A tentative return to growth in Q2

A tentative return to growth in Q2

The health of the construction industry improved further in the second quarter of 2024, building from the stabilisation seen in Q1 to signs of modest growth emerging in the three months April to June.

Product manufacturers’ sales increased in the quarter, marking the first rise in two years for heavy side producers, whose products and materials typically feed into the early, structural build phases. SME contractors’ workloads were also reported to have increased, which follows two quarters of decline, albeit driven by a sole sector – repair, maintenance and improvement (RM&I).

Workloads were reported to have still contracted in new build housing and commercial/industrial. Meanwhile, workloads for civil engineering contractors expanded a run of growth to 15 straight quarters, driven by the activity underway on major infrastructure projects, in the energy sector and on frameworks in regulated sectors such as water and sewerage. This sectoral split was echoed in chartered surveyors’ workloads in Q2: infrastructure continued to provide activity, whereas workloads were reported lower in housing, commercial and industrial. Underscoring that a pickup in activity is coming off the back of a period of subdued economic growth and strong inflation, with households and businesses also adjusting to an environment of higher interest rates, forward-looking indicators were largely positive, but tentative. Civil engineering contractors’ order books rose in Q2, along with chartered surveyors and product manufacturers anticipating growth in workloads or sales over the next 12 months.

SME contractors reported that enquiries still decreased in Q2, and in all three main sectors of operation, although the overall net balance was the best in a year. One key longer-term theme for the construction supply chain was pervasive in all the Q2 surveys: the labour force – whether it be cost pressures from wages and salaries, difficulties in recruiting or employment cuts.

FIS members can read the full Construction Trade Survey results from the Construction Products Association, here

Market Data

FIS has access to a wide range of market data from sources including the CPA and Barbour ABI.  In addition, FIS produces a state of trade survey specifically for the finishes and interiors sector.

End Point Assessment for Interior Systems – Ceilings and Partitions is now available

End Point Assessment for Interior Systems – Ceilings and Partitions is now available

We are pleased to announce that NOCN is now providing end point assessment services for Option 2: Ceiling and Partitions of the following apprenticeship standard:

  • ST0388, Interior Systems Installer, Level 2

In response to industry needs, a temporary dispensation has been applied to Option 2, effective until 6 Janaury 2025. This dispensation for an extension of up to 8 additional hours for practical observation and questioning assessment method, bringing the total duration to a maximum of 20 hours. Please note that this dispensation may be withdrawn if it is no longer necessary.

We extend our thanks to FIS members, employer representatives and the trailblazer group for their support and significant contributions to the development of this option.

Fire test data for sound reduction products

Fire test data for sound reduction products

A recent safety report from Collaborative Reporting for Safer Structures UK (CROSS) has highlighted the importance of considering reaction to fire performance in discontinuous ceiling and baffle products. Often these products may offer excellent sound absorption properties using PET or similar materials which can contribute to the development of a fire and therefore may require a classification in accordance with BS EN 13501-1 that aligns with the guidance in Approved Document B or other specified fire strategy.

Reaction to fire classification is derived from tests against a number of standards that vary in applicability between materials and applications so make sure to check with the manufacturer before specifying that the evidence provided is representative of the product in its installed application.

The full report can be read here.

Making use of Sector Based Work Academies

Making use of Sector Based Work Academies

Sector-based work academies (SWAP) are another DWP Funded programme that can support individuals transitioning into a new field of work.  They provide training and education for those currently receiving unemployment benefits. The goal is to equip them with the skills needed to apply for jobs in a different sector.  Academies are tailored to meet the immediate and future recruitment needs of employers, ensuring the workforce is prepared to support business growth.

 FIS is working with West London College and DWP to deliver SWAPs in the area.

A key component of the SWAP model is the provision of a guaranteed job interview, work experience, or employment, enabling members to efficiently recruit candidates

Recruiting through a SWAP has many benefits, such as:

  • Employers get access to candidates who have undergone relevant pre-employment training tailored to the specific needs of the job role.
  • Trial period for candidates
  • The work experience component of SWAP allows employers to assess candidates’ suitability and fit for the role in a real-world setting before making permanent hiring decisions.
  • By providing tailored training and work experience, SWAPs help ensure candidates are well-prepared for the job, which can lead to higher retention rates.
  • SWAPs often focus on helping unemployed individuals, including those from underrepresented groups, re-enter the workforce, enhancing workforce diversity.
  • Participation in SWAPs demonstrates a company’s commitment to supporting local employment initiatives, which can enhance its reputation within the community.

West London College have put together a short video detailing what the SWAP includes.

Please get in touch if you can support and are able to offer work experience or employment and keen to get involved in the SWAP.

FIS has a dynamic Skills Board that helps to drive our work in this space.  If you would like to join the Skills Board or have a colleague who could help target our collective effort, please do consider getting involved.  Find out more here.

World Suicide Prevention Day – the importance of starting the conversation

World Suicide Prevention Day – the importance of starting the conversation

Tuesday 10 September marks World Suicide Prevention Day, part of National Suicide Prevention Month. This campaign aims to raise awareness about suicide preventionand how we can work together to create a world where fewer people die by suicide.

