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Construction workers set for wage boost as new pay deal agreed

Construction workers operating under the Construction Industry Joint Council (CIJC) agreement are set for a boost in pay and allowances next month after a new two year pay deal worth 6.2 per cent was recently agreed.

The CIJC is the largest agreement in the construction industry and principally covers workers operating in civil engineering and the so-called biblical trades (carpenters, bricklayers and painters).

3.2 per cent increase this year

The agreement signed by Unite and the GMB will see pay rates increase by an inflation beating 3.2 per cent from Monday 25 June. The pay increase will mean that the minimum rate for craft workers (including carpenters, bricklayers and painters) is £12.31 an hour, with the general operative (labourer) minimum rate increasing to £9.26 an hour. Pay rates will increase by a further 2.9 per cent from Monday 24 June 2019.

The travel allowance will increase in line with the percentage rise in pay rates, the (tax free) fare allowance will increase in line with inflation however lodging allowances will increase by nearly eight (7.8) per cent to £40 a night in 2018 and will then increase by inflation in 2019, which is in line with other construction agreements.

Industry sick pay extended

Industry sick pay is to be increased and extended. It will rise to £130 per week (paid in addition to statutory sick pay) an increase of 6.1 per cent and it will now be paid for 13 weeks, an increase on the 10 weeks it is currently paid for.

The industry death benefit, paid via the B&CE, will increase from £32,000 to £40,000. If a worker is killed at work or travelling to and from work their family receives double that amount.

There has also been a significant increase of 6.5 per cent in the payment for first year apprentices who will receive £5.50 an hour, it is hoped that the increased rate will attract a greater number of new entrants into the industry.

Strong step in right direction

Unite national officer for construction Jerry Swain said “This deal is a strong step in the right direction and will give construction workers a well-deserved pay increase.

“The increases in allowances and other benefits, underline the value of working under an industrial agreement and being part of collective bargaining arrangements.

“Over the next two years we will be working to further strengthen the agreement and ensure that it is brought into line with other agreements in all matters and is seen as relevant on major construction sites.

“Construction workers need to remain vigilant that employers actually pay the agreed pay rates. Too often in construction employers try to boost their profits by failing to pay agreed increases.”

GMB national officer Ross Murdoch added “Given the current climate in the wider construction industry and overall economic climate, this deal is both a recognition of a hard-working, highly-skilled workforce and a demonstration of real commitment to maintaining meaningful joint national industrial agreement.”

“As further significant construction projects emerge over the next few years, this deal offers genuine hope of retaining the much needed skills for the industry, as well as attracting new apprentices, with the percentage uplift for apprentice rates further reinforcing the importance of this latter point.”

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The future of the construction industry: 3D printed homes, drones and floating buildings

A report looking at the role that technology will play in the construction industry in the future, has revealed that 3D printed walls, drones and a roof made from recycled plastic bottles from the Ocean will all be possible by 2025, thanks to advancements in technology.

The report, written by renowned future gazer, Dr. Ian Pearson BSc DSc(hc) and commissioned by Colmore Tang Construction and Virgin StartUp, also revealed that floating buildings or apartments will be possible by 2050 thanks to carbon foam, which is lighter than air.

By 2025, drones will be able to carry large materials up construction sites and even more remarkably, plastic bottles recovered from the world’s oceans will be recycled to create a roof.
Over the next decade, artificial intelligence (AI) will be commonplace, linking to sensors and cameras around construction sites, ensuring that buildings are being developed according to the architect’s plans. Humans will work alongside AIs and will not only see these robots as clever tools, but also colleagues and even friends as they start to develop unique relationships.

Looking more than 50 years into the future, by 2075 Dr. Pearson suggests that self-assembling buildings under AI control will allow a new form of structure – kinetic architecture – where a structure is literally thrown into the sky and assembled while gravity forms the materials into beautiful designs.

However, it is 3D printing that will steal most of the construction headlines in the immediate future, according to the future-gazer. Cheap homes, built quickly using 3D printing, will essentially put an end to the housing crisis.

