FIS is calling on the sector to help set up a taskforce to identify and look at individual tasks and situations that are difficult or seemingly not possible to achieve whilst adhering strictly to the Public Health England Guidelines.

There are a number of instances that are being identified in the Finishes and Interiors Sector where it may not be possible to comply with the 2m individual proximity rule.  It is the view of FIS that we need a structured process to look at individual tasks and situations that are difficult or seemingly not possible to achieve whilst adhering strictly to the Public Health England Guidelines.

We are therefore asking members to complete a very short survey that identifies instances where it is challenging to complete works whilst maintaining the 2m spacing.  Once we have compiled a list of specific tasks (e.g. installing head details, fitting a fire door, cladding etc. rather than issues related to site welfare), our plan will be to form a taskforce to review the list, create appropriate risk assessments and identify options, that will ensure, where possible, works can continue safely.

You can complete the survey and volunteer support here.

Through this process we aim to produce clear unambiguous guidance and a more agile approach to review innovative solutions and support the sharing of best practice.

Consistency will protect our people, business owners/duty holders and contractual positions and ensure that, where safe to do so, companies can either return to work or withstand unreasonable pressure to return.  Please complete the short survey via the link below and if you are a H&S Expert and able to support us by volunteering for this vital group, let us know.

All responses will be treated in the strictest of confidence.  We are looking for representatives from across the supply chain to support this taskforce.  Naturally we will be looking to collaborate with other parts of construction sector and feeding information in to instruct the ongoing work of the Construction Leadership Council.

FIS has a dedicated COVID-19 Hub on its website which contains targeted information and resources to help those operating in our sector – visit www.thefis.org/covid-19-hub/

It is with a sad heart that we have to inform you that Jean Birch has passed away from cancer.

Many of you might know Jean, she was CEO of the Partitioning and Interiors Association (PIA) and Association of Interior Specialists (AIS) for nearly 23 years, before retiring in January 2006.  She worked tirelessly for the organisation and her efforts and dedication set the foundations for the trade association we have today.

There will be a private family funeral, however it is hoped there will be a memorial service to celebrate her life later in the year for friends. If you knew Jean and would like any further information please email janeknight@thefis.org

FIS Associate Member ForrestBrown explains how the upcoming financial year-end could be an opportunity for members to get cash back from the tax man.

If your accounting year-end is 31 March, it’s worth reading this. If you are an innovative business, this is your deadline for claiming an R&D tax credit for your 2017/18 accounting period.

If you don’t think you’re innovating, many companies are surprised to learn that they qualify for this valuable source of funding, so it could pay to double-check. In fact, ForrestBrown has helped FIS members members receive over £3.5m in R&D tax credits.

Why do you need to act now?

You have two years from the end of your accounting period to submit an R&D tax credit claim for qualifying expenditure you’ve incurred in that period. Once the clock strikes midnight on 31 March 2020, you can no longer recoup any of the money spent on qualifying activities between 1 April 2017 and 31 March 2018. If you have already made a claim for this period but want to be sure you haven’t missed out on any untapped value, this same deadline applies for reviewing a claim too.

How do they work?

R&D tax credits are a government tax incentive designed to encourage innovation in the UK. The government rewards limited companies that are innovating because it knows that doing so brings significant benefits to the wider UK economy.

As a tax incentive, R&D tax credits are only available to companies that are liable to Corporation Tax.

You also have to be undertaking R&D, and have spent money on it. If you have developed new or improved products, processes, or services, you may be carrying out qualifying activity.

Examples of R&D in the finishes and interior sector include:

• Designing a glass partitioning system that meets certain acoustic requirements.
• Developing installation methods to accommodate the refurbishment of a listed building.
• Installing new partitioning systems that are sympathetic to the existing infrastructure.

What are they worth?

According to HMRC who administer the claims, the average R&D tax credit value to SMEs is £53,714. That’s cash that could spark the next big project, or fund the final push in creating something remarkable.

How much R&D tax credits are worth depends on how much money you have spent on qualifying R&D activity. You can include the following costs in your claim: staff, subcontractors, materials, and consumables (such as heat, light and power).

SMEs can recoup up to 33p for every pound spent on qualifying expenditure using the SME R&D tax credit scheme. This means if you have qualifying costs of £500,000, you could receive a benefit worth £166,750.