Currently, more than 700,000 people a year take their life around the world and by raising awareness, reducing the stigma and encouraging action, we can help to reduce the instances of suicide around the world.

This year’s theme is ‘Changing the Narrative on Suicide’, which serves as a chance to #StartTheConversation around suicide and shift the culture to one of openness, empathy and support. Every chat, no matter how small, will build a supportive and understanding society and help provide support to anyone who is struggling.

There are lots of available services that can be accessed for anyone who is struggling:

https://www.samaritans.org/support-us/campaign/world-suicide-prevention-day/

FIS has a Mental Health Hub where you can find information and resources to help you with your mental health and wellbeing.

Grenfell Inquiry: Key conclusions and recommendations for the finishes and interiors sector

Grenfell Inquiry: Key conclusions and recommendations for the finishes and interiors sector

The publication of the Grenfell Inquiry Report Part 2 is another landmark for our sector.  The video below is worth watching, it is the introduction to the findings and thoughts of the Inquiry Committee.  As well as a good high-level summary, the committee conveyed well the emotion that surrounds this work and the devastation that the failings identified have had on people, families and communities.  Thouria Istephan, particularly reminded us as she introduced the recommendations:

“Put simply, if you work in the construction industry and you do not feel the weight of responsibility you have for keeping people safe, you are in the wrong job”.

The Main Conclusion

The Inquiry was divided into two phases; Phase 1 which addressed the events on the night of the fire; and Phase 2 which investigated the wider situation understanding the underlying causes and mistakes and bringing forward information and recommendations that can be used to ensure a similar disaster does not happen again.

The main conclusion from the Inquiry is that deaths were avoidable and those in the tower were failed by a number of people, systems and organisations, these include:

  • The Government
  • The Tenant Management Organisation
  • The Council
  • Manufacturers
  • Certifiers
  • Architects
  • Principal and Specialist Sub Contractors
  • Consultants and
  • The London Fire Brigade

Key Points of Focus for the Finishes and Interiors Sector

On Regulation, the Inquiry concluded that:

“The system of regulating the construction and refurbishment of high-rise residential buildings that existed at the time of the Grenfell Tower fire was seriously defective in a number of respects. The statutory guidance in Approved Document B was poorly worded and liable to mislead designers into thinking that complying with its terms would inevitably ensure that the building would comply with the legal requirements of the Building Regulations.”

On Products and Product Testing the Inquiry concluded that there was “systematic dishonesty”, “deliberate manipulation” and “calculated attempts to mislead that products met the requirements”.  It also concluded that certification bodies had not effectively separated commercial pressures from their responsibilities to assurance.

It was highlighted that in the tender process parties were appointed that were clearly not competent to fulfil the functions that they were allocated.  The design process (or lack thereof) was heavily criticised.  Two key statements in the report that shine a light on the impact of cost engineering (I refuse to call it value engineering) and that reinforce why the design and procurement processes need to be better integrated and managed were:

“Although Rydon’s (the appointed Main Contractor) tender was judged to be the most competitive, it still exceeded the TMO’s budget. As a result, although the TMO had received advice from its lawyers that it would be improper to do so, it entered into discussions with Rydon before the procurement process had been completed leading to an agreement that, if Rydon were awarded the contract, it would reduce its price to an acceptable level.”

and how poor contracts and processes lead to confusion and responsibility not effectively allocated, understood or managed

 “Studio E (Architect), Rydon (Main Contractor) and Harley (Cladding Specialist) all took a casual approach to contractual relations. They did not properly understand the nature and scope of the obligations they had undertaken, or, if they did, paid scant attention to them. They failed to identify their own responsibilities for important aspects of the design and in each case assumed that someone else was responsible for matters affecting fire safety. Everyone involved in the choice of the materials to be used in the external wall thought that responsibility for their suitability and safety lay with someone else.”

There are reminders throughout that, not being told and ignorance is not an effective excuse – there were repeated failures to ask and clarify.  The report is also highly critical of the Building Control sign-off process, Building Management and the response of the fire and rescue service.

Next Steps and Recommendations

The report is a hard read, not because it is not well written – it is an excellent, accessible and clear summary of the environment and events that led to the tragedy that was Grenfell.  It is a hard read because, as was expressed by the panel, the elements that caused this tragedy have become endemic in the working practices and are part of the sector’s culture – this has to change.

The Report presents 58 recommendations.  The key ones that could impact our community are:

Revisiting the Scope of the Building Safety Regulator:  Recommend that the government draw together under a single regulator all the functions relating to the construction industry to which we have referred:

  • the regulation of construction products;
  • the development of suitable methods for testing the reaction to fire of materials and products intended for use in construction;
  • the testing and certification of such products;
  • the issue of certificates of compliance of construction products with the requirements of legislation, statutory guidance and industry standards;
  • the regulation and oversight of building control;
  • the licensing of contractors to work on higher-risk buildings;
  • monitoring the operation of the Building Regulations and the statutory guidance and advising the Secretary of State on the need for change;
  • carrying out research on matters affecting fire safety in the built environment;
  • collecting information, both in this country and abroad, on matters affecting fire safety;
  • exchanging information with the fire and rescue services on matters affecting fire safety;
  • accrediting fire risk assessors;
  • maintaining a publicly available library of test data and publications.