The report was launched by Colmore Tang Construction, who has partnered with Virgin StartUp to deliver a £10m innovation fund that is open to entrepreneurial companies in a construction industry-first technology accelerator programme called ‘ConstrucTech’.

The fund will be provided to those companies that can successfully show how their innovation and technology could improve the sector’s productivity, sustainability and skills issues.
Futurologist, Dr Ian Pearson BSc DSc(hc), said: “By 2025 we will already see huge changes in the construction industry thanks to technology with drones, AI and 3D printing all becoming commonplace.

By 2050, we could see floating buildings or apartments that could save the housing crisis using carbon foam that’s lighter than air – the possibilities for this really are endless.”

Andy Robinson – Group CEO, Colmore Tang, said “The forward-thinking report has shown that technology can have a positive impact on the construction industry, however, we need to discover those exciting and innovative start-ups, whose products and services could deliver the technologies and innovations that will be the key to future success.

“We are hopeful that our partnership with Virgin StartUp to create the ConstrucTech programme and £10m innovation fund will be the start of a new dawn within the industry, where the future innovations predicted become a reality.”

Virgin StartUp is a leading business support organisation which has run a number of successful accelerators and supported 11,000 entrepreneurs across the UK. Construction in the UK has been slow to embrace innovation and adopt new technology and Colmore Tang has identified a number of key areas within its business, and the industry as a whole, which it believes could benefit from the contribution of enterprising start-ups.

Colmore Tang and Virgin StartUp are calling for businesses to apply to the ConstrucTech programme to address the following problems:

  • People: improving analysis of performance, sharing best practice across building projects, measurement of quality and also implementation of health and safety.
  • Data: using data to pre-empt potential delays, more efficient material ordering, more effective use of labour along with use of performance data to improve cost, timescales and estimates of new projects for future clients.
  • Smart Materials: design and implementation of materials to improve sustainability; improve safety and finding materials which are digitally connected.

Colmore Tang is providing start-ups with the opportunity to use the programme as a test bed and development platform to bring products and ideas to the construction sector. It’s hoped the £10m innovation behind ConstrucTech will be the spark to improve lacklustre productivity levels and also begin addressing the need to re-skill over half a million construction workers to suit the industry’s future Mace Report – Moving Construction 4.0.

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VIDEO: 3D printing 10 homes in 24 hours!

A private company in Shanghai used 3D printers to print 10 full-sized houses in just one day.

Many believe 3D printing could a viable solution to alleviate slum housing in the world and provide shelter to disaster-stricken communities. Is 3D printing the future of construction?

The video shows a 3D printer creating a structure using a special material, comprised of recycled rubble, fibreglass, steel, cement and binder. Once pumped into place, the material takes just 24 hours to dry completely.

Behrokh Khoshnevis, a pioneer of 3D printing at the University of Southern California, who is currently working with NASA on 3D-printed lunar structures, believes that we could one day live and work in 3D printed cities. “I think in about five years you are going to see a lot of buildings built in this way.”

He also suggested that the innovative technology could help tackle a worldwide shortage of low-income housing. “I think it is a shame that at the dawn of the 21st century, about two billion people live in slums. I think this technology is a good solution.”

Watch the video below and see for yourself. How to you think 3D housing will affect the construction industry? Will its impact be good or bad? Let us know in the comments section below!

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Over 70% of small construction firms on a knife edge due to late payments

New research reveals the extent to which smaller construction firms are on the brink of bankruptcy or liquidation with rising numbers of construction business owners suffering depression, anxiety, stress and ‘extreme anger.’

Worst excuses for late payments include: ‘the money for your invoice was eaten by our bank overdraft, ‘the dog ate your invoice’ and ‘your cheque blew out of the window’ while most common excuses include:

  • We can’t pay until own customers pay their overdue invoice (32%)
  • The accounts person is away (23%)
  • We can’t pay until business turnover improves (17%)

Latest research reveals that the number of small construction firms struggling financially has risen dramatically since last year as too has the number of company owners suffering from mental health issues as a result of poor cashflow.

The findings come amidst fears over the knock-on effect to the supply chain following the Carillion collapse earlier this year.

