Strand Technologies has clinched a prestigious AI Specification Award for its innovative Virtual Engineer – a technology solution for the control and diagnostics of automatic doors, gates and barriers.

It won the Product Design and Innovation Award (Electronic) category, sponsored by the Automatic Door Suppliers Association, at the 40th biennial event, held at the ‘Cheesegrater’ Leadenhall Building, in Central London.

Judges commented: “This product has innovation written all over it. It provides an effective solution which has the benefit of remote fault finding coupled with helping to reduce carbon footprint.”

Ken Price, ADSA’s Managing Director, presented the award to the Strand Technologies’ team – a landmark moment for the company which began trading in 2021.

Virtual Engineer was selected from a shortlist that also featured products from ASSA ABLOY, Codelocks and Salto Systems.

It uses a device which is attached to entrances and ‘talks’ to a cloud software platform for on-site or remote management. It sends alerts to flag up problems and identify potential causes – potentially saving time and money for engineer call outs.

Steve Marshall, Managing Director of Strand Technologies, said that the team was delighted to have scooped the award.

“It was a crowning moment that followed 18-months of hard graft to bring our products and services to the market. Our strength is in working with organisations to provide an holistic solution to the issues they are facing for effective asset management which in turn results in efficiency savings.”

Said Mr Price: “I would like to offer my warmest congratulations to Strand Technologies. This is a major accolade which recognises the problem-solving nature of a ground-breaking product that blends traditional electronic and digital technologies.”

The awards are organised by The Guild of Architectural Ironmongers (GAI) in conjunction with the Royal Institute of British Architects (RIBA).

CLICK HERE TO WATCH A VIDEO OF THE CEREMONY

 

 

For more information on Virtual Engineer or Strand Technologies other products

PLEASE EMAIL  info@strandtech.co.uk

or CLICK HERE TO VISIT THE WEBSITE

 

 

Knauf is delighted to announce a programme of events

to be held at its Clerkenwell showroom as part of

Clerkenwell Design Week on 24 – 26 May 2022.

 

Activities will include a mosaic workshop where people will get the chance to design and make their own mosaic on an AQUAPANEL® board, and an abstract fresco workshop where visitors can paint art using Knauf Airless Finish.

CPDs will be held including ‘Why acoustics matter and how to specify them’ on 24 May, and a brand new Knauf CPD on sustainability run in conjunction with Knauf Insulation on 26 May.

The Architects Benevolent Society will give a talk on the afternoon of 24 May about the support it offers to the architectural community and their families.

Throughout the week, visitors to the Knauf Clerkenwell showroom will also be able to try out Knauf’s new specification design tool, Knauf Planner Suite. An expert will be on hand to offer demos and answer any questions.

The event programme has been designed to tie in with three key themes of health, wellbeing and sustainability. Visitors can learn about Knauf’s sustainability efforts including its new recycled product packaging at the event.

Knauf has also pledged to plant a tree for each person who visits the showroom during Clerkenwell Design Week, in partnership with Trees for Cities.

Knauf’s showroom can be found at 20 Baltic Street, London, EC1Y 0UL

For more information and to register for an event

PLEASE CLICK HERE

The Prince of Wales has delivered the Queen’s Speech on behalf of Her Majesty the Queen, outlining 38 new bills.

The Prince of Wales highlighted that Her Majesty’s Government would aim to “grow and strengthen the economy and ease the cost of living for families”, while ensuring all corners of the country would have the opportunity to level up.

Key announcements included:

  • A Bill to drive local growth and empower local leaders to regenerate their areas
  • Legislation reforming the planning system to give local residents more involvement in developments in their area
  • A Transport Bill to deliver safer, cleaner services and enable more innovation, as well as the modernisation of rail services to improve reliability for passengers
  • An Energy Bill to deliver the transition to cheaper, cleaner and more secure energy
  • Draft legislation to promote competition, strengthen consumer rights, and protect households and businesses
  • Legislation to implement new competition rules for digital markets and the largest digital firms
  • Legislation to introduce reforms to education to raise standards and improve the quality of schools and Higher Education
  • The establishment of the UK Infrastructure Bank in legislation to support economic growth and the delivery of net zero
  • A Bill to enable European Union law to be more easily amended, and regulations on businesses to be repealed and reformed
  • Legislation to simplify public sector procurement to provide opportunities for smaller businesses
  • Legislation to strengthen financial services industry
  • Reforms to the existing data protection regime
  • Legislation to enable implementation of UK’s first new Free Trade Agreement since leaving the EU
  • Legislation to unlock the potential of new technologies for sustainable farming and food production, to encourage agricultural and scientific innovation
  • A Bill to further strengthen powers to tackle illicit finance, reduce economic crime and help businesses grow
  • Legislation to improve the regulation of social housing and strengthen the rights of tenants