Revising the Definition of Higher Risk Building: To define a building as “higher risk” by reference only to its height is unsatisfactory, being essentially arbitrary in nature.  More relevant is the nature of its use and, in particular, the likely presence of vulnerable people, for whom evacuation in the event of a fire or other emergency would be likely to present difficulty. Recommendation that the definition of a higher-risk building for the purposes of the Building Safety Act be reviewed urgently.

Appoint a Chief Construction Adviser:  The minister will need to be able to turn for advice to someone who has good working knowledge and practical experience in the construction industry.  The Inquiry recommends that the Secretary of State appoint a Chief Construction Adviser with a sufficient budget and staff to provide advice on all matters affecting the construction industry, including:

  • monitoring all aspects of the department’s work relating to the Building Regulations and statutory guidance;
  • Provide advice to the Secretary of State on request;
  • bringing to the attention of the Secretary of State any matters affecting the Building Regulations and statutory guidance or matters affecting the construction industry more generally of which the government should be aware
  • Legislation and guidance

Clarify the Statutory Guidance: Recommend that the statutory guidance generally, and Approved Document B in particular, be reviewed accordingly and a revised version published as soon as possible.  Documents should be drafted conservatively and reviewed annually or promptly whenever developments make them advisable.

Fire safety strategy:  Recommend that it be made a statutory requirement that a fire safety strategy produced by a registered fire engineer (see below) be submitted with building control applications (at Gateway 2) for the construction or refurbishment of any higher-risk building and for it to be reviewed and re-submitted at the stage of completion (Gateway 3).

“A compassionate society protects the most vulnerable”:  When Approved Document B is revised, to ensure the safety of occupants, including any with physical or mental impairments, those who design high-rise buildings need to be aware of the relationship between the rate at which fire is likely to spread through the external walls and the time required to evacuate the building or the relevant parts of it.

A stay-put strategy in response to a compartment fire will be acceptable only if there is negligible risk of fire escaping into and spreading through the external wall. Calculating the likely rate of fire spread and the time required for evacuation, including the evacuation of those with physical or mental impairments, are matters for a qualified fire engineer.

Competence of Fire engineers is critical:   Recommendation that the profession of fire engineer be recognised and protected by law and that an independent body be established to regulate the profession, define the standards required for membership, maintain a register of members and regulate their conduct.  This was linked to recommendations to tighten up competency statements and a process to improve training and qualifications to support.

Certification of products and publication of test data:  Recommend that the construction regulator should be responsible for assessing the conformity of construction products with the requirements of legislation, statutory guidance and industry standards and issuing certificates as appropriate. It is expected such certificates should become pre-eminent in the market.

Copies of all test results supporting any certificate issued by the construction regulator be included in the certificate; manufacturers be required to provide the construction regulator with the full testing history of the product or material to which the certificate relates and inform the regulator of any material circumstances that may affect its performance; and manufacturers be required by law to provide on request copies of all test results that support claims about fire performance made for their products.

Architects:  Recognition that both the Architects Registration Board and the Royal Institute of British Architects have taken steps since the Grenfell Tower fire to improve the education and training of architects. Recommendation that they should review the changes already made to ensure they are sufficient in the light of findings.

Recommendation that it be made a statutory requirement that an application for building control approval in relation to the construction or refurbishment of a higher-risk building (Gateway 2) be supported by a statement from a senior manager of the principal designer under the Building Safety Act 2022 that all reasonable steps have been taken to ensure that on completion the building as designed will be as safe as is required by the Building Regulations.

Contractors:  A licensing scheme operated by the construction regulator be introduced for principal contractors wishing to undertake the construction or refurbishment of higher-risk buildings and that it be a legal requirement that any application for building control approval for the construction or refurbishment of a higher-risk building (Gateway 2) be supported by a personal undertaking from a director or senior manager of the principal contractor to take all reasonable care to ensure that on completion and handover the building is as safe as is required by the Building Regulations

Clients:  Broadly here recommendations focussed on assessing the impact of the new responsibility regime set down in the Building Safety Act

Building control:  Recommendation that the government appoint an independent panel to consider whether it is in the public interest for building control functions to be performed by those who have a commercial interest in the process.

The shortcomings we have identified in local authority building control suggest that in the interests of professionalism and consistency of service all building control functions, including those currently performed by local authorities, should be exercised nationally. Accordingly, it is recommended that the same panel consider whether all building control functions should be performed by a national authority.

A construction library:  Recommend that the construction regulator sponsor the development of a  library (i.e. a body of information, such as data from tests on products and materials, reports on serious fires and academic papers), perhaps as part of a joint project with the University of Queensland (who have a Cladding Material Library), to provide a continuing resource for designers.

