Lens Blog: Conflict Avoidance

Lens Blog: Conflict Avoidance

FIS Consultant Len Bunton continues with the theme of getting paid, and what options are open to FIS members. These monthly Blogs are designed to help FIS Members avoid common traps and build on our focus on collective experience. 

My Blogs to date have attempted to share some ideas about improving the commercial management of your contracts. In other words, instilling best practice into the way FIS members run and manage their business. What I have endeavored to suggest is ways to ensure you get paid on time, and what you are due.

This time I want to talk about two issues. First the Conflict Avoidance Process, or CAP and Adjudication…

Members can see the full blog

Get ready for Open Doors!

Get ready for Open Doors!

HS2’s Long Itchington Wood Tunnel site hosted the launch of Open Doors 2023 showing more than 20 students from local colleges what a career in construction might look like! As well as catching a glimpse of ‘Dorothy’, the tunnel boring machine currently excavating a one‐mile twin bore tunnel under an ancient woodland, attendees had the chance to put their questions to the site team about what it’s like to work on such a transformative project. Speaking at the event, Build UK Chief Executive Suzannah Nichol called on the industry to get behind Open Doors and show the next generation that “whatever you enjoy doing and are good at ‐ there is a job for you in construction”.

With bookings for visitors opening on Monday 9 January 2023, members are encouraged to register their sites, factories, offices and other facilities on the Open Doors website as soon as possible, giving schools and colleges plenty of time to plan visits. The initiative is spearheaded by Build UK who have provided a Coordinators’ Toolkit to help you identify suitable sites and maximise your involvement in the event which will run from Monday 13 ‐ Saturday 18 March 2023.

If you are interested or registered to take part in OpenDoors, please advise the FIS via marieflinter@thefis.org and we will help to promote your involvement.  Not FIS also has prepared standard letters and guidance to help you in contacting local schools which we can send across.

FIS launch innovation awards

FIS launch innovation awards

FIS has launched its all-new Innovation Awards, which are open to all companies operating in the finishes and interiors sector.

The Awards aim to focus on ideas that help support improvements in efficiency, productivity, performance, quality or perception of the finishes and interiors sector.

The Award categories are:

  • Product Innovation – fit-out
  • Product Innovation – FF&E
  • Digital Innovation
  • Sustainable Innovation

There will also be an overall Innovation of the Year. This will be chosen by the conference audience from the winners of the above four categories.

The awards will be judged by a panel of experts and winners will be announced at the FIS Conference, which is taking place during the Workspace Design Show in February 2023.

Entry will close on 9 December. For more information and to enter click here.

FIS Chief Executive Iain McIlwee said:

“There remains a perception that construction is not an innovative sector, our aim with these awards is to debunk this myth and celebrate innovation in our sector across a number of categories. We are looking for innovation that meets a need in the sector and has evidence of adoption or planned use in a commercial environment. So, the successful exploitation of new ideas and bringing creative ideas to life.”

Joe Cilia, FIS Technical Director, added:

“I can think of at least four products which I have seen in the last few years that have been developed by both large and small
organisations based on need to improve quality, address sustainability or save time and I am looking forward to these awards
to be the showcase they need to get to a wider audience.”

The FIS Conference will be a two-day programme on 27-28 February at the Business Design Centre in London. There will be several 1-hour workshops each day, with the winners of the Innovation Awards announced at the Awards Ceremony on 27 February.

More information on the Conference is available here.

CLC Industry Sponsors Role Recruitment

CLC Industry Sponsors Role Recruitment

As part of its desire to increase engagement with business leaders across the sector, CLC is to launch an open recruitment competition to select four industry sponsors (one for each of our priority workstreams- below).
1. Building Safety
2. Net Zero and Biodiversity
3. People and Skills
4. Next Generation Delivery

Each sponsor will be asked to undertake the following, working closely with the CLC Co-Chair, Deputy Co-Chair, Workstream groups and BEIS officials:
1. Lead and oversee their respective workstream, working closely with various groups and sub-groups to develop and deliver the strategy to the agreed goals and timetable.
2. To act as industry spokesperson and champion for the relevant workstream to the sector, media and key stakeholders, working closely with the priority and sector industry leads.
3. To utilise their influence, personal and peer networks to support delivery of the priority, and effect change.
4. To offer constructive challenge to workstream leads, ensuring policy development addresses sector business requirements.

