The Government has announced that the failure of companies to demonstrate prompt payment to their suppliers could result in them being prevented from winning government contracts. The move is part of a new prompt payment initiative to ensure all Government suppliers and subcontractors benefit from being paid on time.
The new initiative will come into force in Autumn 2019, and will ensure the government only does business with companies who pay their suppliers on time, many of which are small businesses. The move will promote a healthy and diverse marketplace of companies providing public services.
Cabinet Office Minister, Oliver Dowden said:”Paying invoices promptly is vital in providing healthy cash flow, particularly for smaller businesses who are the backbone of the UK economy, to help them survive and thrive.
The Specialist Engineering Contractors’ (SEC) Group – representing the largest sector of UK construction (by value) – said that such measure was long overdue and urged Government to act upon it. SEC Group’s CEO Professor Rudi Klein added:
“For some years we have been advocating a yellow/red card policy for public sector procurement. In other words poor payers should be warned about their payment performance and then banned from public sector contracts if their performance doesn’t improve.”
The Reporting of Payment Practices and Performance Regulations 2017 requires large companies (as from April 2017) to report on their payment practices. This includes providing information about their standard payment terms and proportion of invoices which are paid late.
Professor Klein hopes that this data will give public sector procurers sufficient evidence on which to base their decisions to exclude poor payers: “Public sector procurers must also up their game to ensure they pay on time. Furthermore I now would expect the whole of the UK public sector to follow suit and proactively challenge payment abuse.”
The Specialist Engineering Contractors’ (SEC) Group – representing the largest sector of UK construction (by value) – said that such measure was long overdue and urged Government to act upon it. SEC Group’s CEO Professor Rudi Klein added:
“For some years we have been advocating a yellow/red card policy for public sector procurement. In other words poor payers should be warned about their payment performance and then banned from public sector contracts if their performance doesn’t improve.”
The Reporting of Payment Practices and Performance Regulations 2017 requires large companies (as from April 2017) to report on their payment practices. This includes providing information about their standard payment terms and proportion of invoices which are paid late.
Professor Klein hopes that this data will give public sector procurers sufficient evidence on which to base their decisions to exclude poor payers: “Public sector procurers must also up their game to ensure they pay on time. Furthermore I now would expect the whole of the UK public sector to follow suit and proactively challenge payment abuse.”
The government is banning combustible materials on new high-rise homes and giving support to local authorities to carry out emergency work to remove and replace unsafe aluminium composite material (ACM) cladding.
Regulations were laid in Parliament yesterday (29 November 2018) which will give legal effect to the combustible materials ban announced in the summer. The ban means combustible materials will not be permitted on the external walls of new buildings over 18 metres containing flats, as well as new hospitals, residential care premises, dormitories in boarding schools and student accommodation over 18 metres.
Schools over 18 metres which are built as part of the government’s centrally delivered build programmes will also not use combustible materials, in line with the terms of the ban, in the external wall.
The Communities Secretary is also taking action to speed up the replacement of unsafe ACM cladding, like the type used on Grenfell Tower.
Local authorities will get the government’s full backing, including financial support if necessary, to enable them to carry out emergency work on affected private residential buildings with unsafe ACM cladding. They will recover the costs from building owners. This will allow buildings to be made permanently safe without delay.
The government is already fully funding the replacement of unsafe ACM cladding on social sector buildings above 18 metres.
Secretary of State for Communities, Rt Hon James Brokenshire MP said: “Everyone has a right to feel safe in their homes and I have repeatedly made clear that building owners and developers must replace dangerous ACMcladding. And the costs must not be passed on to leaseholders.
“My message is clear – private building owners must pay for this work now or they should expect to pay more later.”
The Construction Skills Certification Scheme (CSCS) has launched an improved employer application process that is quicker, easier and online.
CSCS provides an employer application service that is used by many employers in the industry to apply for cards on behalf of their workforce. Over the last few months the CSCS team has been working with the industry to improve this largely paper based and inefficient service.
Angeleen Hill, Scheme Manager at CSCS said: “Online employer applications are an exciting development for CSCS. We are pleased to announce that from Wednesday 28th November our new employer application process will be up and running.”
CSCS are encouraging employers to embrace the new online process as applications made by post or email will no longer be accepted. From Wednesday 28th November CSCS will only accept employer applications via the new online portal.
CSCS are also keen to point out that the method of payment for employer applications will remain the same. Employers who hold an account with CITB will continue to pay in the usual way and those without a CITB account must provide contact details for payment to be arranged over the phone via a Debit or Credit card.
Ms. Hill continued: “Moving employer applications online removes much of the complexity surrounding the old paper-based system. Overall it will simplify and speed up the whole card application process for employers.”
The online employer application portal can be accessed here, and a helpful guide on how to use the online application here.
The Specialist Engineering Contractors’ Group (SEC Group) has called on the government to introduce a regulatory authority that oversees construction and ensure that the supply chain, from clients to SMEs, performs to the highest standards.