Large companies can recoup almost 10p for every pound spent using RDEC (research and development expenditure credit). This means if you have qualifying costs of £1,000,000, you could receive a benefit worth £97,200.

As one FIS member we’ve worked with for several years explains: “ForrestBrown always ensure our claim is fully maximised. They are experts when it comes to understanding HMRC’s guidelines, so we always have peace of mind that our claim will meet HMRC’s requirements.”

Don’t let your grant funding stop you

There is a misconception that the receipt of a government grant prevents you from claiming R&D tax credits. This is not true.

Instead, we would suggest that if you are grant-funded, you should certainly consider claiming R&D tax credits. How much your R&D tax credit is worth will depend on the nature of your grant – and whether you are able to make an SME, RDEC, or hybrid claim. 

How to beat your 31 March deadline

It’s best to work with true experts in this specialist area when submitting a claim. They will optimise the value of your claim. This means including everything that is valid, whilst also ensuring it can be robustly backed up should HMRC challenge it.

ForrestBrown is a member of FIS and has already delivered £3.5m for fellow members. To find out how much a claim could be worth to your business, get in touch with ForrestBrown Director and Chartered Tax Adviser Adam Kotas on 0117 926 9022 or via email at a.kotas@forrestbrown.co.uk

From 1 April 2020, FIS members will be able to apply for up to £25,000 of funding from the CITB Skills and Training Fund. 

CITB launched the fund in 2016 to help small and medium businesses invest in their people. Since its launch, the fund has delivered over £20m of funding to 4,500 employers who are developing the skills of their workforce and improving their businesses as a result.  

Access to the fund will be expanded to medium sized businesses from 1 April and to the FIS Training Group (FISTG).  

The fund covers a wide range of training and skills development activity including innovation, best practice and management and leadership training.  The fund also supports different forms of skills development such as coaching or mentoring, as well as training not currently covered by the CITB Grant Scheme (subject to eligibility).   

Applications must be construction specific and the amount claimable is dependent on the number of company employees:  

10-49 (small) = £5k
50-99 (medium) = £10k
100 – 149 (medium) = £15k
150-199 (medium) = £20k
200-250 (medium) = £25k 

For more information contact FIS Sector Engagement Manager Amanda Scott at amandascott@thefis.org or visit www.citb.co.uk/levy-grants-and-funding/grants-funding/skills-and-training-fund 

HSE has issued a new guidance: Asbestos in some types of marble and other stone: assessing the risk

Certain rocks and minerals, such as some types of marble and basalt, can occasionally contain very small amounts of naturally occurring asbestos.  This guidance is for those supplying, working with, or using marble or other stone products.  It provides an overview of naturally occurring asbestos in such products including: the risk to health; the actions you should take to comply with the law; and a staged approach to identifying any possible naturally occurring asbestos content.

A new report by the CBI provides interesting insight into the health of the UK construction sector.  Whilst it highlights that the construction industry is a vital part of the UK economy, it reinforces that the business models that underpin this are breaking.

The report starts by drawing out the importance of the sector noting that every £1 spent on UK construction creates £2.92 of value to the UK. The industry employs 2.3 million people directly – supporting over 3 million more indirectly – and construction activity contributes 6% of GVA.

In investigating why the operating environment is so precarious, the CBI Construction Council has looked at the role that risk allocation plays in the fortunes of UK construction. Poor risk allocation between clients and contractors prevents construction projects from being procured and delivered successfully, and the prevailing industry structure leaves major contractors and their subcontractors especially vulnerable to risk.

A rethink of the accepted wisdom in the industry’s business model is needed. As this report sets out, a series of behaviour changes are required across the industry to tackle the problem with risk and move towards a financially sustainable future.

The report acts as a rally call on businesses to break from poor habits, and on clients to bring new behaviours to the table.  Better risk management is highlighted as the major enabler and the report looks at how risk is squeezed onto the supply chain.

To report goes to look at the context of productivity when half the roles are classed as ‘manual’ occupations, noting that there are limits on how much more efficiency can be squeezed from such jobs. Additionally, labour shortages are more likely to constrain growth in the next decade: almost a third of the workforce are approaching retirement age, with 32.3% of workers (around 765,000 people) aged 50 or older.

Commenting on the report, FIS CEO Iain McIlwee said, “There is much in here that chimes with our own recent letter to the Chancellor and the work we are doing on the FIS Quality Framework – Product Process People.