Other recommendations have been made targeted at Social Housing Providers, the Fire and Rescue Service and Fire Risk Assessors as well as specific recommendations have been made to cover fire control switches, pipeline isolation valves and ageing pipework

Next Steps

The Inquiry report has opened the door to a wave of civil cases and criminal prosecutions –  the Metropolitan Police and Crown Prosecution Service still have under investigation some 19 companies and organisations, along with 58 individuals.   The likelihood is that before charges are made (the Police have said in their statement they need 12-18 months to review the findings of the Inquiry alongside their investigation) and the backlog in the Courts in navigated, we are still a few years away from people standing in the dock, but it will come.  The Inquiry has pulled no punches and individuals and organisations have been named and subjected to heavy criticism and serious allegations have been made.  

In the meantime, the Prime Minister has apologised on behalf of the Government for their identified failings and promised to speed up the re-cladding (the recent fire in Dagenham adds to the pressure here).

In terms of the recommendations, these don’t automatically become law.  The Inquiry has tried to put a foot on the throat of the Government by making a subsequent recommendation “that it be made a legal requirement for the government to maintain a publicly accessible record of recommendations made by select committees, coroners and public inquiries together with a description of the steps taken in response. If the government decides not to accept a recommendation, it should record its reasons for doing so. Scrutiny of its actions should be a matter for Parliament, to which it should be required to report annually

Some of these recommendations are a bit left field and will require significant consultation, not least bringing “everything” under one Regulator. With the Building Safety Regulator so new this will be a challenge.  Particularly here I would draw attention to Nationalising Certification, this would not be a change that could be rapidly implemented.  The arguments are well reasoned, but there is also recognition of the failures in existing oversight by Government and the UKAS organisation.

The concept of Licensed Contractors has been raised before, there is precedence internationally.  Again the devil will be in the details of the consultation, but it could also support more consistency and a tighter control over how supply chains are engaged and supported.

If I have a disappointment it is that the Inquiry hasn’t pushed hard enough onto why and how the design process failed.  It has not really gone into the “how” a lack of control around the manipulation of risk through contract has fuelled the blame game and the lack of clarity over who should have been doing what and who should have been checking what.  For me the contracts define the relationships and understanding of responsibility and are very much at the epicentre of the cultural issues that we face.  We need to be far stricter on how these are controlled and how design, procurement and contract align to help clarify responsibility and encourage collaboration.

As a final comment the report does a good job in reminding is why this process and our reaction to it is so important, it does not shirk away from the detail of how the failings referenced above caused the death of individuals – the detail is harrowing in places and rightly so.

You can read the full Grenfell Inquiry Phase 2 Report here:

GTI – Phase 2 report Executive Summary

GTI – Phase 2 full report – volume 1 (Part 1 – Introduction; Part 2 – The path to disaster)

GTI – Phase 2 full report – volume 2 (Part 3 – The testing and marketing of key products)

GTI – Phase 2 full report – volume 3 (Part 4 – The Tenant Management Organisation; Part 5 – The management of fire safety at Grenfell Tower)

GTI – Phase 2 full report – volume 4 (Part 6 – The refurbishment of Grenfell Tower)

GTI – Phase 2 full report – volume 5 (Part 7 – Replacement of the gas riser, Part 8 – The London Fire Brigade)

GTI – Phase 2 full report – volume 6 (Part 9 – The deceased)

GTI – Phase 2 full report – volume 7 (Part 10 – Response and recovery; Part 11 – Matters outstanding from Phase 1; Part 12 – The fire testing regime; Part 13 – International responses; Part 14 – Recommendations; Appendices)

Article Written by Iain McIlwee, CEO Finishes and Interiors Sector, 6th September 2024

 

Lens Blog – Don’t sign your life / company away

Lens Blog – Don’t sign your life / company away

Len’s consultancy has never been busier dealing with so many commercial and contractual issues for clients – a sign of the times as financial pressures continue to mount within the UK construction industry.

A consistent problem is the price that so many contractors are now paying for entering into contractual terms some time ago, with the problems coming home to roost now because sadly they’ve entered into contracts that have significant amendments and onerous and unfair provisions, and they are now having to fight their way out of a difficult situation, because of this.

In this article, Len provides some advice to help members to avoid getting into a contractual mess, as they chase work opportunities.

Members can access the full blog

Apprenticeships simplified

Apprenticeships simplified

CITB’s New Entrant Support Team (NEST) recently hosted a webinar discussing Support for Apprenticeship.

Members can access a recording of this webinar here.

This webinar explains the support and resources available from the NEST team and how they can support, covering:

  • Understand apprenticeship funding and requirements
  • Recruit apprentices in a way which is simplified and accessible
  • Retain apprentices by supporting them with on-programme interventions and mentoring training
  • Understand the CITB grants and how employers can benefit
Nominations now open for the Inspiring Change Awards

Nominations now open for the Inspiring Change Awards

The Inspiring Change Awards celebrates organisations and individuals within the built environment sector that have created inclusive cultures through activities to support workplaces, education of the current and future workforce, and the community. Nominations are invited from organisations and projects that have introduced innovative and creative initiatives within the last two years.