Speaking at the 25thAnniversary of the SEC Group chairman, Trevor Hursthouse OBE, called for the setting up of a statutory authority to regulate industry practice. He said: “In the last two years there has been an outpouring of reports on construction, most generated by the Grenfell tragedy and the Carillion collapse, which have all come to similar conclusions. Past evidences suggests that these are unlikely to lead to significant improvement. What is now required is a properly resourced regulatory authority for construction that steers the industry in the direction of best practice delivery.”
SEC Group is proposing the setting up of a Construction and Infrastructure Authority. Such an Authority would replicate some of the powers associated with the regulatory authorities for sectors such as water, energy, telecoms and rail which were formerly in public ownership and the other authorities promoting best practice in their respective areas such as the Competition and Markets Authority and Financial Conduct Authority.
The remit of a Construction and Infrastructure Authority would include:
- oversight of the procurement practices of public bodies through challenging bad practice and highlighting strategies to deliver projects collaboratively with industry;
- ensuring the socio-economic benefits of public sector procurement are being delivered;
- intervening in cases of supply chain abuse;
- promoting greater SME engagement with the procurement process;
- raising industry standards of technical capability through promotion of schemes for accrediting competent businesses;
- driving the digital agenda for construction.
A Construction and Infrastructure Authority would also have power to act in an advisory capacity for private sector construction. In the public sector it would have power to impose penalties on public bodies for poor practice or failure to comply with statutory responsibilities. Such power could also extend to excluding suppliers from public procurement for poor performance including abuse of supply chains.
Mr Hursthouse indicated that this was a successful initiative and does not hinder market activity. He said: “For almost 20 years Singaporean construction has benefited from its Building and Construction Authority – a government agency – which has created a more efficient industry in Singapore that prides itself on being able to consistently deliver projects safely and within time and budget.”
The annual Plaisterers’ Training Awards were announced at a prestigious ceremony at Plaisterers’ Hall to recognise the highest standards of achievement in training and education within the UK plastering trade.
Topping the bill was the Lifetime Contribution to Training Award, which went to David Hall, the National Technical Academy manager at British Gypsum, who has responsibility for five training academies across the UK.
David (pictured centre) has worked in plastering for well over 25 years, tirelessly putting in place and supporting the training, qualifications and competitions required to ensure the next generation of plasterers and dryliners have the skills the industry will need in the decades ahead. Along with his heavy involvement in the plastering competitions at SkillBuild and WorldSkills, David has also helped develop the new trailblazer qualifications for plastering and drylining.
Joseph Ross of FIS member Simplicity was named as Apprentice of the Year, a new award introduced in 2017 to increase the number of young apprentices in the trade who are growing their skills through study and hands-on experience. In his three years with the company, Joseph has contributed a variety of skills to key projects and been placed as runner-up in the 2017 SkillBuild finals.
The Student of the Year Award is all about individual excellence. This year’s winner is Stuart Smith of Hopwood Hall College. Motivated by a life-changing college open day, Stuart embarked on a new career. Since then, he has represented the college in the Junior SkillBuild competition and his impressive performance earned him an apprenticeship and technician job with the college.
The Formula Snelling Cup (sponsored by Saint Gobain Formula), which recognises achievement in fibrous and heritage plastering competence, went to B. Cunningham & Sons Plaster Mouldings of Newry for achievement of Heritage qualifications for its staff.
Now Get Qualified – an FIS Approved Training Provider – was awarded the British Gypsum Trophy in recognition of the all-important delivery of excellence in the skills and training for dryliners. The judges were impressed by the large numbers of learners supported, the conversion rate and the back-up information Now Get Qualified provides.
www.plaistererslivery.co.uk
Colmore Tang Construction (CTC) is looking to partner with start-up business Wearable Link and trial its technology, as part of its construction industry-first accelerator programme ConstrucTech.
The innovative UK-based tech business beat off strong competition at CTC’s ConstrucTech pitch, pioneered alongside not-for-profit Virgin StartUp.
Wearable Link’s product deals with health and safety in the industry, monitoring the location, activity and status of users on site. It examines employee vitals, detects hazardous conditions in the construction environment and automatically notifies workers of unsafe working zones whilst providing clear evacuation instructions.
CTC will be sampling Wearable Link’s technology on one of its live construction sites with 500 operatives.
Andy Robinson, CEO of Colmore Tang Group, said he was excited to work with the firm and see how they could solve problems that are endemic within the construction sector.
“Working with this innovative start-up business is the next stage of the ConstrucTech process and we’re really looking forward to seeing how their technology can help to resolve health and safety issues that are addressed every day by construction companies all over the world,” he said.
“The purpose of ConstrucTech was to positively disrupt the sector and pave the way for a technology-driven future in construction. We will be working very closely our chosen finalist to test, re-test and refine the product to make it the very best it can be.”
ConstrucTech attracted 210 applicants – some of which were from as far as Australia and the USA – and included concepts involving Artificial Intelligence, 3D print robotic solutions and cloud-based software.
The competition was born out of frustration within the sector, which is slow to embrace innovation and adopt new technology. More than one-third of construction projects in the UK overrun on time (40%) or budget (35%).
CTC 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 startups and their technologies; productivity, materials and skills.