74% of the construction companies polled – 30% more than last year – have been on the brink of bankruptcy or liquidation, or could be soon due to late payments. 48% – also nearly a quarter more than last year – blame poor cashflow for their panic attacks, anxiety and depression, with some even having suicidal feelings and almost a quarter (22%) experiencing emotions of ‘severe anger’.

62% of owners said late payment issues had also meant that they had not paid themselves for some time, 35% had stopped or delayed bonuses, 15% had had to pay staff late and 17% had reduced their own salary.

If customers continue to pay late, 30% of construction company owners said it will soon affect the progress and growth of their business, while 30% said it had already impacted staff morale, recruitment and retention, 38% had struggled to pay business rates and a quarter had struggled to pay mortgage or rental payments on their office.

The research commissioned by The Prompt Payment Directory (PPD), a payment rating website for businesses, comes despite the Government’s Prompt Payment Code (PPC) and last April’s enforcement of the Government’s new ‘Duty to Report’ scheme that requires large companies to report on payment practices twice a year. It also follows official figures confirming that the number of British businesses going bankrupt reached a four-year high for 2017, with one in every 213 companies falling into liquidation – the highest since 2013.

The survey polled 400 owners, MDs and CEOs of small construction businesses who suffer from poor cashflow due to late or outstanding invoice payments. Ahead of Mental Health Awareness Week (14-20 May), the research examined the personal, financial and business impact of late payments on owners and found the issue had worsened since PPD’s first study was launched last spring.

The personal cost

Key findings for 2018 compared to last year include:

The impact of late payment/and the knock-on effects to SME construction owner’s personal life 2018 2017
Is the business on the brink of bankruptcy or liquidation as a result of late payment, or will be soon if more payments are made late? 74% 44%
Not paid self for period of time 62% 44%
Caused loss of sleep 80% 53%
Caused depression, anxiety, increased stress of other mental health related illness 48% 27%
Put pressure on marriage/relationship with partner 33% 14%
Refused credit 36% 17%
Struggled to make house mortgage or rental payment 36% 11%
Sold and downsized the family home or had to move into rental property 25% 9%

33% of SME construction company owners had been forced to sell assets such as property, shares and pension plans to make ends meet whilst nearly 10% had put plans on hold to grow their family and 11% can no longer afford to pay for school trips, clubs or tuition fees for their children.

19% had cut back on their social activity like going to the cinema, eating out or drinks with friends, 16% had cancelled their family holiday and 8% had sold or downgraded their car.

Mental health issues

Out of the increased number of construction owners now suffering from health related issues due to late payments, 45% suffer from stress, 39% struggle with insomnia, 16% experience depression and 14% experience anxiety and panic attacks, whilst the remaining stated issues such as having suicidal feelings, self-harm, eating problems and paranoia.

Effects on staff

Late payments have also had a strong knock-on effect on staff, PPD’s research has revealed.

Half of the construction owners polled had either paid their staff late, stopped or delayed bonuses, while nearly 5% said they had had to stop or reduce staff perks such as company phones, cars or health insurance.

Unfair practices

A staggering 73% said they were victim to long payment terms beyond the Prompt Payment Code recommended payment terms of 45 days pays. A third said they had been on the receiving end of mid contract terms to payment terms, 17% had been asked for retrospective discounting and 15% had been asked to ‘pay to stay’, or face supplier delisting.

Hugh Gage, Managing Director of The Prompt Payment Directory said “Recent high profile cases such as Carillion have made many more people aware of the cost of late or non-payment and how it can affect smaller construction firms, but in reality this has been going on for years.

“Our latest research reveals that the impact of late payments has got even worse since last year and is having even deeper repercussions on smaller companies nationwide, it’s affecting and even destroying people’s business, health and lives.

“Construction business owners need to arm themselves against some of the most common late payment issues and fight back against these poor practices as it’s always best to try and avoid them from the outset by using due diligence through credit reference agencies, or services such as The Prompt Payment Directory which rates businesses’ payment behaviour by those that it affects – their suppliers.”

