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COVID-19 reinforces urgency for new approach to prioritise and deliver Scotland’s infrastructure

COVID-19 reinforces urgency for new approach to prioritise and deliver Scotland’s infrastructure

An inclusive, net zero carbon economy remains at heart of the strategy

KEY RECOMMENDATIONS

• Giving an independent, specialist body the remit to provide strategic, long-term infrastructure advice to Scottish Government
• Enshrining the Place Principle and implementing a one public sector approach to planning and developing sustainable places
• Establishing a Construction Accord to strengthen the future relationship between the public sector and the construction industry

An independent, specialist body to provide strategic long-term infrastructure advice is considered pivotal to effectively delivering Scotland’s inclusive, net-zero carbon economy, according to a final report by the Infrastructure Commission for Scotland (ICS) presented to Scottish Government.

Enshrining the Place Principle and implementing a one public sector approach to planning and developing sustainable places are also key recommendations in the report.

The establishment of a Construction Accord to strengthen the future relationship between the public sector and the construction industry, is another vital recommendation in the Commission’s report.

Published today, the ICS’s report, ‘Delivery Findings – A blueprint for Scotland’ builds on the ICS’s initial ‘Key Findings’ report published in January 2020 and follows a further period of extensive stakeholder engagement, both pre and during the COVID-19 pandemic. Its focus remains the delivery of an inclusive, net-zero carbon economy, the importance of which has only been amplified by the COVID-19 pandemic.

To achieve this, the ICS recommends that by early 2021 an independent specialist body be given the responsibility by Scottish Government to help prioritise the infrastructure needed to enable an inclusive, net-zero carbon economy and to develop a 30-year infrastructure strategy that is reinforced by a long-term needs assessment.

The independent organisation would sit outside the political decision-making system to enable it to operate in an arms-length and transparent way – one that builds confidence across the public and private sectors as well as society and the general public. This would allow the body to challenge Government while also undertaking tactical public engagement to inform the long-term strategy.

Among other ICS’ recommendations is that Scottish Government should enshrine the use by all stakeholders of the Place Principle which has already been proven to be an effective model when designing places within planning practice. This would support the creation of sustainable places and help enable a “one public sector approach” to infrastructure which is central to achieving the Commission’s vision for a net zero carbon and inclusive growth economy.

The ICS also recognises the importance of a thriving construction sector being vital for the successful delivery of Scotland’s long-term infrastructure requirements. While work is already underway to drive positive outcomes to increase productivity, raise capability and improve the reputation of the construction sector, the ICS notes that in light of the impact the covid pandemic has had across the economy, there is a window of opportunity for both the public and construction sectors to strengthen their future working relationship and practice.

As part of this, the ICS recommends that by early 2021, Scottish Government and the Construction Scotland Leadership Group should create a Construction Accord. This would underline the vision and set a commitment to improve conditions that support a high performing construction sector. It would include measures to improve the capacity, capability and diversity of the workforce at all levels with a heavy focus on skills development, training requirements and career prospects for those working in the sector.

Ian Russell, chair of the Infrastructure Commission for Scotland, said: “Infrastructure has a vital role to play in the delivery of an inclusive, net zero carbon economy and COVID-19 has amplified the need for urgent action and change for economic, social and natural infrastructure.

“The Commission is recommending that an independent, specialist body be given responsibility for providing Government with strategic, long-term infrastructure advice and enshrining the place principle within planning practice. Collaboration between the public sector and the construction industry is crucial and therefore establishing a construction accord between the public sector and the construction industry is another vital recommendation in the Commission’s report.”

Other recommendations in the report include harnessing a heightened focus on digital technology. Recognising the critical and increasing importance of high-quality data to infrastructure assets of all types, the ICS advises that a digital data co-ordination, standards and facilitation role is established by the end of 2021 to support the efficient and innovative development and use of data for the infrastructure sector.

Cabinet Secretary for infrastructure, Michael Matheson, said: “The Covid-19 pandemic has been an unprecedented global crisis which has fundamentally changed every aspect of our lives. Infrastructure will play a critical role in the years ahead as we plan our strategic economic recovery from the pandemic.

“I am grateful to the Infrastructure Commission for their hard work – no doubt made more challenging in recent months – to produce this comprehensive second report on the delivery of infrastructure. We shall now take time to consider its findings very carefully.