Application Process
Prospective applicants are asked to submit their CV and a covering letter (maximum 500 words) setting out their relevant skills and experience together with which role they are applying for to Construction.Enquiries@beis.gov.uk by close Monday 7 November. Your application will be assessed by CLC/BEIS officials.
Timetable
• 19 Oct: Applications open
• 14 Nov: Closing Date for applications
• w/c 21,28 November and 5 December: Interviews with short-listed applicants
• Early Dec: Successful candidates informed
• w/c 12 December: Successful candidates publicly announced

These roles are unpaid with appointments for a fixed-term basis of three years.
The time commitment for each role will include:
• Attending CLC monthly board meetings (1 hour)
• Policy engagement/communications (time to be agreed with the workstream lead)
• Chair workstream meetings and co-ordinate activities (4 hours per month)

If you have any further questions on the roles, please contact Stuart Young on Stuart.Young@beis.gov.uk

FIS responds to Government’s Net Zero Review call for evidence

FIS responds to Government’s Net Zero Review call for evidence

FIS has worked with its members to respond to the Government’s call for evidence on net zero. The Government has commissioned a review on the Government’s approach to delivering net zero to ensure it is pro-growth and pro-business. The Government has called all sectors and the public to provide their view on the current approaches. The Review is being led by former Energy Minister Chris Skidmore and will focus on the UK’s fight against climate change maximising economic growth – while ensuring energy security and affordability for consumers and businesses.

Details of the call for evidence can be found here: Net Zero Review: Call for evidence – GOV.UK (www.gov.uk). You can read our response here.

Support for business from the Energy Bill Relief Scheme

Support for business from the Energy Bill Relief Scheme

The Energy Bill Relief Scheme (EBRS) will provide energy bill relief for non-domestic customers in Great Britain.

It applies to all businesses, including those in the construction sector. The Scheme covers energy use for 6 months from 1 October 2022 to 31 March 2023. The EBRS applies to all contracts signed after 1 December 2021, for the supply of energy during the period covered by the Scheme. Contracts signed before 1 December 2021 will not have been affected by the recent rise in wholesale prices, so will not be eligible for support under the Scheme.

The latest guidance can be found on GOV.UK here. This includes information on eligibility, how the Scheme works, how your bill will be reduced and the planned review.

There is a similar scheme for Northern Ireland, providing a comparable level of support. Find out more about how the Northern Ireland scheme here.

The Government has published an Energy Bills Support Factsheet. This provides further details of the support available for businesses and non-domestic consumers with energy bills, as well as details of other policy measures being taken to ensure energy security and affordability.

The Construction Leadership Council CLC has pulled together some useful information to ensure businesses in the construction sector are clear on and able to access any available support.

To access a useful Energy Bill Relief Scheme FAQ produced by the CLC click here

For further energy saving advice from the CLC for construction firms click here

New Hospital Programme Industry Day

The New Hospital Programme (NHP) will be holding an Industry Day on Tuesday 13 December to outline how businesses across the supply chain can play a role in the biggest hospital building programme in a generation. With a target to develop 48 hospitals by 2030, the NHP will provide further information on how it is building better, faster and greener, following publication of its first commercial pipeline earlier this year providing visibility of contract opportunities up to 2024.

Places at the Industry Day are limited and members can register their interest to attend either in‐person at the Vox Conference Venue in Birmingham (B40 1PU) or online.

Working Rule Agreement Revised

Working Rule Agreement Revised

The Construction Industry Joint Council (CIJC) Working Rule Agreement (WRA) has been updated, following the 5% increase in the national pay rates in July 2022. The WRA ‐ also referred to as ‘The Pink Book’ ‐ sets out the terms and conditions for use across the industry and there are changes to the provisions relating to benefit schemes, pensions and temporary lay‐off.