Undoubtedly risk management is at the crux of change.  The report draws out some of the inherently unhealthy practices that are underpinning this.  In 1932 it was recognised that contracts should be balanced and JCT was born, it simply cannot be right that these contracts are often issued with pages of amendments that double the size of the document.  Clients should stop asking and we should stop accepting amendments to these contracts.  If enough clients did this and the public sector led the way, we would fix many of the problems overnight and make huge strides to improving culture.  My only criticism is that the report doesn’t dig far enough into the supply chain, we need to mirror these changes (like zero retentions and more time planning) through each stage.

We welcome the move to Integrated Project Insurance (IPI) that incentivises all those involved in an ‘alliance’ – this has the potential to drive real and rapid change.

One aspect where it does not go deeply enough is the opportunity to reconsider how we value buildings.  If we look to reward effective asset management and allow the building to be reflected in a more granular way on the balance sheet, people will start to consider how they manage and maintain that asset and, vitally, look in a more considered way at the reuse, recycle and rebuild options they can take.  It is not lost on us that a typical building will have upwards of 30 refits in its life!

Finally the report fails to offer solutions for the legacy that the industry carries based on all the conditions described that led to the total systemic failure that created the Grenfell Tragedy.  This is a real millstone around industry’s neck. We believe that a Building Safety Fund is essential to rebuild trust, at the end of the day if Government don’t step in as a line of first resort, they may well be the line of last resort and with less infrastructure around to help.”

Read the full report here

The Scottish Qualifications Authority (SQA) has produced a report looking at the changing skills landscape in construction, including the role virtual reality (VR) could play in assessment.

The report points out that a high proportion of the industry’s workforce is close to retirement. It says that the potential impact of this is worrying, as essential skills and knowledge are being lost, there is a decline in entrants to the sector, and there is a shortage of skilled workers in the pipeline to replace those retiring.

“More needs to be done to attract young people into the industry, but also to ensure that older members have up-to-date training,” it says. “It is imperative that employers focus on effective workforce planning to ensure vital skills are not lost within construction.”

Recent analysis of SQA data showed that the highest uptake of qualifications was in the 24+ age group, with the average age of its construction learners being 40.

The government’s focus on construction apprenticeships is also helping to bridge the skills gap, said SQA, facilitating entry into the sector by providing an alternative to traditional study methods and covering many key trades.  

SQA said that has been working towards bridging the skills gap through its range of construction qualifications. In 2017, it launched a further suite of construction qualifications in direct response to the removal of the Construction Related Occupation (CRO) card.

The report also refers to need to encourage all school pupils, especially girls, to consider STEM subjects when they choose their courses and career paths as a means of bridging the skills gap in the sector.

To read the full article visit https://www.theconstructionindex.co.uk/news/view/qualifications-body-reports-on-changing-skills-market

Build UK has published the latest payment results submitted by its members under the Duty to Report on Payment Practices and Performance, which continues to drive greater transparency across the construction sector and is leading to improved payment practices.

Contractor members showed particularly positive results, significantly reducing the time taken to pay invoices to an average of 36 days, down from 45 days just 18 months ago. Over a third have actually improved their performance by 15 days or more during this period. On average, Contractor members now pay 91% of their invoices within 60 days, up from 80%.

Build UK has been benchmarking its members’ payment performance since July 2018, in line with the target set out in the Government’s Construction Sector Deal. Build UK also continues to provide information on the payment performance of central Government departments, with 13 of the 16 departments paying over 95% of their invoices within 30 days.

Compiling data in this way has presented a coherent picture of payment practices within construction, which has been welcomed by Government for driving culture change and enabling informed decision-making.

This initiative, alongside the recent publication of guidance to support the Build UK recommendation on contract terms, is part of Build UK’s wider strategy to promote collaboration in the supply chain and tackle the wider issues associated with the high risk, low margin construction business model.

Build UK Deputy Chief Executive Jo Fautley said:

“We have seen consistent improvement from our members since Build UK began benchmarking their payment performance in 2018. Contractor members in particular have taken the opportunity to change the industry’s approach to late payment, recognising the importance of transparency to drive good practice. There is still work to be done but these latest results show that we are definitely heading in the right direction.”

Hot on the heels of the National Apprenticeship Week, it’s time for Scotland to showcase their apprentices.