Entry is now open for the following catgeories, and will close on 13 September 2024.

Find out full details on the nomination process here.  Please email completed nomination forms to InspiringChange@supplychainschool.co.uk

FIS Head of Skills, Beena Nana is a judge for the 2024 Awards and said:

FIS is delighted to be supporting the awards and working with colleagues from across the industry to challenge all of us to be better and spotlight positive stories that can inspire us all.

The winner of the Awards will be announced at the 2024 Conference which will bring together a range of inspirational speakers from diverse backgrounds and workplaces to share their expertise. For more information on the conference and to book your place click here.

 

 

 

 

Are you looking to employ an apprentice or new entrant?

Are you looking to employ an apprentice or new entrant?

How CITB’s New Entrant Support Team (NEST) can support you and your business

Are you looking to employ an Apprentice or New Entrant? If you are CITB registered and up to date with your levy the CITB New Entrant Support Team can support you throughout your journey, including:

  • Recruitment
  • CITB Funding
  • Admin (including setting up your Government Digital Account to access additional Grants)
  • Retention

If you wish to find out more, please contact marieflinter@thefis.org for a link to the following Webinars:

26 November 2024 – 09:30/10:30

27 February 2025 – 09:30/10:30

25 March 2025 – 16:00/17:00

Conflict Avoidance Conference – Promoting Co-operation in Construction

Conflict Avoidance Conference – Promoting Co-operation in Construction

FIS Chief Executive Iain McIlwee will be speaking at the Conflict Avoidance Conference on 2 October in London. Iain will be discussing the Conflict Avoidance Pledge including the tools required to avoid and manage emerging disputes.

Speakers include Sir John Armitt, Chair of the National Infrastructure Commission, Tim Tapper, Director of Contract Services at Turner and Townsend, Sue Barrett Head of Contracts & Procurement at Houses of Parliament Restoration & Renewal and FIS CEO Iain McIlwee. 

Commenting on his contribution on one of the panels, FIS CEO Iain McIlwee said:

“I will be using data from the Reading Report and the ongoing research and dialogue Finishes and Interiors Sector has with our community to make the case that better buildings need better contracting. Better Safety and Sustainability are for many locked away by irresponsible contractual appointments and punitive combative behaviours. If you want to unlock better mental health in construction, better occupational health, genuine net zero deliverables, a collaborative approach to building safety and the strategic planning that underpins investment in the skills and technology needed to improve productivity, then we do need to start here. If you disagree, come along and tell us why, if you agree support the Pledge, come along and share ideas and if you aren’t sure get yourself along and listen to the debate”.

Places at the conference are limited, so please book early to avoid disappointment – you can secure your place here.

Should you sign the Conflict Avoidance Pledge?  Find out why FIS is supporting it here.

See more news likes this

Start your Net Zero journey with a free assessment

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Construction to Production Masterclass

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Transform your construction projects with Toyota’s production thinking. The Construction to Production Toyota Masterclass is a one-day, high-impact programme designed specifically for Directors, Business Owners, and Operational Leaders in the construction industry....

FIS Members vote “No” to CITB Levy proposals

FIS Members vote “No” to CITB Levy proposals

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FIS announces new partnership with UK Asbestos Training Association (UKATA)

FIS announces new partnership with UK Asbestos Training Association (UKATA)

FIS is thrilled to announce a new partnership with UKATA, a leading authority in asbestos training. This partnership solidifies the collaboration between the two organisations and aims to further enhance the education and training opportunities related to asbestos across the construction and interiors sectors.

This new relationship reflects the commitment of both organisations to work closely together in advancing asbestos awareness and safety measures across the industry. By combining their expertise, resources, and industry knowledge, UKATA and FIS intend to strengthen efforts to prevent asbestos-related diseases and ensure the highest standards of safety in asbestos management.

Debbie Nixon, UKATA Senior Operations Manager expressed her excitement about the partnership saying,

“We are delighted to formalise our collaboration with the Finishes and Interiors Sector, and I look forward to contributing to our collective efforts to raise awareness about the dangers of asbestos.”

Iain McIlwee, Chief Executive of FIS commented,

‘Asbestos has slipped out of the headlines a bit in recent times, but we cannot get complacent. It is true that usage has been banned since the turn of the century, but it was so widely used historically that we will continue to encounter it in refurbishment works for many, many years to come. If disturbed and inappropriately managed, it is a killer and one of the worst we have known in construction – there is no safe level of exposure. It is critical that construction workers know how to identify and react when they encounter asbestos, not just for their own safety, but for all those around them. This new partnership is about ensuring that the next generation of construction workers have access to the training they need and are not at risk from decisions made in the past and eminently avoidable mistakes that ignorance and complacency may allow today’.

Both UKATA and FIS share a common commitment to asbestos awareness, training, and safety.

