Jaguar Land Rover to receive £16.6M grant

The Chancellor George Osborne has announced that nearly 200 highly skilled engineering and manufacturing jobs could be created in the Midlands due to £16.6M research and development funding.

Whilst visiting Jaguar Land Rover’s engine manufacturing facility in Wolverhampton, Mr Osborne confirmed that a grant of £16.6M would be made available to a research consortium led by Jaguar Land Rover. The funding will go towards the development of a more efficient transmission system that could be used in future models of their vehicles.

An initial 60 jobs will be created in research and development and could potentially lead to a further 130 manufacturing and engineering jobs being created if successful. The funding will also safeguard the positions of a 150 roles.

The Chancellor commented: “I’m determined to build on the success of Britain’s Engine for Growth in the Midlands, and today’s announcement is a crucial step in our plan.

“In the Spending Review I set out how we’re making significant investments in the Midlands, across transport, energy and culture. This grant is a further example of how this Government is backing businesses in the Midlands to grow and create jobs and support working people at every stage of their lives.”

The government grant is being awarded through the Advanced Propulsion Centre and will be matched by funding from the automotive industry, bringing the total project fund to over £33M.

The APC is a 10-year £1 billion partnership between government and the automotive industry to bring together innovators and producers of low carbon propulsion systems with the aim to transform Britain into a world leader for low carbon development and production.

Dr Wolfgang Epple, Director of Research and Technology, Jaguar Land Rover, said: “We are delighted that the Chancellor has announced £16.6M APC funding to support the consortium’s investment in this collaborative research project. This innovative research will investigate the feasibility of potential future transmission technologies. This innovative transmission could offer reduced weight, improved fuel economy and improved driveability on and off-road.

“Collaborative research like this is hugely beneficial for all partners including academia, the supply chain and the automotive industry. The collaborative research programmes we lead bring together some of the best engineering minds in the UK and allow us to multiply the effect of our investment and nurture UK-based technology investment. This approach is helping to develop the skills and technologies that will make the UK even more competitive.”

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New infrastructure survey reveals construction industry confidence

A new survey has revealed that the construction industry is in confident mood as the UK undertakes some of the largest infrastructure projects seen in decades.

The Infrastructure Outlook Report, which was commissioned by Tarmac and conducted by Ipsos Mori polled 300 senior decision makers within the construction industry and revealed that more than two thirds (68%) of respondents were confident about the overall outlook for infrastructure over the next year.

Tarmac Chief Executive Cyrille Ragoucy said: “It’s great to see that the construction industry is in a confident mood, but there is no room for complacency.

“Challenges remain in meeting the UK’s infrastructure requirements and there is concern about the delivery in the years ahead.”

However, there were concerns raised about HS2 and a lack of awareness of the Northern Powerhouse.

In a blow to the Chancellor George Osborne, the survey revealed that 86% of company bosses working in infrastructure knew little or nothing at all about the Northern Powerhouse.

Only 13% said they knew ‘a great deal’ or a ‘fair amount’ about the project.

Yesterday, the Chancellor announced the HS2 link between Birmingham and Crewe will open in 2027, six years ahead of original plans.

The HS2 link from London to Birmingham and the planned HS3 link between Manchester and Leeds received an unenthusiastic response from respondents. The results from the survey suggested that construction companies were far keener to see road networks maintained and upgraded.

Over 50% felt that London would be the biggest beneficiaries of the government’s infrastructure plans, with only 4% feeling the North West would benefit the most.

66% thought the government needed to do more to meet the UK’s long term infrastructure needs, feeling the nation still fell short of what is being delivered by countries internationally.

Andy Rowley, Tarmac Commercial Director, said: “The Northern Powerhouse is a flagship Government initiative to drive the economies of the North. But, while 62 per cent of respondents have heard of its name, most actually know nothing or little about what it actually is, suggesting that the concept needs to be fleshed out with more tangible programmes.

“The North is making steps, including in building infrastructure, to enable northern businesses to win more opportunities and create the wealth and jobs needed.”

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Morgan Tucker appointed two multi-million pound housing frameworks

Morgan Tucker are celebrating a double win after being appointed two multi-million pound M&E frameworks for two different housing associations.

The firm manages around £1.2Bn worth of construction schemes annually, and have now been successful in winning two competitive tenders for both Swan Housing’s and L&Q Housing’s latest frameworks.

The Swan Housing framework, which is for four years, will allow Morgan Tucker to bid for work outlined in two lots, structural engineering worth up to £1.5M and M&E consultant worth up to £750,000.

Swan develops affordable, rented projects, low cost home ownership projects, intermediate rent and key worker accommodation and properties for sale.