‘Talent without Limits’ has been announced as the theme, which will celebrate the diversity and value that apprenticeships bring to employers, apprentices and communities across Scotland today. From highlighting the breadth of industries and roles available to the talent and energy apprentices bring into the workplace.

We urge all our FIS members based in Scotland and Approved Training Providers to let us know about any plans they have for the week and refer any stories/case studies that could help to promote the sector  – email details to yasminkauser@thefis.org or call 07741 552080 and DON’T FORGET to enter your apprentices into the FIS Scottish Awards – Apprentice of the Year category. The deadline for entry is 29 February. 

Check out our FIS Apprenticeship hub and watch and read some of the success stories here: www.thefis.org/skills-hub/careers-index/apprenticeships/

FIS Chief Executive Iain McIlwee attended Build UK’s ‘Any Questions?’ event last week, which delivered an informative and thought-provoking debate.

With HS2 being given the ‘green light’ earlier in the week, the event provided the ideal opportunity to think strategically about how construction must change to deliver an infrastructure revolution.

What matters to construction

• The panel was clear that collective culture change was required, with Nick Smallwood (Infrastructure and Projects Authority) pointing out that it starts at the top, giving the industry leaders in the room a clear role to play.
• Procurement took centre stage, from the impact of Carillion’s collapse and the transfer of risk through the supply chain, to the need for greater investment in technology and innovation. This will require a clear pipeline of work and more consistency from clients, which in turn would enable the supply chain to increase efficiency and productivity.
• Processes, people and skills were identified by Mark Farmer (Cast Consultancy) as crucial to winning back public confidence in the aftermath of Grenfell, while Ann Bentley (Rider Levett Bucknall) was passionate about the industry doing more to address the legacy of the fire and demonstrate that new buildings are both fit for purpose and perform as intended.
  Driving demand for more Modern Methods of Construction with its potential to meet challenging housing targets was raised – can this new way of working also address the desire for greater flexibility and job security?
• The panel was unanimous in its view that we should focus on the positives of working in construction, which included well paid roles at all levels when compared to other sectors.
• This led onto discussion of the current levy and training systems, and whether they are delivering the apprentices the industry needs. Peter Lauener (CITB) rose to the challenge, setting out how CITB was moving from being a delivery body to an enabling one, supporting employers to meet their skills needs.
• Finally, with the attention on net zero carbon, it was agreed that collective action is needed in an industry which contributes 40% of carbon emissions, and this will require a concerted effort from the whole supply chain.

After the probing questions and robust responses, the audience was left in no doubt that the current ways of working are unsustainable and the key question for the industry is whether it is truly ready to do things differently. This presents a huge opportunity, with Build UK and its members well placed to offer the leadership and collaborative working environment that can deliver lasting change and transform construction into a world-class sector.

The Scottish Government is now consulting on retentions and appears to favour a statutory retentions deposit scheme (the link to the consultations is here).  One option is supporting a statutory scheme to ring-fence the monies.  The consultation closes on 25 March 2020.

Regarding the Aldous Bill, which has been calling for a retention in trust policy in England, this Bill lapsed prior to the autumn prorogation of Parliament, but a new and similar Bill is being championed in Parliament by Lord Mendelsohn.

In support of this work SEC Group has worked up a scheme that could be used to ring-fence cash retentions.  SEC has been working as part of a consortium (involving a financial services company, a major insurer, a large tier 1 contractor and a software developer) and has now developed the structure for an IT platform that will support a retentions deposit scheme.  This factsheet provides a simple explanation of how the scheme will operate.  This will help to inform policy and future legislation.

The Construction Leadership Council is still favouring support for the Build UK Retentions Roadmap, which is anticipated to yield zero retentions by 2025.

We would be grateful if you could feed any views on this in to iainmcilwee@thefis.org

For more advice from FIS on retentions, visit the FIS Contractual/Legal Knowledge Hub here

One-day workshop: Low-cost automation for SMEs – 26 February

Digital Construction on a Shoestring is an approach to increasing the digital capabilities of companies in the construction sector by deploying low-cost solutions one at a time.

Featuring interactive discussion and demonstrations, the event will showcase the Shoestring approach, which aims to rapidly accelerate digital use by reducing both the cost and complexity of solutions using off-the-shelf technologies and open source software.