Early positive signs for construction product manufacturing amidst long-term challenges

Early positive signs for construction product manufacturing amidst long-term challenges

The Construction Products Association’s latest State of Trade Survey showed early signs of recovery for the construction product manufacturing sector in the second quarter of 2024. Both heavy side and light side firms reported a quarterly increase in product sales volumes, although concerns remain over the near-term strength of demand and labour availability.

In 2024 Q2, a balance of 30% of heavy side manufacturers reported that sales of construction products increased, marking the first quarterly growth since 2022 Q2. Alongside this, 13% of light side manufacturers reported a rise in product sales.

Despite growth over the quarter, comparisons with a year earlier remained weak, reflecting two years of flatlining GDP growth and an extended period of interest rates being held at peak resulting in a significant reduction in demand from private housing new build and repairs, maintenance and improvement (rm&i). Manufacturers’ expectations for the next 12 months were positive in Q2, with growth expected by both the heavy side and the light side. Nevertheless, the strength of demand continued to register as a concern, whilst a record-high proportion of manufacturers flagged up concern over the availability of labour.

Rebecca Larkin, CPA Head of Construction Research said:

“After an extended period of declining sales, particularly on the heavy side, encouragingly we are now seeing the green shoots of recovery. For the heavy side this was the first quarterly growth recorded in two years and given this context, it is perhaps not surprising that sales volumes were still reported lower when comparing to a year earlier given the longer-running weakness experienced by product manufacturers feeding into a slower residential construction sector.

“Whilst cuts in interest rates are expected to be the catalyst for a recovery in the two largest sectors of construction, private housing and private housing rm&i, manufacturers continue to highlight both demand-side and supply-side challenges. In common with construction, one of the industry’s biggest longer-term issues will be attracting and retaining workers.”

Key survey findings include:

  • A balance of 30% of heavy side firms and 13% of light side firms reported that construction products sales rose in 2024 Q2 compared with 2024 Q1, the first heavy side growth in two years
  • Comparing 2024 Q2 with 2023 Q2, 30% of heavy side manufacturers reported a decrease in sales, on balance
  • 56% of heavy side manufacturers and 23% of light side manufacturers anticipated a rise in sales over the next 12 months
  • 57% heavy side manufacturers and 49% of light side manufacturers cited ‘demand’ as the key concern for sales over the next 12 months
  • 29% of heavy side manufacturers also cited ‘labour availability’ as a concern, the highest proportion on record; this proportion was 27% for light side manufacturers
  • All manufacturers reported an increase in wages and salaries compared to a year earlier

FIS members can access the full report here.

 

Market Data

FIS has access to a wide range of market data from sources including the CPA and Barbour ABI.  In addition, FIS produces a state of trade survey specifically for the finishes and interiors sector.

Interested in becoming a STEM Ambassadors?

Interested in becoming a STEM Ambassadors?

As construction output is expected to grow the finishes and Interiors sector needs to recruit new entrants so that it can keep working. The STEM Ambassador Programme is partnered with the Construction Industry Training Board (CITB) to facilitate the Go Construct Construction STEM Ambassador scheme. Through this collaboration, they aim to showcase the amazing career opportunities in construction and inspire young people to work in the industry.

Go Construct STEM Ambassadors act as the face of the industry for young people, inspiring them to consider a career in construction and the built environment through sharing their experiences and promoting opportunities. The commitment is to be involved in at least two activities per year. Ambassadors lead a wide range of activities, including:

  • Running a trade stand at a careers fair, answering questions and handing out leaflets.
  • Delivering a talk, sharing your experiences of getting into and working in the industry.
  • Leading practical sessions or workshops, giving young people a taste of life in construction.
  • Providing one-to-one mentorship to someone who is just starting out.
  • Network with like-minded professionals, developing your own career as an ambassador.

Not only is becoming a Go Construct STEM Ambassador a great way to develop your employability skills and become a part of a community, through activities you will be helping to inspire the next generation of construction workers and change perceptions about the industry and the Finishes and Interiors Sector.

Please contact Marie Flinter a call on 0121 707 0077 or 07799 903103 or email marieflinter@thefis.org for more information and to join the upcoming webinars.

  • Tuesday 20 August – 12:00/13:00
  • Tuesday 17 September – 10:00/11:00

If you are already a registered STEM Ambassador working in the finishes and interiors sector, please let Marie know.

CLC advises next Government to deliver certainty on pipeline, unlock small site housebuilding and reform planning system

CLC advises next Government to deliver certainty on pipeline, unlock small site housebuilding and reform planning system

The Construction Leadership Council has today published a letter of advice for the next Government, detailing a series of policies that would help the construction industry create economic growth, build much-needed new housing and deliver the UK’s infrastructure pipeline.

The letter, signed by 16 members of the Construction Leadership Council, has been sent to the leadership of both the Conservative and Labour parties, and is intended to offer non-partisan guidance on closing the industry’s productivity gap and maximising its contribution to the UK economy. Specific measures include a presumption in favour of development on small sites, to support smaller housebuilders and improve housing supply, committing to publish an updated five-year National Infrastructure and Construction Pipeline shortly after any budget or fiscal event, and setting out a 10-year policy and regulatory roadmap for the retrofit sector.