Handling common late payment excuses

1) “We can’t afford to pay the bill”
Firstly, stop supplying and don’t make the problem any worse. Agree a payment plan to reduce the debt. If the organisation is keen for you to continue to supply because they need what you have to keep trading, establish their plans for getting out of the situation and check if they’re really viable. If you do choose to support them, protect yourself with robust terms which includes payment with order – an instruction to the buyer’s bank to make a payment or series of payments to you on an agreed regular date.

2) Accounts not in/is away
While this can sometimes be a legitimate excuse, you need to convince the business you can’t or shouldn’t have to wait until the next time they’re in the office to get paid. Support calls with an email. If you can’t get through, escalate the problem to the buyer, business owner or the relevant department, outlining what you need to happen and how to follow up in the most appropriately way. You should also remind the customer of any provisions around late payment – such as charging of interest and how their intervention will keep any additional costs in check.

3) Your cheque is in the post
Technology may have moved on but unfortunately even in this electronic age many businesses still insist on paying by cheque and this is one of the popular ‘fob offs’. Ask for the date it was sent, class of postage and the cheque number. If they can’t give you a cheque number ask why not? If it has been more than a week and it has still not arrived, ask them to cancel the cheque and send replacement by BACS/Faster payment and assure them the cheque will be returned or destroyed if it does arrive. You do have every right to refuse cheques, so look at your customer demographic and decide if this is a risk you’re willing to take if they refuse to comply.

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Artificial Intelligence: What it means for the built environment

The RICS has launched an insight paper which explores the impact of using artificial intelligence (AI) in the built environment, and the urgent need for industry professionals to understand how it will influence their role, as the future will rely less on human labour and more on technology.

AI in FM

One sector that the Artificial Intelligence: What it means for the built environment highlights as facing a significant impact of AI is facilities management (FM), due to the labour-intensive and repetitive nature of many FM jobs, making it an ideal place for automation of previously human-dominated tasks. However, the report weighs up the positives and negatives of such changes and how companies should deal with them.

Paul Bagust, RICS Global Property Standards Director says “FM will always have a vital role to play within the built environment, and even though many operational roles will become more technology-led, the sector could benefit hugely from AI at a strategic level. For example, machinery utilising AI will revolutionise the FM industry, making many jobs faster, safer, less costly and this will ultimately improve a company’s service offering and increase their bottom line.

“Technology and the availability of data is also changing the way investors look for opportunities and invest. This will present a huge threat to the industry if ignored, but, again, it presents so many opportunities for those who work in the built environment. So, all businesses, however large or small, must act now and analyse and prepare for how this disruptive technology could transform their role, sector and the wider built environment — otherwise they face becoming obsolete.”

Chris Hoar, co-founder of AI in FM added “The paper discusses how AI will transform the property industry by driving smart, efficient buildings from design through to construction. It also highlights how those in the industry can exploit the latest AI applications and developments, including drones and BIM (Building Information Modelling), to plan and work more effectively, while improving and better maintaining the quality of buildings and the wider built environment.

“The overarching message of this report is that organisations should seek out and maximise the opportunities that artificial intelligence presents, while minimising any potential threats. This way, they will have a much better chance of controlling their business strategy, direction and financial health.”

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Southern builders are growing despite rise in costs

Construction firms in the south of England enjoyed strong growth in the first quarter of 2018, according to the Federation of Master Builders (FMB) South.

Key results from the FMB’s latest State of Trade Survey, which is the only quarterly assessment of the UK-wide SME construction sector, include:

  • In terms of workloads, expected workloads and enquiries, the combined indicator for the performance of South Eastern construction SMEs the balance of responses remained clearly positive at +17%, but fell by 6 percentage points compared with the previous quarter, indicating a slight fall in positive responses
  • In terms of workloads, expected workloads and enquiries, the combined indicator for the performance of South Western construction SMEs, the balance of responses rose 16 percentage points in Q1 2018 compared with the previous quarter, to +20%, indicating a marked increase in positivity
  • More construction SMEs predict rising workloads in the coming three months, up from 38% in the previous quarter to 49% in Q1 2018
  • 90% of builders reported increasing material prices in Q1 2018, this is the highest reading on record
  • More than half (58%) of construction SMEs are struggling to hire bricklayers and 55% are struggling to hire carpenters and joiners
  • Two-thirds (66%) of construction SMEs expect salaries and wages to increase during the next six months, up from 62% in the previous quarter