INDUSTRY RESPONSES

 

LGA statement on Queen’s Speech: Renters Reform Bill/Social Housing Regulation Bill

Responding to the Queen’s Speech, Cllr Darren Rodwell, housing spokesperson for the Local Government Association, said:

“Proposals to strengthen both the role of the Housing Ombudsman and the Regulator in the Social Housing Regulation Bill are positive, to increase the rights of tenants and enable tenants to better hold their landlord to account.

“Councils want their tenants to have the security of a safe and well-maintained home with any issues quickly and satisfactorily addressed, and we are keen to continue working with councils, the Regulator and the Ombudsman to support the implementation of the reforms.

“We are pleased that the Government has committed to introducing legislation through the Renters Reform Bill to strengthen protections for private renters and abolish ‘no-fault evictions’. This is something the LGA and councils have been calling for the Government to introduce since it was included in its 2019 manifesto.

“A dramatic recent rise in the number of ‘no fault evictions’ from the private rented sector is putting additional pressure on homelessness services, so we are glad that a plan to strengthen safeguards for private renters is finally in place, allowing renters to challenge poor practice and unfair rent increases without fear of eviction.”

Mike Foster, CEO of EUA, said:

 

“We welcome an Energy Bill designed to promote Carbon Capture and Storage and help deliver large scale hydrogen heating trials. This puts consumers at the heart of decarbonising homes in the UK, giving people the choice between the relevant technologies – heat pumps, heat networks and hydrogen gas boilers. The latter will involve no additional upfront costs to the consumer and minimal levels of disruption and creates a secure energy supply free from the blood-stained hands of President Putin.

“We need to hear details of the business model that will deliver UK domestic production of this zero-carbon wonder-fuel, and practical action to make sure every home that wants cheap, zero carbon gas for their boilers, cookers and fires gets it.

“We need to urgently shift away from fossil fuel gas to hydrogen, using the world-class gas networks already underground to supply our homes and businesses. Now is not the time to consider re-wiring Britain; ripping out boilers to be replaced with £10 grand a time heat pumps would be a folly when clean gas is just around the corner.

“From our recent research of 2000 UK consumers, the majority of Brits agree. Over three quarters (77.7%) of respondents saying they would support the UK generating and distributing alternative, low-carbon gas through the existing grid to replace the imports of natural gas from countries such as Qatar and Russia. An overwhelming 82% also believed the government should prioritise affordability in the development of renewable technologies for heating homes in the UK. There is a clear message that costly alternatives like heat pumps will not be favoured by households in this cost-of-living crisis.

“Meanwhile, let’s also hear what the Government plan to do to keep bills down this winter. Massive investment in economically-viable energy efficiency schemes would be an entirely sensible step while the Energy Bill progresses through Parliament, creating the hydrogen future the Prime Minister and others have spoken about.”

 

Jonathan Hale, Head of Government Affairs at RICS, said:

“RICS and its professionals, are supportive of the levelling up of UK regions, and are working hard to unlock jobs and opportunities by supporting our high streets and communities.

“We understand the wish to bring empty property back to life, but those opening for business on high streets will need to meet the needs of the wider community. Government highlighted community led levelling up and planning in the speech, but forcing landlords in such a blunt way, may not fit with this vision.  Landlords do not want empty properties, but fit outs, planning permission, and insurance need to be considered as high streets necessarily evolve.

“We are pleased, that the Levelling Up Bill will be led by community driven planning, something we recently called for in relation to CRE*, and housing, and the bill must be used to drive ambitious changes.  However, we are disappointed that planning has been side lined – we have supported root and branch planning reforms and now look forward to seeing where government’s level of ambition for a reformed planning system is.

“We also call on Government to include financial incentives and government policies that support the renovation and upgrading of commercial assets within the levelling up actions, importantly including to hit net zero ambitions.  Well-managed commercial real estate boosts less developed areas, and promotes economic growth and social value*. Building communities, backed up by locally led commercial real estate is central to achieving levelling-up.”