It operates predominantly in London and the South East. It is expected that in excess of 500 homes per year will be developed over the next two years in and around London, including large regeneration schemes at Swan’s developments at Blackwall Reach, Poplar and Craylands in Basildon.

The L&Q Housing Association work, which operates throughout the South East, is also set for four years and will see Morgan Tucker be able to bid for M&E work as part of their plans to complete a total of 5,200 new homes at a cost of £960M.

Bids are open for provision of design services to enable the delivery of the new build, refurbishment, conversion, mixed use and master planning services in both rural and urban environments

Neil Tucker, Director at Morgan Tucker said: “Over the next four years we will be able to bid for works worth millions of pounds on the two frameworks, which will further solidify the growth and rapid expansion which Morgan Tucker has achieved over recent years – and will position us as leading providers of engineering in the housing sector in London and the South East”.

Morgan Tucker’s successes follow on from BES’s appointment to the Network Housing Group M&E Framework in London last year, making Morgan Tucker part of three major London Housing frameworks for M&E services.

Stand-out projects have included the design and delivery of the freight logistics for the Olympic Par and the engineering services for the Embassy Gardens development.

 

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Mission Innovation launched at the UN Climate Change Conference

Prime Minister David Cameron was in Paris to launch an international initiative that will see 20 countries double their state spending on clean energy research and development over the next five years.

The Prime Minister joined other world leaders in Paris including Presidents Obama and Hollande, President of the European Commission Jean Claude Juncker, ministers plus 16 other heads of government.

Mission Innovation will look to reduce the cost of clean energy by identifying where research, investment and development funding is most needed.

As part of its commitment to Mission Innovation’s targets, the UK is one of the countries that will double its central government spending and will work to increase collaboration between nations on clean energy projects.

Despite the costs of low carbon technology dropping significantly in recent years, further efforts are required  to allow countries to increase their mitigation ambition in the future.

Secretary of State for Energy and Climate Change Amber Rudd commented: “It’s clear we need to take urgent action to tackle climate change and move to a low carbon future to ensure our long-term economic security, that’s why I want a global deal in Paris which will help to create a level playing field for businesses and drive innovation.

“Investing more in R&D by both governments and the private sector is critical to ensure we harness and support the creativity, ingenuity and entrepreneurship of our universities and businesses in tackling the challenge of making clean affordable energy widely available.”

The government will focus £100 of its total spend  in 2020 on projects that will look to deal with the energy needs of developing countries and encourage low carbon development.

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BPF: Government must encourage industrial development as well as housing

BPF have warned that central and local government must recognise the importance of the industrial sector for economic growth and the role of logistics

The British Property Federation (BPF) have today published Delivering the Goods, which highlights the valuable contribution that the logistics sector makes to the UK – £100Bn Gross Value Added per year.

They are now calling on the government to recognise the importance of the logistics sector in the UK and the role the industry plays in the wider economy. With the increased competition for land from higher value uses such as housing, the BPF would like to see Government departments coordinate their approach to development to ensure that needs are being met for the wider industrial sector.

Melanie Leech, Chief Executive of the British Property Federation, said: “The logistics sector can often be overlooked, and few realise what a vital part it plays in our everyday lives. Delivering the enormous amount of online orders placed on Black Friday, for example, would not be possible without the logistics sector.

The findings in the report show that the logistics sector supports a minimum of 56,000 businesses, employing 8% of the UK’s workforce with around £2.2M jobs in the logistics sector. Employment in warehousing operations increased by 40% between 2009 and 2014. The salary growth is also 3% over the national average over the last five years. Within the sector, only 15% of employees work part time, compared to an average of 32% in other sectors.

Gareth Osborn, Chair of the BPF Industrial Committee and Head of Logistics at SEGRO, said: “With a shortage of industrial land, coupled with an increasing need for housebuilding, the industry faces great challenges when it comes to acquiring sites as well as securing planning permission for industrial uses. This report highlights the vital role the sector plays in our everyday life, as well demonstrating its contribution to the wider national economy.”

The BPF are asking to see coordinated infrastructure planning so that industrial land is given adequate provision in Local Plans, which can help ensure the delivery of road, rail, port, energy and digital connectivity to support the industrial and logistics sectors.

 

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New Liverpool-to-HS2 rail line mooted

A new rail line may be needed to connect Liverpool to the £56bn High Speed 2 scheme, an influential report has found.

Spending review 2015: Scepticism as Osborne pledges £73bn for roads and rail

Chancellor George Osborne has set out plans to spend £73bn on roads and rail over the six years to April 2021 - but slashed the Department for Transport’s revenue budget by more than a third.