Phil Hodge, Director of FMB South, said “The first quarter of this year saw smaller building firms in the South of England enjoy growing workloads and enquiries. Although growth slowed slightly in South East, it remained in overwhelmingly positive territory. The South West also had a particularly strong quarter with workloads, expected workloads and enquiries improving since the final quarter of 2017. This is all the more pleasing given the stumbling blocks small builders had to contend with in the first quarter of the year. In March the south of England experienced heavy snow fall which forced construction sites across the region to close, some for weeks at a time. The positive growth enjoyed in the first three months of the year therefore shows how resilient the South’s construction sector currently is.”

“However, construction bosses know they need to keep their wits about them and not count their chickens just yet. These latest findings show that there are significant headwinds, which will continue to cause headaches for smaller building firms. More than three-quarters of firms think that material costs are expected to rise over the next six months, while two-thirds anticipate rising wages. The cost of doing business is going up and this will cause difficulties for firms across the South of England. These SME builders should have a key role to play in delivering the 300,000 homes needed every year in England alone. So, it is in everyone’s best interest that these firms continue to weather the storm of rising costs.”

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Small builders resilient despite material price hikes

The workloads of small and medium-sized (SME) construction firms grew slightly in the first three months of this year despite record numbers of builders reporting rising material prices, according to the Federation of Master Builders (FMB).

Key results from the FMB’s latest State of Trade Survey, which is the only quarterly assessment of the UK-wide SME construction sector, include:

  • Construction SME workloads remained positive in Q1 2018 but grew at a slower rate than in Q4 2017
  • The construction SME sector has now enjoyed five years of consecutive growth
  • More construction SMEs predict rising workloads in the coming three months, up from 38% in the previous quarter to 49% in Q1 2018
  • 90% of builders reported increasing material prices in Q1 2018, this is the highest reading on record
  • More than half (58%) of construction SMEs are struggling to hire bricklayers and 55% are struggling to hire carpenters and joiners
  • Two-thirds (66%) of construction SMEs expect salaries and wages to increase during the next six months, up from 62% in the previous quarter

Brian Berry, Chief Executive of the FMB, said “Workloads for builders continued to grow in the first quarter of 2018 despite the ‘Beast from the East’ wreaking havoc across the UK’s construction sites. However, once again, the growth we are seeing is slower than in the previous three months and this can be partly attributed to pressure from rising costs. Indeed, 90% of builders reported increasing material prices in the first three months of 2018 and this is the highest reading on record. Insulation, bricks and timber are the materials that have increased the most and builders are predicting that these price increases will continue. We are also seeing increased salaries for tradespeople stemming from the acute skills crisis and that, coupled with material price hikes, are squeezing margins and stifling growth for construction firms of all sizes.”

“In terms of house building, these latest results should sound some alarm bells with the workloads of SME house builders dropping off in the first quarter of this year. In 2017/18, 197,000 homes were started in England but this is some way off the Government’s target to build 300,000 homes per year. The FMB has worked closely with the Government to identify how to remove barriers to small local house builders, but these latest results act as a reminder that there is more to be done. The FMB would now like to see the continued and speedy implementation of some positive Government policies designed to bring forward more small sites, properly resource planning departments and increase the flow of finance to SME house builders. If we are to reach our ambitious house building targets, we cannot rely solely on the largest house builders.”

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Material prices continue to rocket

More than half of small building firms say that rising material prices are squeezing their margins and the same percentage have had to pass these price increases onto consumers, according to the latest research by the Federation of Master Builders (FMB).