 

Stephen Beechey, Group Public Sector Director at Wates Group.

 

“We welcome the Queen’s Speech today including the announcement of the Levelling Up and Regeneration Bill which will give local leaders the power to breathe new life into high streets. As a national business working on projects for both the public and private sector, we have extensive experience in delivering regeneration projects, from building net zero schools to developing energy efficient, affordable homes. We welcome this Bill as it will enhance our ability to deliver Levelling Up across the UK and regenerate communities.

“We are also pleased to the see the Government is continuing to push forward with the Procurement Bill. As a lead contributor to the Construction Playbook, this is a positive step ensuring procurement across the public sector is aligned to the highest standards.

“While we support much of this legislative programme, we would like the Government to go further and give urgent consideration to a nationwide domestic energy efficiency programme – something that would play a significant role in addressing current concerns around energy security, energy bills and the climate crisis.”

 

Paresh Raja, CEO, Market Financial Solutions

“Will they, won’t they – that was the big question surrounding the Planning Bill ahead of today’s Queen’s Speech. It is certainly positive to hear it mentioned, with the policy seemingly dragged back out of the proverbial long grass, into which it was kicked last year. As ever, the devil will be in the detail, but stating that “the planning system will be reformed” is a start at least.

“Let’s start with the obvious fact: the UK needs more housing, and fast. To achieve this, we need to make it easier to build more new homes and, crucially, also convert disused commercial properties into residential ones. Tabling the Planning Bill is a vital first step in hopefully addressing the red tape that prevents the delivery of new homes.

“Question marks hang over the purported decision to give local leaders more power to revitalise high streets, which was hinted at. It sounds promising, but the policy could miss the mark a little. Landlords seldom want their properties to sit empty – really the question whether there is viable demand from businesses to rent shops and offices, and at a price that ensures landlords can cover their costs.

“The continued efforts to raise standards in the private rental sector and protect tenants’ right is welcomed. It will be interesting to see how this takes shape.”

Jamie Johnson, CEO, FJP Investment

“It’s encouraging that today’s Queen’s Speech has signalled a renewed effort in favour of tackling geographic inequality across the UK as part of the forthcoming levelling-up and regeneration bill.

“In the face of the current pressing economic, social and environmental challenges, now more than ever, it is crucial that housing is put at the forefront of the government’s agenda and while a root and branch shake-up of the planning system is still required, the reforms referenced today are a step in the right direction towards increasing the number of homes that this country so desperately needs.”

 

Martin Tugwell, Chief Executive of Transport for the North, has welcomed today’s Queen’s Speech, which included references to improving transport and delivering on the levelling up agenda. 

He said: “It is reassuring to hear clear mentions of the need for rail reform in today’s Queen’s Speech, something that we and our region’s political and business leaders have been calling for and contributing to. Combined with a focus on innovation and decarbonisation, and underpinned by the ongoing commitment to levelling up, this is a welcome commitment to enhancing connectivity.

“We now need greater detail on the role of Sub-national Transport Bodies within the new Transport Bill, setting out how we can offer our regional insights and expertise to help deliver a new rail regulatory framework that puts passengers first. Transport for the North is ready and waiting to be at the forefront of the Government’s plans to make levelling up a reality and create a sustainable transport network across the North of England.”

 

Press Response: 

Cara Jenkinson, Cities Manager at climate charity Ashden said:

“The government missed an opportunity today to tackle soaring energy prices that are plunging hard working families into crisis mode.

“What we needed from the government to fix this, was a commitment to launch a funded national retrofit strategy that would turn icy houses into insulated homes, and lower emissions and energy bills at the same time.

“In addition, we wanted to see a reform of the apprenticeship system so that the UK can build a skilled green workforce, ready to take up the thousands of well-paid green jobs that would stem from an ambitious nation-wide retrofit strategy. Today we needed a rallying cry,  instead we heard a whimper.”

 

Richard Smith, partner at Sandstone Law, about the Levelling Up and Regeneration Bill:

“The government’s wide-ranging Planning reform White Paper was published in August 2020 and was heavily criticised.  It has since vanished into thin air. A  Levelling Up White Paper was published in February 2022 and now forms part of the legislative intentions for the 2022-23 session of Parliament in the Levelling Up and Regeneration Bill.

