ways of working, which will hopefully play a part in bring key schemes and developments to the industry.

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Homes England Reappoint Cushman & Wakefield

Cushman & Wakefield are pleased to announce that it has been reappointed to the national Homes England Economics Framework.

The new Strategic Research and Economic Analysis Professional Services Framework 2020-2024 is a national framework which any public body can now procure services from.

Services included in the Framework are: economic appraisal, business case development, impact assessment/evaluation and economic research/modelling.

Cushman & Wakefield has been providing economic appraisal and business case services to Homes England since 2018, with the key focus being on supporting Homes England in securing investment to acquire sites and/or deliver infrastructure in order to unlock housing delivery. The firm also leads a wider team comprising consultancies Capital Economics, GHD and ERS Ltd to provide a comprehensive offer across the spectrum of services.

Ben Pretty, Partner at Cushman & Wakefield and Framework lead, said: “I am delighted we have been reappointed as a preferred advisor to Homes England on this prestigious national economics panel. Our combined economic and market facing property expertise means that we are very well placed to support Homes England’s housing delivery agenda going forward. Despite the current macro-economic instability, housing delivery remains a key national priority and Homes England’s role in promoting innovation/productivity and addressing failures within the market is critical to meet housing needs going forward.”

Keith Hardman, National Head of Development at Cushman & Wakefield, added: “I am very pleased by this further appointment which sits alongside and complements Cushman & Wakefield’s existing appointment to the Homes England Property Panel. It’s testament to the breadth of our development offer and our ability to articulate the intrinsic links between property-related and economic outputs.”

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Nexus Planning Becomes Carbon Negative

Following an intensive data collection process to calculate the company’s 2019 CO₂ emissions, Nexus worked with Carbon Footprint to double offset its emissions for the entire year, earning the consultancy the status of ‘Carbon Neutral Plus’, which is the equivalent of carbon negative.

Nexus worked in partnership with the carbon reduction company to initially become carbon neutral. However, during the process, Nexus decided to take a step further to become carbon negative in recognition of the company’s commitment to the global climate crisis. This involved removing more carbon than Nexus creates each year and offsetting double its annual emissions.

The carbon assessment reviewed all trips made by Nexus employees during the period 1^st January – 31^st December 2019, as well as the CO₂ emissions from the consultancy’s three offices in London, Manchester and Reading. Following collection, Carbon Footprint then analysed the data and produced a report summarising the company’s emissions.

Nexus Planning 2019 Emissions Report – conclusions

• The total footprint for Nexus Planning during the assessment period is 100.33 tonnes CO₂ emissions. This is equivalent to 1.9 tonnes per employee. An average consultancy like Nexus would usually emit 1.8 tonnes per employee. The carbon footprint is therefore broadly similar to what an average consultancy emitted in 2019.
• The most significant emission source is gas consumption, accounting for 36.2% of the company’s carbon footprint.
• Car trips across the company account for half (48.9%) of all transport emissions, flights 18% and rail travel 29.1%.
• The commuting data showed that nearly 70% of all commuting trips are by rail and 25.57% are by car (with the remainder being bus/tram travel).

Roger Tustain, MD of Nexus Planning, commented: “We’re thrilled to reach carbon negative as a company. The environmental agenda is extremely important to Nexus, so reducing the company’s carbon footprint is our first significant step in helping address the global climate crisis. We’re also pleased to be giving back to schools by planting trees in the grounds; education is a key area of work for us as a business, so this project is particularly close to our hearts. Looking ahead, in 2021 we will be exploring how Nexus can reduce its emissions in-house, to reduce the carbon footprint as a company. Using Carbon Footprint’s report, we will be updating our company policy on carbon reduction and sustainable working practices as we work towards a brighter future for our planet.”

Dr Wendy Buckley, Client Director at Carbon Footprint Ltd, commented: “Nexus Planning has taken leading steps to formally assess its carbon footprint and compensated for all emissions by supporting UK tree planting projects – in schools and nature reserves – as well as protecting trees in the Brazil Amazon Rainforest. As well as abating climate change, these projects actively support biodiversity.”

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Changes to the IR35 Rules Explained

Claire Halle-Smith, partner at law firm Wright Hassall, explains the background to the new IR35 rules governing the use of contractors and freelancers and how businesses need to prepare.

Businesses in almost all sectors have traditionally used the services of self-employed contractors, consultants and freelancers as an additional pool of skilled resource in order to complement their permanent workforce.

With the uncertainty of the pandemic and ongoing Brexit negotiations prompting businesses to enlist freelance support so they can continue growing in the current climate, it’s important that business owners keep a close eye on IR35 developments.

If you are a contractor, or a client company with contractors on your books, you will know the IR35 rules will be changing from 6 April 2021 which will impact the way services of such contractors are purchased.

How we arrived at this point

By providing their services to an organisation via an intermediary, usually a personal service company (PSC), contractors, and the client company using them, were able to enjoy significant tax advantages.

However, HMRC’s belief that PSCs were specifically being used as tax avoidance vehicles led to the implementation of the off payroll working rules (otherwise known as IR35) in 2000, designed to address ‘disguised’ employees.

In 2017, the IR35 rules were amended. Public sector organisations were made responsible for determining the employment status of those they contracted via PSCs and for paying the income tax and NIC for those deemed to have employee, rather than self-employed status.

From 6 April, this requirement is being extended to large and medium-sized businesses in the private sector, meaning adjustments will need to be made.

What now for employers?

All client companies in the private sector will have to comply unless exempted by meeting at least two of the following criteria:

• An annual turnover of less than £10.2m
• Balance sheet total of less than £5.1m
• Fewer than 50 employees

Non-exempt organisations must determine the nature of the employment relationship they have with their contractors. This has proved key in a number of recent challenges brought by HMRC and the four main principles on which the relationship will typically be judged are:

1. Control: what control do you have over the contractor (e.g. what, how, when and where they work)?
2. Substitution: can the contractor substitute a suitably qualified person to act in their place?
3. Financial risk: how much financial risk is borne by the contractor?
4. Mutuality of obligation: are you obliged to give the contractor work and are they obliged to accept any work you give them? (The HMRC online test to check employment status, CEST, does not consider Mutuality of Obligation, assuming that it exists in every contractor engagement).

Having assessed the employment status of their contractors, the organisation must issue them a ‘Status Determination Statement’ (SDS) which confirms whether the contractor is genuinely self-employed or now considered an employee, giving reasons for the determination.

HMRC will deem the client company liable for tax and NI contributions until the contractor (and agency or other organisation that contracts with the client company) is told of the status determination and reasons for it.

When the contractor is deemed to have employee status, subject to tax and NI contributions, both parties will need to consider how to deal with the additional tax cost.

Companies must ensure their systems are structured appropriately for IR35 and create a system for addressing any challenges raised by contractors in terms of the employment status determination, with legal advice a helpful step in getting things right.

Drawing the right conclusion

Organisations that employ the services of contractors and those people currently providing those services, either directly or via a PSC, should review the terms of their engagement thoroughly.

Client companies are liable for tax and NI contributions until they tell the contractor and the person the contractor contracts with, of its determination and the reason for it.

HMRC shows no sign of softening its stance towards those it suspects of tax avoidance and it will be learning from experience to improve its future success rate in court.

Do not be tempted to bypass IR35 by other means and treat any advice to implement a tax avoidance scheme with considerable caution, as most do not work and do not have HMRC’s blessing.

If you are unsure about any of the developments outlined, then contact an experienced team of lawyers for advice and guidance, who will help you maintain compliance once the new rules are introduced.

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