Small and medium-sized (SME) building firms were asked which materials are in shortest supply and have the longest wait times. The average results were as follows (in order of longest to shortest wait times):

  • Bricks were in shortest supply with the longest reported wait time being more than one year
  • Roof tiles were second with the longest reported wait time being up to six months
  • Insulation was third with the longest reported wait time being up to four months
  • Slate was fourth with the longest reported wait time being up to six months
  • Windows were fifth with the longest reported wait time being more than one year
  • Blocks were sixth with the longest reported wait time being up to four months
  • Porcelain products were seventh with the longest reported wait time being more than one year
  • Plasterboard was eighth with the longest reported wait time being up to two months
  • Timber was ninth with the longest reported wait time being up to two months
  • Boilers were tenth, with the longest reported wait time being more than one year

SME building firms were also asked by what percentage different materials have increased over the past 12 months. On average, the following rises were reported:

  • Insulation increased by 16%
  • Bricks increased by 9%
  • Timber increased by 8%
  • Roof tiles increased by 8%
  • Slate increased by 8%
  • Windows increased by 7%
  • Blocks increased by 7%
  • Plasterboard increased by 7%
  • Boilers increased by 7%
  • Porcelain products increased by 6%

The impact of these material price increases includes:

  • More than half of construction SMEs (56%) have had their margins squeezed, this has gone up from one third (32%) reporting this in July 2017
  • Half of firms (49%) have been forced to pass material price increases onto their clients, making building projects more expensive for consumers, this has gone up from less than one quarter (22%) reporting this in July 2017
  • A third of firms (30%) have recommended that clients use alternative materials or products to those originally specified, this has gone up from one in ten reporting this in July 2017
  • Nearly one fifth (17%) of builders report making losses on their building projects due to material price increases, this has gone up from one in ten reporting this in July 2017

Brian Berry, Chief Executive of the FMB, said “Material prices have rocketed over the past year. The reason for this could include the impact of the depreciation of sterling following the EU referendum still feeding through. High demand due to buoyant international markets could also be contributing to price increases. What’s particularly worrying is that when prices have increased mid-project, almost one fifth of builders have absorbed the increase and therefore made a loss. Also, if material price increases weren’t enough of a headache for building firms, they are also experiencing material shortages with wait times ticking up across a range of materials and products. Worst case scenarios include firms waiting for more than one year for a new order of bricks.”

“The rise in material prices is not just a problem for the country’s construction firms – it is also a problem for home owners. Half of firms have been forced to pass these price increases onto their clients, meaning building projects are becoming more and more expensive. This problem has worsened recently with more than twice as many firms passing material prices on to their clients now compared with nine months ago. What’s more, home owners should be prepared to have to use alternative materials or products to their first choice. One third of firms have recommended that their clients should use alternative materials or products to those originally specified. Now more than ever, it’s important that builders and their clients keep the lines of communication open in order to stay within time and within budget. Specified products or materials may need to be swapped for alternatives or clients will need to accept the additional cost.”

“We are calling on builders merchants to give their customers as much advance warning of forthcoming material prices increases or wait times as possible so that firms can warn their customers and plan ahead. We are also advising builders to price jobs and draft contracts with these material price rises in mind. The FMB’s latest State of Trade Survey shows that almost ninety per cent of building firms are expecting further rises over the next sixth months. This makes quoting for jobs difficult but if builders flag the issue to their client from the outset, and include a note in the contract that prices may be subject to increases, they shouldn’t be left short. What we don’t want is for the number of building firms making losses on projects to increase as this could result in firms going to the wall. A large number of collapsing construction companies will have a terrible knock-on effect in the wider economy.”

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Government calls on industry to embrace offsite

Ministers today called on industry to embrace the latest innovations to make sure we are building the good quality homes that our country needs.

As part of the government’s focus on fixing the broken housing market and its ambition of delivering 300,000 new homes in England by the mid-2020s, it’s essential that the quality and design of new housing is addressed. This can help secure support from communities for new homes, and make sure we have good quality homes that people can feel proud living in and next-door to.

Recent research shows that more than 7 out of 10 people would support new residential development if buildings are well-designed and in keeping with their local area.