A number of planning changes are proposed under the ‘levelling up’ umbrella.   Changes to Permitted Development rights are hoped to enable expansions of public infrastructure. However the long term impact on high streets and town centres is a concern.   Currently shops can stand empty for years, blighting the high street and wasting opportunities for new jobs. New legislation could force landlords to rent out commercial properties.

The government has also stated its wish to reform developer contributions by the introduction of a new Infrastructure Levy. However, there is a danger that this could become overly complex, holding back development in some locations and undermining the promise of levelling up in key places.

The paper also includes continued commitments to brownfield land restoration that should go some way to levelling the playing field between green and brownfield development.  Unless brownfield development can be made to work better for all kinds of developers, there will inevitably be more urban sprawl.  It looks like the ‘levelling up’ agenda has subsumed ideas for wider planning reform.   The new Bill should present an opportunity to create a planning system that delivers the right homes in the right places, whilst allowing nature’s recovery.”

 

Andrew Eldred, ECA Director of Workforce and Public Affairs, said:

“Today’s speech showed a commitment to delivering Net Zero along with a recognition of the vital importance of better technical education and skills.

“We hope to see this promise realised in a tranche of new funding and support for industry-endorsed training to deliver the EV charge points, solar panels, heat pumps and battery storage systems that will place the UK in pole position in the race to Net Zero carbon.”

ECA Director of Legal and Business Rob Driscoll said:

“In leading Cabinet Office’s SME Advisory Group on payment, ECA has worked hard with Government to design a post-Brexit environment allowing for simplified procurement.

“The announcement in today’s speech should lay the ground for establishing UK procurement processes which embrace and unlock the potential of SME contractors as Government seeks to build back better.”

Mike Smith, ECA Technical Director, said:

“ECA and our industry partners have fought hard (and sometimes uphill) to improve the safety of people’s homes. While the recent Building Safety Act has brought us closer to our goal, today’s announcement should help provide a more uniform approach to electrical safety in social housing, including high rise residential buildings like Grenfell Tower.

“We expect further legislation to highlight competency as a key factor in making homes safer for residents, and we will be keeping a very close eye on developments to make sure that is the case.”

GEZE, a leading manufacturer of door and window control systems, is introducing Digital Building Days – three diverse days of expert discussions, products highlights, and exciting dialogue around the theme of liveable buildings.

The online conference takes place from 17-19 May with the whole event in English on Thursday 19th May (in German on the two previous days). It includes a full agenda that introduces Revo.PRIME – a new revolving doors that offers maximum design appeal and the new closer TS 5000 SoftClose that closes every door gently and securely.

Other subjects include BIM, fire protection and accessibility, quality assurance – how GEZE does it, and the process of manufacturing a door closer from the raw material to the packaged product.

 

For more information or to register click here.

 

Andy Howland, Sales & Marketing Director of GEZE UK, said “The Digital Building Days is a brand-new event for GEZE, with live introductions to new products, presentations and discussions. I hope it promises to be the first of many similar events. Online conferences are perfect to find out what’s new, all without leaving the office!”

More information on GEZE or its products visit the company’s website or email info.uk@geze.com.

Following the release of the latest UK Construction PMI today (6 May 2022), Brendan Sharkey, Head of Construction and Real Estate at MHA, believes the construction sector faces a challenging environment as rising costs cut into profit margins, although demand for new builds in the housing market continues unabated, despite the cost of living crisis:

 

“The UK construction sector continues to ride a wave of strong demand. However, construction work is now less profitable due to inflation and interest rate rises. Russia’s invasion of Ukraine continues to be responsible for some staggering prices increases. We’ve seen the price of certain raw materials surge by 20% or more within a month.

“Hopefully employers and larger construction firms will be sympathetic to the struggles of smaller businesses. If they are not, we may see more than a few casualties. In the long term, the sector may experience a decline in new civil engineering, commercial and industrial projects as businesses and investors start to hold back on new orders until price stability returns and there is more economic certainty.

“Housing is a bright spot, especially outside of London. Despite the cost of living crisis, housing demand shows little signs of slowing, boosted by high levels of employment across the economy. The rising cost of living and of increasing mortgage costs will surely start to bite soon, but even then demand for new build homes should continue to be strong. Compared to second-hand properties newer builds are generally more energy efficient thereby saving running costs but also avoiding potentially expensive energy refurbishment in years to come.