The workshop is aimed at:
• Manufacturing SMEs, trade associations and networks
• Low-cost solution providers
• Regional business councils
• Manufacturing systems research groups

The workshop is being hosted at Cambridge University on 26 February and is free to attend – although places are limited. More information is available here.

NHBC launches Building for tomorrow 2020

FIS has been invited to speak at the NHBC’s event for house-building professionals, Building for Tomorrow.  Now in its 29th year of bringing the latest insight and expertise to the industry, the series of eight regional roadshows are being held at venues across the UK from February to April.

This year’s theme is Managing Milestones, Meeting Expectations and Maximising Future Quality and it will see NHBC bring together a range of important topics in a tailored agenda for each roadshow. Speakers from NHBC and across the industry will share the latest technical and regulatory updates as well as providing insight into best practices.

FIS will discuss the subject of quality and how this can be managed along with clients expectations through a process from; writing a specification, agreeing a quality benchmark at the beginning of the build and inspecting the final work. The presentations will be delivered by FIS Technical Director Joe Cilia and FIS Technical Engagement Manager Nigel Higgins.

The Building for Tomorrow roadshows take place as follows:

• Taunton Rugby Club, Taunton – 25 February 2020
• Doubletree by Hilton Cambridge Belfry, Cambourne – 3 March 2020
• Haydock Park Racecourse, Merseyside – 5 March 2020
• Doubletree by Hilton Westerwood, Cumbernauld – 10 March 2020
• York Racecourse, York – 12 March 2020
• National Motorcycle Museum, Solihull – 17 March 2020
• Hilton, Templepatrick – 1 April 2020
• QEII Conference Centre, London – 23 April 2020

Tickets are £275+VAT per delegate for the London event and £215+VAT for each event outside of London. FIS members are eligible for a three for the price of two offer when using code BFT342. For more details, visit https://shop.nhbc.co.uk/product-category/awards-and-events/building-for-tomorrow/, call 0344 633 1000 or email buildingfortomorrow@nhbc.co.uk

FIS is supporting the CPA response to  the latest MHCLG Fire Safety:  Risk Prioritisation in Existing Buildings.  You can see the full response here.

The Health and Safety and Environmental Manuals are produced using experts from across the industry, who give their time to producing leading sector publications on health and safety, and environmental issues. With the support of Build UK and it’s Trade Association members the Manuals aim to be the first port of call as to what good health and safety and sustainability in construction looks like, and FIS members now get 30% discount off all formats of the Manuals.

The Hardcopy/CDROM manual is updated twice a year, and the online version CIP Knowledge continuously, to ensure it provides the latest policy and best practice. In the latest version, we have:

• Setting Up on Site – a new Section of the Manual has been introduced to identify a number of the issues that need to be considered in order to minimise the environmental impact of the site establishment phase of a project.
• Nuisance – the guidance on the registration and GHG emission limits of Non-Road Mobile Machinery within London is updated together with advice on the recognition of engine type approvals. Guidance on the avoidance of vandalism on sites is included.
• A completely updated Temporary Works section following the release of BS5975:2019 in 2019.
• Updated Piling and Electricity sections
• A new draft drugs and alcohol policy and completely redrafted guidance.
• A new legal register providing a summary of why a particular Act or Regulation is relevant to your business.

Also available free of charge is a bi-monthly environmental newsletter Insights and blogs from leading industry experts in their field.

Hardcopies and CDROM/USB versions can be purchased here and the online version at www.cip-knowledge.com. Free one month no obligation trials are available on the online version you just need to register. To ensure you get your 30% discount please use the Promotional Code BUILDUK.

FIS Technical Director Joe Cilia was delighted to be asked to join the Specifi 100 Voices speaker series at the Specifi London Interiors Roadshow event on Wednesday 5 February 2020.  The event brings together 100 thought leaders and activists across the construction sector to explore how this climate and biodiversity emergency declaration can be turned into practical action, the obstacles that must be overcome, and the tools available to specifiers to move towards the net-zero future.

Joe presented on how office partitioning has developed over the years to meet the changing requirements and functions of people within offices, how technology has allowed new ways of working and enabled flexibility within the work force and manufacturers have reacted to this demand for flexible layouts by developing relocatable and not just demountable partitions, that can be reused and are designed for deconstruction. 

The event was a great opportunity for us to update specifiers present about the best practice advice available from the FIS including the amazing vetted membership.