Action to boost innovative approaches for well-designed new homes include:

£1 billion investment through the Home Building Fund to develop new, modern approaches to design and construction

To date, 8 projects across 11 local authorities, backed by government funding, will use modern methods of construction such as modular homes to build good quality homes, using the latest techniques, whilst helping to speed up housing delivery.

Learning from other countries like Australia, Norway and Sweden where good design is embedded in decision making

For example, based on an Australian model, the government will urge councils to set their own design quality standards, giving communities the ability to better reflect their own unique character in local planning policy.

Embracing new technologies

For example using Virtual Reality (VR) technology to win the confidence of communities before a single brick is laid. By visualising proposed new housing from the neighbour or homebuyer’s perspective, communities will be able to see how development can visually contribute to the area from an early stage, even before planning permission has been granted.

Housing Secretary Sajid Javid said “Our homes are the making of all of us, which is why today’s event on raising the bar on the quality of new homes is so important.

“This government is determined to make sure that high quality design is the norm rather than the exception.”

Housing Minister Dominic Raab added “We are putting high-quality design on the map as never before when it comes to building better homes and stronger communities.

“Today’s conference marks an important milestone in that journey.”

Industry leaders, including local authority planners, developers and design professionals, attended the Design Quality Conference to share their expertise to ensure how homes look becomes just as important as the number delivered.

Ministers made it clear that they intend to focus on how developers can use better quality design in order to win over both communities and new generations of first-time buyers, who expect the highest quality homes before parting with their hard-earned deposits.

When things go wrong, the government has also proposed strengthening ways for homebuyers to complain when their home hasn’t been built satisfactorily – with these new measures recently being subject to a consultation.

The event will build on previous government action to ensure new homes are built using quality materials and design methods, as set out in the recently published draft National Planning Policy Framework.

The document, which is currently out to consultation, outlines requirements for design guides and codes to feature prominently in new Local Plans, significant consideration to be given to existing local character as well as setting out the density of developments that meet the needs and expectations of the community.

The conference also included speakers from the Royal Institute of British Architects, Stephen Lawrence Trust, The Princes Foundation, Historic England and Homes England as well as other experts with experience in delivering excellent build quality for new and existing communities.

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Construction industry needs 1.5m new recruits by 2021

In a report, Consultancy firm Arcadis suggest that around 400,000+ new workers will be needed each year up until 2021, in order to keep up with ambitious plans within the construction sector – that’s the equivalent of one new person every 77 seconds!

Housebuilding

Plans outlined in the recent Housing Whitepaper are extremely positive for house builders, who will have government support and reduced restrictions to help them deliver the sheer volume of housing needed in Britain today. However, could the lack of skilled people in the sector prove to be a hindrance if left unaddressed?

The report says “When it comes to the much maligned ‘housing crisis’, there is no doubt that the sheer lack of people to physically build the homes we need is evident.

“Between now and 2026 the UK needs to build an additional 110,000 homes per annum on top of those currently projected in order to keep pace with our growing and ageing population.

“Housebuilding is a particularly labour intensive industry and although new technologies and increased off-site production are being implemented to reduce costs and increase productivity, the supply of labour is still one of the binding constrictions on output.

“Existing evidence suggests that the relationship between labour and number of houses that can be built is close to being linear. Therefore, in order to increase the number of homes being built the labour force employed in housebuilding needs to increase by the same share.”

Infrastructure

The report also touches on infrastructure. Britain currently has one of the most ambitious national infrastructure programmes in Europe. With HS2 and Crossrail underway and much more planned, companies in the industry will draw heavily on the common talent pool.

“Despite the uncertain outlook for the UK economy following Brexit, the government under Theresa May seems committed to drive the largest projects forward.

“Moreover, it is expected that the government will set aside more money for road and rail works in order to support the UK economy over the coming years.

“According to figures from the Construction Products Association, the infrastructure sector is projected to grow only by 1.2 percent in 2016. However, for the years from 2017 to 2020 it predicts a pick-up in infrastructure output of 30 percent. Increased demand for people in the infrastructure industry is calculated by assuming that the workforce has to expand in line with this growth.”

To read the full report, click here.
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