As set out in the CIJC Holiday Entitlement 2022, this year’s two‐week Winter Break (Christmas shutdown) will run from normal finishing time on Friday 23 December 2022 to normal starting time on Monday 9 January 2023.

Build UK executive summary helps whole supply chain understand the Playbook’s key policies

Build UK executive summary helps whole supply chain understand the Playbook’s key policies

Following publication of the revised version of the Construction Playbook, Build UK has updated its executive summary which is designed to help the whole supply chain understand the Playbook’s key policies and its potential to transform the delivery of public sector projects.

The executive summary, which is endorsed by the Cabinet Office, now incorporates the additional and updated guidance provided in version 1.1 of the Playbook on key topics such as Modern Methods of Construction and Promoting Net Zero Carbon and Sustainability.

CPA provides economic update

CPA provides economic update

The CPA has produced an economic update which details

  1. Insolvency Service UK Construction Insolvencies (August 2022)
  2. ONS/Land Registry UK House Price Index (August 2022)
  3. Bellway Preliminary Results (October 2022)
  4. Travis Perkins Trading Update (2022 Q3)

The CPA draft Autumn forecast figures will be available from Monday 24 October although the CPA will confirm the figures and publish the pdf document in November after the Chancellor’s Medium-term Fiscal Plan and Office for Budget Responsibility (OBR) analysis alongside it have been released as well as the impacts of these on the financial markets, given the currently uncertainty regarding the UK economy and volatility in the financial markets.

Increased grant for drylining apprenticeships

Increased grant for drylining apprenticeships

CITB-registered employers can now receive an additional £2,000 on top of the existing grant (£2,500 per year for attendance and £3,500 for achievement) for Dry Lining Apprenticeships that started from 1 April 2022 onwards.  This is applicable for employers in each of the home nations.

  • £1,000 paid with first quarterly attendance payment (13 weeks),
  • £1,000 paid with the final quarterly attendance payment.

Your apprentice must complete 13 weeks of the apprenticeship before there is entitlement to the first £1,000 increase.  A maximum drylining increase of £2,000 is payable per apprentice.

In instances where apprentices change employers:

  • The first £1,000 grant is paid to the employer with which the apprentice first completes 13 weeks of their apprenticeship.
  • The final £1,000 grant is paid to the employer with which the apprentice completes their attendance.

You must use an approved apprenticeship provider that is on the Register of Apprenticeship Training Providers:  Download the Register of Apprenticeship Training Providers (RoATP) (education.gov.uk)

How to apply for the Grant

If CITB are your Apprenticeship provider, your dedicated Apprenticeship Officer will help you complete your application correctly.  If they receive your application within 20 weeks of the start date of the apprenticeship, they will begin making your grant payments, backdated to this start date.  The attendance grant will be paid automatically every 13 weeks.

If CITB are not your apprenticeship provider, you will need to complete an application form.  Download and save the 2022-2023 Apprenticeship Attendance Grant application (Excel, 207KB) and ensure you complete all sections before submitting.

Please note: Use Chrome or Firefox to download the application.  CITB recommend that you do not use Internet Explorer as you may have problems downloading.

You must provide evidence from your college or training provider that your apprentice is registered onto an approved apprenticeship programme.  This evidence must be provided from the college or training provider on either their headed paper or from their email address and it must contain the following information:

  • The full name of the apprentice.
  • The full apprenticeship standard course title and level including the pathway if applicable.
  • The apprentice’s start date with the college or training provider.

Evidence directly from an employer, certificates or unit credit reports are not acceptable evidence.

Send your completed application and supporting evidence as detailed above to Customer.servicesYNET@citb.co.uk.

New CITB Skills and Training Fund for subcontractors

New CITB Skills and Training Fund for subcontractors

There is a new £2.5k Skills and Training Funding opportunity for Employers with CIS only (No PAYE).  This is an enhancement to the Skills and Training Funds currently available: Skills and Training Fund funding from £2,500 to £25,000 over a 12‐month period for companies with 250 or fewer employees to train and develop their workforce. Detailed guidance on how to apply is available for both small and micro‐sized and medium‐sized businesses.