“The government can do very little to support the sector at this time. It has already stimulated demand through infrastructure projects, including HS2, and work generated to meet the standards set by the Energy Performance Certificate (EPC) action plan. The big question is how businesses can meet this demand while also addressing rising costs. Now would be a good time to reassess delivery models to identify potential cost-savings. Firms also need to be vigorous in negotiating and renegotiating contracts. Rampant inflation means a job that looked profitable one month will be loss-making the next.”

The Federation of Master Builders (FMB) has warned that builders are in need of ‘urgent clear guidance’ to help them understand changes to building regulations coming into force in England on 15 June.

The changes seek to improve the energy efficiency of buildings. They are interim measures ahead of the Future Homes and Building Standards set for 2025.

The changes are complex for small builders that are time-poor, said the FMB, “especially without good communication from government”. It has called on the government to provide clear guidance to make sure that small builders are informed of the changes.

This call comes as the FMB publishes its latest State of Trade Survey, which shows that 52 per cent of builders are not yet prepared or aware of the changes.

The survey of FMB members for the first quarter of 2022 also found that:

  • 98 per cent of builders report an increase in material costs, with 83 per cent passing these costs to customers.
  • 73 per cent of builders have delayed jobs owing to a lack of materials.
  • 55 per cent are delaying work owing to a lack of skilled labour.
  • 4 per cent reported an increase in workload and members reported no increase in enquiries.
  • 45 per cent of builders are struggling to hire carpenters/joiners, 2 per cent more than in the previous quarter.
  • 40 per cent of respondents are finding it difficult to hire bricklayers, 1 per cent less than the previous quarter.
  • 95 per cent of respondents expect material costs to increase in Q2 2022.
  • Wales reported workload in Q1 is 25 per cent, down from 67 per cent in Q4 2021.
  • Scotland reported workload in Q1 is 31 per cent, up from 29 per cent in Q4 2021.
  • Northern Ireland reported workload in Q1 is 31 per cent, down from 37 per cent in Q4 2021.

What the chief executives said:

Brian Berry, chief executive at the FMB, said: “The FMB’s State of Trade Survey highlights just how underprepared the building industry is for regulatory changes coming into force in June. Builders can’t be blamed for this situation given the poor communication and engagement coming from government. The government needs to help address this issue by providing clear guidance to help builders understand what is expected of them.

“The survey also shows that availability of materials and skills shortages are not going away. These issues, coupled with crippling price rises, are causing real problems for the building industry. Delays and increases in prices will put off consumers, who are already reluctant to commission new work as their own costs spiral.”

Gordon Nelson, director of FMB Scotland, said: “With inflation rising to 7 per cent, which is the highest rate it has been for 30 years; the resultant depletion of consumer spending power means that many local building firms across Scotland have experienced a sharp decline in enquiries for future works. It is comforting that current workloads remain buoyant.

Nelson continued: “However, continuing price increases across a swathe of construction products and materials, combined with sustained shortages of skilled labour, are thwarting building programmes from Brora to Biggar. These project delays reduce productivity and eat into builder’s profit margins, which have been squeezed in recent months by ongoing material price increases.

“We will be keeping a close eye on whether the next three months leads to an improvement in trading conditions for local building firms. With changes to the energy standards within the Scottish building regulations coming into effect later this year, Scottish builders have much to grapple with and our policy makers should take heed.”

Ifan Glyn, director of FMB Cymru, said “Builders in Wales are still experiencing high workloads and enquiry rates, although there are faint signals that the market could be starting to cool. Whether this is a sign of things to come or a blip in an otherwise buoyant market remains to be seen. What is unchanged is the rising costs and delays to projects largely caused by lack of access to building materials and skilled labour. I would urge both public and private sector clients to practise patience and understanding with our members during these turbulent times. I can assure you that they are just as frustrated as you with the situation.”

Gavin McGuire, director of FMB Northern Ireland, said: “The recent FMB State of Trade Survey figures for NI demonstrate the slight decline in workloads for the SME sector over the past six months. A period of economic uncertainty, increased material costs and rising household bills have seen a number of projects cancelled or put on hold.

“With a new NI Executive due to be elected in May, the industry needs stable institutions and investment into key strategies such as housing, energy and local development plans to maintain stronger pipelines of secured work.”