The CLC argues that the policies would each help to unlock productivity in the construction industry, encouraging investment in new capabilities, skills and technology; closing the gap between the sector and the wider economy – in turn helping to create £45bn of additional added value annually for the UK; the equivalent to 2% of GDP.

The policies are grouped under five ‘Ps’ – pipeline, procurement, places to live, performance and people – and represent the collective priorities of the CLC members across all parts of the construction industry, from SME housebuilders and materials suppliers to the largest contractors and clients, as well as the CLC’s 2023 report into construction productivity.

The CLC is a non-political body and works in partnership between industry and Government. As such, the letter is addressed to any future government, and has been written to be agnostic to the outcome of the 2024 General Election.

Mark Reynolds, Co-Chair of the CLC and Chairman and Chief Executive of Mace, said:
“Whatever the result of the election in July, the fact remains that the construction industry offers any incoming government the biggest opportunity to create sustainable economic growth and unlock the potential of peoples, places and projects all over the country.

“The CLC is asking politicians of all parties to take this opportunity seriously, review our recommendations and ensure that businesses all over the UK are given the certainty and confidence they need to invest in a brighter future for the sector.”

Best Practice Guide to Heritage Plastering launched by FIS

Best Practice Guide to Heritage Plastering launched by FIS

FIS has today launched its Best Practice Guide – Repair of Historic Ceilings to help promote best practice in the repair and restoration of historic plaster ceilings.

Produced by the FIS Heritage Plaster Group which includes representatives from the plastering trade and building conversation, and written by Sarah Mayfield, a building conservator, sculptor and ornamental plasterer, the guide is an invaluable aid to building owners, managers, architects or surveyors, plaster contractors or conservation officers. This publication will guide them through the specification of traditional ceilings, the multiple varying scenarios and the advantages and disadvantages of each repair technique in accordance with its historic value.

Split into sections, the guide covers everything from the principles of building conversation to understanding the history of the ceiling and its materials, along with the assessment process. It offers a series of points to consider when carrying out repairs in terms of the appropriate materials and techniques, and suspension methods, and includes:

  • Guidance for inspection procedures, scope and site considerations
  • Assessing the historic value and significant features
  • Understanding past interventions, historic maintenance work to the ceiling and its value
  • Future inspection regimes
  • Competence of plaster inspectors and craftspeople

‘It’s a document written for the trade by the trade, and I think that gives it some strength and relevance,” said Roger Curtis MRICS, Head of Technical Resources, Operations Directorate at Historic Environment Scotland.

Commenting on the Guide, FIS Technical Director Joe Cilia said this guide is the culmination o almost three years work to ensure that the content was relevant, informative and importantly peer reviewed by the sectors conservators, craft experts and other associate bodies who work to ensure our heritage is maintained and recorded for others to see, enjoy, and study for years to come.

By increasing a level of understanding of the technical issues among key stakeholders, the guide will play a part in raising the standard of repairs so that the significance and authenticity of the ceiling can be assured.

FIS can trace its roots back in the plastering trade through the Worshipful Company of Plaisterers.  FIS represents suppliers and contractors in the finishes and interior sector. Its members are vetted when they join and then every three years. They abide by a code of conduct and agree to carry out work in accordance with the FIS best practice guides.

A valuable resource for improving works package delivery, these guides work well when they are included in proposals and project plans to demonstrate how to best approach a project.

A searchable list of members can be found here

FIS Best Practice Guide - Repair of Historic Ceilings

Help prison leavers to break free and begin a sustainable career in construction

Help prison leavers to break free and begin a sustainable career in construction

FIS is continuing its work with No Going Back, an initiative to support prison leavers, and an opportunity has come up to visit HMP Brixton.

The visit will take place on Tuesday 25 June from 9am and we are looking for employers to join us to explain the pathways into the sector and how they can build a lasting career.

This visit will provide an opportunity to observe the Drylining training programme in action. Employers will witness the skills and dedication of the trainees firsthand. Additionally, there will be a chance to interact with the trainees, many of whom have shown a strong interest in pursuing careers in construction.

Employer involvement would not only bolster our rehabilitation efforts but also potentially address some of the skills gaps within the industry.

It would be valuable for employers with ongoing job openings to meet these men, as well as for those who are hesitant about hiring them. This interaction can help change perceptions and demonstrate the potential these men have to contribute positively in the workplace.

Instructors at HMP Brixton will provide details on the training individuals have undertaken during their sentence. Additionally, No Going Back and Employers can deliver an overall presentation (a talk on the company and pathways to roles in the industry) and men could showcase different drylining tasks.

There will then be dedicated time for one-on-one sessions between employers and the prison leavers.

If you can support this event, email beenanana@thefis.org by Wednesday 19 June.

Celebrating the industry’s best

Celebrating the industry’s best

FIS today celebrated the finishes and interiors sector with the announcement of the winners of the FIS 2024 Contractors Awards.