To apply for grant, applicants should visit CITB’s website.  The requirements specific to each grant type should be checked prior to submitting an application as some grants operate restrictions.  If you are unsure please contact Marie Flinter 07799 903103 or email marieflinter@thefis.org

Training qualification for dryliners working on house building

Training qualification for dryliners working on house building

FIS worked with NOCN to create a much needed training qualification for Dryliners working on house building projects.  Recent information received from NOCN shows there are 24 Centres approved to deliver with 40 Tutors and 37 Assessors assigned to the qualification.  If you are working in house building and need to train new entrant this is a perfect qualification to start their learning journey with.

For more information contact George Swann, FIS Skills and Training Lead on 07553 874838 or take a look at the NOCN web site: Dry Lining (housing)

SkillBuild National Finalists 2022 announced and FIS members dominate

SkillBuild National Finalists 2022 announced and FIS members dominate

After coming first in their regional qualifiers over 85 finalists will compete in the finals of SkillBuild 2022.  Described as “the UK’s construction’s Olympics”, SkillBuild will be delivered by CITB in conjunction with WorldSkills and will take place at Edinburgh College from 14–17 November 2022.

All eight finalists in the Plastering and Drywall category are from FIS members:

  • George Batchelor and Archie Downham – Measom Dryline East Midlands
  • Ben Henry, Ashley Carragher, Hugh Treanor and Shaun McKenna – Errigal Contracts Northern Ireland
  • Zara Dupont is a student at Leeds College of Building
  • From Neath Port Talbot College Sammy Young will compete in the Carpentry category, Paul Mason will compete in Painting and Decorating, Jack Holmes and Jonathan Donaldson are competing in Plastering.

You can see the full list of finalists on the WorldSkills website

George Swann FIS Skills and Training Lead said:

If you are an employer and you have an opportunity it is well worth a visit to see what the competition is about.

Construction Product Availability Statement from the CLC

Construction Product Availability Statement from the CLC

Construction Product Availability: 17 October 2022

Statement from John Newcomb, CEO of the Builders Merchants Federation and Peter Caplehorn, CEO of the Construction Products Association, co-chairs of the Construction Leadership Council’s Product Availability working group

As we move into the fourth quarter of 2022, all regions are reporting the best product availability in two years, both in the range and volume of products available and delivery/lead times.

Availability of bricks has significantly improved and deliveries of aircrete blocks are being managed.  Aircrete block manufacturers report strong sales of foundation blocks.  Historically this leads to increased sales of above ground blocks 4-6 weeks later. This year there is less correlation, and the increased below ground activity is likely due to builders seeking to get new starts registered before changes in Part L regulations next June.

While longer delivery times for gas boilers remain and early ordering is recommended, availability is more positive than for some months.

The situation is somewhat different for electro-technical products which continue to be affected by the restricted supply of semi-conductors.  Now, with rising interest in products related to energy saving, renewable energy production, storage and heating, there are further concerns over both availability and price escalation for electrotechnical products that may impact both the construction and facilities management sectors.

Although many construction sectors remain resilient and infrastructure and housebuilding activity has remained strong, there are early signs of softening in demand.  This is most clearly seen in the home improvement sector where the rising cost of living and increased costs of finance are denting consumer confidence, but also in a reduction in the number of large commercial construction contracts being placed.

Softening demand has led overall product price inflation to moderate slightly, dropping from 25% to around 17%.  Nonetheless, concerns remain over inflation tied to energy costs for manufacturers, despite the Energy Bill Relief Scheme announced by government last month and the fact that many manufacturers have already hedged energy costs.  The concerns are greatest for energy intensive products such as bricks, blocks, glass, steel, cement and ceramics that have already seen sustained price increases during 2022.  Some suppliers have already announced further increases from January.

Timber prices have fallen and there is plenty of stock on the ground, especially standard softwood sizes.  There are, however, gaps in speciality markets such as birch plywood, which is affected by sanctions against goods from Russia.  Anyone sourcing birch plywood should request full due diligence documentation to ensure it is legally sourced from Finland and Latvia.  We are aware of cheap birch plywood coming from China and Vietnam, where there are no birch forests, and is likely sourced from Russia.  Russian birch logs processed elsewhere cannot be legally sold in the UK.