Source: The Planner

The Construction Industry Collective Voice (CICV) has reassured clients that ongoing price rises for projects are caused by global events not “profiteering” and said any increases only reflect the spiralling costs that are affecting the whole construction industry.

Clients have voiced concerns about the increasing costs of construction work, but the body insists this is due only to ongoing global events sparking a rise in fuel costs and shortages of raw materials and labour.

Iain McIlwee, chief executive of CICV member the Finishes and Interiors Sector (FIS), said: “The war in Ukraine, energy price hikes, impact of Brexit and fallout from COVID-19 have all created a ‘perfect storm’ just as there is a surge in demand, with price increases being imposed on the industry as a result.

“Construction professionals are increasingly being forced to shoulder these ongoing rises, particularly when it comes materials, and are having no option but to pass these increases on to clients. But it is not profiteering – it is a necessity for these businesses to survive.”

The CICV’s Post-Brexit & Trade sub-group this week discussed the higher costs for raw materials, energy, labour and transport being faced by construction businesses of all sizes in Scotland, with particular focus on inflationary pressures for SMEs caused by external factors.

Mr McIlwee added: “This is a really challenging time for all in the construction supply chain with costs rising, often at short notice.  The critical thing now is that we work together as a supply chain.

“Too often in construction we have contracted down all risks, but we are now in a position where fixed prices could undermine the resilience of contractors or suppliers and we need to adopt a more collaborative approach and consider how fluctuations clauses can be deployed and any risks fairly shared so as not to undermine the quality or viability of a project or businesses.”

The CICV says as well as the negative impact of political, military and health issues, the withdrawal of red diesel in April has also led to higher costs for construction firms.

Chris Cassley, policy manager at CICV member the Construction Plant-hire Association (CPA), said: “The UK Government’s environmental strategy with the removal of red diesel for construction plant has undoubtedly contributed to the current financial impact on industry, and despite representations to government departments, has proceeded regardless.

“The rise in energy and material prices, together with supply chain pressures and higher inflationary figures, has led to a tipping balance for suppliers and customers alike, and in many instances resulted in necessary price increases. These increases are very likely to be passed back up to the client and for government projects, it will be the taxpayer who will ultimately have to pay.”

Another warning came from Andrew Richards, strategic director of Safedem and a member of the Construction Scotland Industry Leadership Group, (representing SMEs and the supply chain) which is working in tandem with CICV to support the industry.

Mr Richards said: “The knock-on effects caused by the global events of the past two years looks like they will continue for the immediate future, so clients should consider fluctuations and rises in construction costs as part of ‘the new normal’ and shouldn’t expect prices to fall any time soon.

“Construction professionals are equally concerned about the uncertainty that surrounds the marketplace and are only passing on cost increases through necessity, not greed.”

The Post-Brexit & Trade panel is one of 12 sub-groups run by the CICV, covering a range of issues ranging from health and safety and skills to the supply chain and project bank accounts.

The collective was rebranded from the Construction Industry Coronavirus (CICV) Forum at the start of 2022 to reflect its widened remit, which now covers all areas of construction

Since its creation in March 2020, the CICV has drawn on the collective expertise of its members to maintain a steady supply of information and practical advice to the sector as well as carrying out surveys, hosting webinars and making appeals to government ministers.

 

Source: Scottish Construction Now

Construction activity buoyant, but strong headwinds coming, warns Construction Products Association

In its latest quarterly forecast, the Construction Products Association (CPA) sees a dramatic slowing in growth, with uncertainty ahead as global issues start to affect the UK market.

In previous years, the predicted 2.8% growth in construction output anticipated by the CPA team would be cause for celebration. However, while a robust figure, this is a sharp revision down from the 4.3% growth forecast just three months ago.

Demand remains strong across the industry in Q2, and the current project pipeline suggests that this will support activity levels until at least 2022 Q3. The downward revision to the growth forecast stems from concern around a host of price pressures arising from both local and global issues.

Prior to the conflict in Ukraine, UK construction was already facing labour and product availability issues and the impact of reverse charge VAT and IR35. Rising energy costs were driving near-record price increases in construction products and the continued conflict is exacerbating this issue.

The impact of these pressures, and of more general rising costs, on demand will vary considerably by sector. Across the board the picture is one of positive market conditions in the short term with anticipation of tougher times ahead.