For more information about ConstrucTech visit www.colmoretang.com/constructech.
Revenues from continuing operations at distribution giant SIG decreased by 2.3% in the period from June to October 2018. As a result, Group like-for-like (LFL) revenues were 3.6% lower.
SIG said that the UK construction environment has weakened during the autumn. Commercial construction demand remains dampened by macro-economic uncertainty, house price inflation is slowing and secondary housing market transactions have continued to fall.
The weaker trading environment impacts demand for SIG’s products and is a key factor behind the lower LFL revenues in the UK and Ireland, down 8.7% in the period.
Revenues at SIG Distribution have also fallen due to the focus on improving profitability across the customer portfolio, which continues to deliver increasing gross margins at the expense of lower revenue.
Trading conditions in construction markets across Mainland Europe have also softened since June, notably in France as anticipated, where LFL revenues were down by 1.6% during the period.
SIG’s management remains confident that the Group will see significant profit improvement in the second half of the year and deliver a result in line with its expectations, driven by higher gross margins and lower operating costs.
CCF has upped its fundraising activity for Alzheimer’s Society to beat its previous years of support and give the charity a record-breaking donation.
The 41-strong CCF branch network are all working hard to meet the ambitious target, with teams across the country completing a variety of challenges to raise as much money as possible for Alzheimer’s Society to support its fight against dementia.
Recently, members of CCF braved the heights of the Yorkshire Three Peaks to raise £32,615.03 for the charity. The team climbed Pen-y-Ghent, Whernside and Ingleborough peaks, in just 12 hours, to complete the challenge. Golf events and football sweepstakes are also taking place across the country to continue adding to the fundraising total.
Dean Pinner, managing director at CCF, said: “We are determined to make this a record-breaking year and raise as much money as possible for Alzheimer’s Society.
“I couldn’t be prouder of all of our teams across the country who are not only delivering excellent work for the business, but are finding the time to fundraise too. All money raised by CCF helps to make a real difference to those affected by dementia and their families, and this motivates us as a business to keep on going.”
Chris Stokes, senior regional corporate partnerships executive at Alzheimer’s Society, commented: “What CCF has achieved in such a short period of time is a testament to everyone working at the business. They have been innovative with their ideas, and people affected by dementia have always remained at the heart of everything they do.
“The money raised thus far, and continuing to be raised, will help so many people across the UK affected by dementia. By 2021, there will be 1 million people in the UK living with this disease and only by uniting with businesses like CCF can we take on dementia, together.”
CCF has been supporting Alzheimer’s Society since 2016. CCF’s fundraising progress for can be viewed at justgiving.com/companyteams/CCF2018
ISG has further demonstrated its commitment to maximising technology to drive operational efficiencies by securing a BIM Level 2 accreditation for its collaborative, dynamic delivery of projects using digital construction techniques.
The global construction services company was awarded the BSI Kitemark for its BIM Level 2 certification to PAS1192:2-2013 and BS1192:4. The accreditation refers specifically to project delivery, where graphical data, non-graphical data and documents, known collectively as the project information model (PIM), are accumulated from design and construction activities.
Mark Norton, ISG’s head of BIM, said: “In the last few years, we have seen a seismic shift in our clients’ understanding of BIM and the processes involved with using digital construction techniques.
“This BSI Kitemark shows our commitment to implementing the technology in all our design, build and fit-out contracts and recognises that we have the robust processes and protocols to manage and utilise data in the correct way.
“BIM is flexible enough to be used across multiple applications and enhances our construction and fit-out expertise to deliver better, smarter and more innovative buildings. Gaining the BIM Level 2 certification also means we can provide assurances to our supply chain that we are fully equipped to deliver a comprehensive range and value of public sector and private sector contracts with maximum efficiency.”
The use of BIM has grown exponentially in the UK construction sector and Level 2 accreditation became a recommended requirement for companies wishing to tender for centrally-procured UK government contracts, in April 2016. Since then, the industry has adopted the technology to provide better collaboration on projects and meet the demands of technology-driven buildings.
BIM Level 2 accreditation was issued to ISG by BSI following an assessment of process and project delivery which includes client satisfaction, collaborative engagement with the supply chain and a progressive training regime.
www.isgplc.com
Building board specialist Euroform has enhanced its range of Versapanel cement particle boards with the addition of A2 Versapanel with Euroclass A2 certification according to BS EN 13501-1.
Euroclass A2 certification confirms that the new board’s high-mass, robust exterior lining is of limited combustibility when exposed to fire conditions.
Versapanel is long established, proven to perform acoustically and delivers exceptional performance in the presence of moisture as cut edges do not require sealing to prevent degradation. In recognition of the need for a product that can assist with a simplified route to BR 135 compliance, Euroform developed A2 Versapanel, which, compared with standard Versapanel, delivers superior pull-out resistance, with comparative tests demonstrating a marked improvement on an already very good performance. It also helps to improve the air tightness of facades when sealed at joints.
A wide range of finishes can be applied over the new board, including insulated render systems, terracotta cladding systems, high-performance cladding systems and traditional brick coursework.
www.euroform.co.uk