Availability is not an issue for steel but rising rebar prices may be, again due to increased energy costs throughout Europe.  This has led to importing products from more unusual markets including Egypt, which may be of lesser quality.  The EU has also banned the import of semi-finished steel product from Russia, which may affect the availability of some steel products, particularly steel plate.

We note that shipping and logistics costs, capacity constraints and delays remain problematic but appear to be easing, though this is still very volatile depending on the products, countries and mode of transport involved.  For example, in general container shipping prices from Asia to the UK have dropped over 50% since January and punctuality has improved.  That said, the consensus amongst industry analysts is that high oil prices, strained global infrastructure, labour issues, Covid shutdowns in China and the war in Ukraine will cause logistics-related problems to persist and costs to remain elevated for the foreseeable future.

For all the work FIS is doing around inflation and availability, including recommended contractual terms click here

Lens Blog: Conflict Avoidance

Lens Blog: Getting Paid

FIS Consultant Len Bunton continues with the theme of getting paid, and what options are open to FIS members. These monthly Blogs are designed to help FIS Members avoid common traps and build on our focus on collective experience. 

One of the things you need to do is to make sure your invoice goes to the right person in the organisations who you are working for on a project, so establish that from the outset before work commences on site. In fact, I would encourage you to have this in the minutes in the Pre-Start Meeting Minutes, so there is absolutely no disagreement on this.

There has been an interesting survey recently which looked at why invoices are often rejected as follows…

Members can see the full blog

Drugs and alcohol policy

Drugs and alcohol policy

FIS members can access a template Drugs and Alcohol Policy which can be adopted by the whole supply chain to provide a consistent approach to the use of drugs and alcohol.

The policy has been developed by Build UK, working with Eurofins Workplace Drug Testing.

The policy recognises that there are different legal limits across the nations and workplace environments, along with various ways of testing and has been developed in response to calls from members to provide a consistent framework for drug and alcohol testing as well as dealing with instances of misuse, eliminating unnecessary duplication and waste across the industry.

The template policy can also be used to meet the relevant requirement in the Common Assessment Standard ‐ question 173 which asks ‘Do you have a drugs and alcohol policy?’.

Self‐declaration form issued to signatories of Prompt Payment Code

Self‐declaration form issued to signatories of Prompt Payment Code

The Small Business Commissioner has issued a self‐declaration form to signatories of the Prompt Payment Code, which are required to show they pay 95% of invoices to SMEs within 30 days and 95% of other invoices in 60 days.

Signatories will have until 9 November 2022 to return their self-declaration forms to certify they are still compliant with the Code.

Build UK’s payment performance table provides information on over 100 of the industry’s largest companies.

Fire prevention on construction sites

Fire prevention on construction sites

The Joint Code of Practice for Fire Prevention on Construction Sites, published by CIP Books, has been updated and made freely available to download. The 10th Edition of the code applies to all activities during design, procurement and construction to help projects design out risks and adopt safe working practices. Often used as a condition of construction insurance, the scope of the code applies to projects with an original contract value of £2.5 million or above, including smaller value contracts on these projects.

Government commission’s review of the Shortage Occupations List

Government commission’s review of the Shortage Occupations List

The Government has commissioned a review of the Shortage Occupations List (SOL) to identify whether other occupations need additional support when recruiting workers from outside the UK. The SOL, which lists the job roles where a worker can be paid 80% of the usual going rate whilst still qualifying for a Skilled Worker visa, will be reviewed to determine whether the current occupations should continue to be included and any new occupations with a RQF level 3 or above qualification should be added. Build UK will be contributing to the review through the reconvened CLC working group on immigration, and it is scheduled to be completed by March 2023 with any changes implemented by autumn 2023.

Under the Points‐Based Immigration System, most workers from outside the UK in construction are ‘skilled workers’ and require a Skilled Worker visa to work in an eligible occupation. Build UK has updated its flowchart providing an overview of the process of employing a worker from outside the UK, as well as its detailed guidance on How to Get a Sponsor Licence and How to Get a Skilled Worker Visa.