In private housing repair, maintenance and improvement, the stellar performer post the initial Covid-19 lockdowns, SMEs report that demand remains high, but this is the sector arguably most exposed to current price inflation, falls in consumer confidence and pressures on household incomes. Overall, output is expected to fall by 3% in 2022 and 4% next year from current all-time highs.

Private housing, the largest construction sector, remains strong, with housebuilders reporting resilient demand. Longer term, there must be questions over consumer confidence but output in this sector is forecast to rise by 1% in both 2022 and 2023. This contrasts with the 3% per year growth forecast three months ago.

The fastest growth is expected in the industrial sector, in which output is forecast to rise by 9.8% in 2022 and 9.3% in 2023, due to a strong pipeline of warehouse projects, resulting from a long-term shift towards online shopping.

Infrastructure, traditionally less affected by immediate economic conditions, remains positive. Large projects such as HS2, Thames Tideway and Hinkley Point C combined with the five-year spending plans in Page 2 of 3 regulated sectors such as rail, road and power generation point to a forecasted growth of 8.8% in 2022 and 4.6% in 2023.

On the supply side, the main immediate impact of the war in Ukraine for construction products will be the knock-on from rising energy prices and commodity shortages. Soaring energy costs will have to be passed on and lead to sharp rises in the cost of energy-intensive products. This will affect both imported products such as aluminium and steel and locally sourced products such as bricks and cement.

Contractors are likely to feel the pressure first, particularly those working to fixed-price contracts. For future projects, contractors will be forced to re-price, add fluctuation costs and introduce risk-sharing arrangements to deal with the uncertainty over potential cost inflation.

Noble Francis, CPA Economics Director, offered this summary of the latest figures: “The major challenge is creeping uncertainty. The immediate picture is one of resilient demand and healthy pipelines. Longer term, the current inflationary pressures, if sustained, will have an increasingly depressing impact, while the continuation, or potential escalation, of conflict in Europe presents an existential risk.

“Specialist sub-contractors are feeling the effects first, particularly those working to fixed-price contracts. For future projects, contractors will be forced to re-price, add fluctuation clauses and introduce risk sharing arrangement to deal with the uncertainty over potential cost inflation.”

Construction Products Association

Supporters of a longer Stonehenge Tunnel are continuing to insist the alternative solution should be considered in new documents submitted to the Planning Inspectorate.

This comes in response to transport secretary Grant Shapps’ request for further comments on the scheme from interested parties.

In its submission to the Planning Inspectorate, the Council for British Archaeology (CBA) said it “continues to urge” a reconsideration of alternatives due to the harm that the proposed scheme would do to the World Heritage Site (WHS).

The CBA said its position remains the same as in evidence submitted to the Planning Inspectorate in May 2019, when it suggested considering a southern surface route or a long bored tunnel “to remove the A303 from the WHS without unduly harming other objectives”.

Overall, the CBA stressed that it does not believe alternatives have been adequately considered in the planning process.

Its submission says: “We reiterate even more strongly that far more serious consideration should therefore be given to any alternatives by which the harm to the WHS could be avoided – especially where they offer much greater opportunities for enhancement and rehabilitation.”

The CBA added that if a long tunnel under the whole of the WHS is not achievable, then other alternatives such as the southern surface route should be examined “to avoid the unacceptable harm caused by the proposed scheme”.

“The CBA examined this issue in some detail, recognising that if a substantially longer tunnel is not acceptable, the southern surface offers significant advantages which had not been optimised or given sufficient weight,” the submission says.

“This includes how beneficial outcomes are weighed against harm – especially in the context of how the cumulative effects of the existing highway are dealt with as required by NPSNN, how adverse effects might be ameliorated and how cost benefits are identified.”

The current plans are for a 12.8km dual carriageway, and a 3.2km tunnel underneath the World Heritage Site closely following the existing A303 route.

Shapps is currently in the process of “re-determining” his decision on National Highways’ planning application for the Stonehenge Tunnel after a High Court judge ruled his original decision to approve the scheme as “unlawful”.

As part of the process, Shapps released a statement of matters in December last year which sets out the aspects of the planning application that he will be taking another look at.

A big part of redetermining the application is looking at the environmental and carbon impact of the proposed scheme in relation to government commitments and legislation. Shapps will also have to prove that he has considered an alternative scheme for a longer tunnel.