Members and their guests packed out the Nine Kings Suite at the Royal Lancaster Hotel in London to see the winners in the 10 categories receive their prestigious awards.

Independent Awards Judges Tony Pieri and Colin Hunter, who visited all project entered said:

“As judges, we take our responsibilities very seriously as we fully understand the hard work and endeavour everyone has applied to the project they have entered for the awards process. We recognise the pride you feel in your work as that is fundamentally why you have entered your project in the first place.

“This year the competition between entries has been extremely high, with most scores achieving the same benchmark for quality of workmanship. We then decide what percentage points to apply to each entry. Our in-depth assessment of the work covers a range of factors: sustainability, design input, problem-solving, logistics, value-added initiatives and integration.

“As ever, the final judging evaluation comes down to minimal decimal point differences between those achieving or not achieving the winning standards.

“We take our responsibilities seriously – we fully understand the hard work and endeavour undertaken on every project. Once again, you
all demonstrated the incredible ability of FIS members to achieve exceptionally high standards of workmanship.

“We congratulate all of you on your professionalism and expertise. And we thank you all for the time and courtesy extended to us.”

A final award was given for the Project of the Year, which was judged by guest architect Alain Speed of PRP Architects. Alain selected the overall Project of the Year from the winning contracts across all categories.

Alain said:

“Looking through the exceptionally high standards of installation in the category winners has been a pleasure. Space Interior
Systems’s wellness spa for HVN stood out for the beautifully crafted biomorphic shapes, seamlessly blending ceilings and walls and integrating sophisticated interior planting. The project met all the challenges of setting out, achieving a high quality finish, acoustic separation, a tight programme and working within a listed building. This required close collaboration with client ISG and architect zynk Design. All the hard work is now done, and people can enjoy sensory relaxation within these luxuriant interiors.”

Want to see who won?

See photos from the day

About the FIS Contractors Awards

The FIS Contractors Awards are held annually to encourage and promote high levels of craftsmanship and design. 

Are you one of next year's Award winners?

Only one way to find out!

Entry into the 2025 Awards will open on 1 July!
We’re looking for projects completed between 1 November 2023 – 31 October 2024 – our judges look forward to visiting the spectacular projects that our members complete, and meet the teams that make it happen!

Not a member, but interested in entering? Contact us today to discuss membership on 0121 707 0077 or email info@thefis.org

Demand remains the factor most likely to constrain output in the year ahead

Demand remains the factor most likely to constrain output in the year ahead

It was a mixed quarter for construction product manufacturing in 2024 Q1, reflecting the varying demand in the different sectors of the construction industry that manufacturers’ products feed into. Sales declined for a seventh consecutive quarter for heavy side manufacturers, whose products are typically used in the earlier, structural stages of construction. Along with lower house building activity and fewer large home improvements projects, persistent rainfall in February and March is likely to have affected outdoor work and heavy side demand during the quarter. In contrast, light side sales increased in Q1, marking a swing back into growth after two quarters of decline. Light side products are more likely to be used in the interiors and finishing stages of construction and, therefore, would have been less affected by the weather. Light side demand also continued to be buoyed by the strength of refurbishment activity across the commercial and industrial sectors, as well as energy-efficiency work under government-funded schemes such as the Social Housing Decarbonisation Fund. Encouragingly, both heavy side and light side manufacturers shared a favourable view when looking ahead, with sales growth expected in both the next quarter and the next year as the economic and construction recovery begins to take hold from the second half of the year.

Key survey findings include:

• 36% of heavy side firms reported that sales fell in 2024 Q1, the seventh consecutive quarterly decline
• Sales rose for 24% of light side firms, swinging back to growth after two quarters of decline
• 79% of heavy side manufacturers and 59% of those on the light side expect sales to increase over the next 12 months
• Demand remains the factor most likely to constrain output in the year ahead
• Cost inflation continued to moderate for heavy side firms, but light side firms reported cost pressures from wages & salaries

CPA State of Trade Survey 2024 Q1

Are you looking to employ an apprentice or new entrant?

Proposed changes to end point assessment for ceilings and partitions

Following consultation with employers and NOCN the proposed End Point Assessment (EPA) practical element for Ceilings and Partitions is unworkable and some changes need to be made.

The findings were that each element, (core qualification and specialist option) should realistically take 10 hours each for a pass and an additional 8 hours for a merit to be completed over a 3-day assessment period.

In order for NOCN (National Open College Network) to apply to IfATE (Institute for Apprenticeships and Technical Education) for a dispensation to increase the time from the current completion time of two days to three days and to cover the areas taken out of the practical by questioning, we need the support from employers to confirm this will meet the needs of the sector.

If you are able to support this or would like further information, please contact Beena Nana by 24 May.

Skills Hub

The Skills Hub brings together details of courses specific to the finishes and interiors sector, making accessing and booking training quick and easy. In addition, it provides information on sector careers, apprenticeships and funding, as well as access to e-learning, CPD and other training.