However National Highways has stood by its original Stonehenge Tunnel plans.

In documents submitted to the Planning Inspectorate, National Highways said its position regarding a bored tunnel extension “remains unchanged” and “this option should be excluded from further development”.

The roads operator added: “There is no evidence that the additional investment required to extend the tunnel length would deliver meaningful additional benefits to the World Heritage Site (WHS) that would justify the additional cost.”

National Highways has also ruled out a series of other alternatives. The cut and cover tunnel extension was rejected on the grounds that the balance of benefits and disbenefits would not justify the “significant additional cost”.

Surface routes to the south of the WHS were also rejected due to their “much larger footprint” and “greater overall environmental impact than the partially tunnelled options”.

National Highways project director for the A303 Stonehenge scheme Derek Parody said: “It is a scheme objective to conserve and enhance the WHS and this is being achieved through close collaborative working with heritage groups, including English Heritage, National Trust, Historic England and the independent A303 Scientific Committee, and our archaeology contractors Wessex Archaeology.

“The scheme will not only sustain the Outstanding Universal Value of the WHS, it will also have a beneficial effect, and extensive archaeological studies and assessments have been undertaken to provide evidence of the benefits that the scheme will deliver for the World Heritage Site.

“A longer tunnel would represent a significant cost, provide limited benefits to heritage and limit the effectiveness of the scheme in relieving congestion along the route and associated local traffic problems.”

Source: New Civil Engineer

BSI’s annual Net Zero Barometer Report shows that almost half (49%) of UK senior decision makers are prioritising growth in their organization while one in five (20%) are prioritizing the reduction of carbon emissions.

While the proportion focused on carbon reduction represents a sizeable minority, many business leaders continue to find it hard to think about the net zero transition in a context where the UK economy slowly recovers from the effects of the pandemic and businesses try to address supply chain issues, inflationary pressures and labour shortages. Indeed only a fifth (21%) of those polled confirmed that they were fully aware of what net zero targets mean in practice for their organization.

The 2022 Net Zero survey of 1,000 senior decision makers and sustainability professionals did find a desire and an optimism that the UK can and will achieve its net zero goal. The majority of those surveyed (71%) had already set targets to meet net zero, and 78% were more convinced post-COP26 that reaching net zero targets was possible. This is a big step forward from BSI’s 2021 survey where only 40% of organizations had made a net zero commitment and a further 31% were “considering it”.

Despite this progress on targets and commitments, cost remains a significant barrier to implementation for many organizations. Almost half of decision makers (45%) cited cost as a barrier, clearly making it the leading challenge for organizations looking to reach net zero, above supply chain (29%) and regulation (25%).

Almost two-thirds (65%) of decision makers say they have accelerated efforts to operate at net zero as a result of the pandemic. There is a willingness to collaborate and learn to meet targets, with nearly three-quarters of those surveyed saying their organization is getting guidance from external sources, and 46% reporting that they would like more support.

Scott Steedman, Director-General, Standards at BSI said: “The COP26 summit in Glasgow and media coverage around that showed that many businesses are gearing up for the net zero transition, seeing competitive advantage in becoming more sustainable. On the other hand, business leaders are also having to deal with supply chain challenges, rising energy costs, labour shortages and high inflation. There is a big risk that industry overlooks the net zero transition in their quest for economic growth or even simply business survival.

“These pressures could easily create an either/or narrative for both businesses and consumers, a choice between cutting costs or cutting carbon. However, the evidence suggests businesses can do both, cut costs and cut carbon, and international standards are a prime tool to achieve this.

“As businesses become more efficient and self-sustaining, they become more resilient and their exposure to global events, whether supply chain uncertainty or energy prices, is lessened. Acting to address their social responsibilities will help to boost recruitment and retention. Collaborative working with other organisations can help reduce the cost of the net zero transition. Fundamentally, businesses should take a strategic view of the opportunities for growth and cost-savings that will come from building a decarbonized, sustainable organization. Net zero is a huge challenge, but also a huge opportunity.”

 

To analyse how UK businesses are managing the transition to net zero, BSI commissioned an independent survey of 1,000 UK senior decision makers and sustainability professionals across a range of industries to achieve a representative data sample. This the second annual survey.

 

CLICK HERE to download the 2021 Net Zero Barometer