“The Commission’s Phase 1 report has already helped to shape our next 5 year Infrastructure Investment Plan, details of which I look forward to announcing in September. This Plan will incorporate a response to the Commission’s Phase 1 findings.”

The ICS, which was established in early 2019 to develop Scotland’s infrastructure strategy for the next 30 years, recognised net zero carbon and an inclusive growth economy as two overarching policies that were priorities on both a national and global scale. As such, these priorities were placed at the heart of its work and mark a sharp shift from the broad aim of overall policy convention to maximise GDP over the last 50 years.

The Commission was asked to provide advice to ministers on the possible creation of a Scottish National Infrastructure Company. After careful consideration, the Commission has concluded from its work that none of the outcomes of its recommendations would be enhanced by creation of a Scottish National Infrastructure Company.

On concluding its work, which is believed to be the first of its kind for Scotland, Chair of the Commission, Ian Russell, stated: “We are clear that the implementation of all of the recommendations made in our Phase 1 and Phase 2 reports – some of which we acknowledge will necessitate a fundamentally different way of prioritising, planning and delivering infrastructure investment – will make a significant contribution to the successful creation of an inclusive net zero carbon economy.

“The recommendations from the Commission’s work over the past 18 months are designed to galvanise and accelerate action by all involved with infrastructure in Scotland.”

New Guidance on Face Coverings and status across the UK

New Guidance on Face Coverings and status across the UK

As new mandatory requirements come in, Government has provided a summary of Face Covering requirements.  FIS has been advised that Site Operating Procedures do not need to change, but we urge members to review their requirements against our guidance and to consider how you will be informing and equipping your workforce.

Face coverings and the Law in England

In England, you must wear a face covering by law in the following settings:

  • Public transport
  • Indoor transport hubs (airports, rail and tram stations and terminals, maritime ports and terminals, bus and coach stations and terminals)
  • Shops and supermarkets (places which are open to the public and that wholly or mainly offer goods or services for retail sale or hire)
  • Indoor shopping centres
  • Banks, building societies, and post offices (including credit unions, short-term loan providers, savings clubs and money service businesses)

You are expected to wear a face covering immediately before entering any of these settings and must keep it on until you leave.  It has been confirmed that this means face coverings are required for customers in showrooms and builders merchants.

You are also strongly encouraged to wear a face covering in other enclosed public spaces where social distancing may be difficult and where you come into contact with people you do not normally meet.

Individuals have been asked to assume that wearing a face covering is standard when visiting a hospital, GP, care home or other primary or community healthcare setting, but be prepared to accept that individual settings may have their own policies and require you to take other measures.

Where this law does not apply?

Indoor premises that sell goods or services but are not typically defined as a shop. Examples of this are restaurants with table service, bars, pubs, entertainment venues (such as cinemas or casinos), visitor attractions (such as heritage sites or museums), exercise and sports venues (such as gyms), and places that provide medical treatment (such as a dentist or optician).

Where a shop is within another premises which does not require a face covering (such as a museum or other visitor attraction) masks are required in the shop only. Check for signage upon entry and exit to know when this is the case.

So is it mandatory to wear face masks in offices and on construction sites?

No,  The logic presented here is that masks are less important in places where you regularly see the same people and that contact tracing is well placed to deal with outbreaks in workplaces and schools where interactions can be traced.  

When can you remove a face covering?

You can remove your face covering in order to eat and drink if reasonably necessary (see Section 3). This should be in an area that is specifically for the purposes of eating and drinking, such as a food court, unless no such area is available.

If a shop or supermarket has a café or seating area for you to eat and drink, then you can remove your face covering in this area only. You must put a face covering back on once you leave your seating area. If you are in a cafe or takeaway restaurant that does not provide table service, you must wear a face covering unless you are in a designated seated area.

Enforcement measures for failing to comply with this law?

Measures can be taken if people do not comply with this law without a valid exemption.

Shops, supermarkets and other premises where face coverings are required are encouraged to take reasonable steps to promote compliance with the law and could refuse entry to anyone who does not have a valid exemption.

Transport operators can deny access to their public transport services if a passenger is not wearing a face covering, or direct them to wear one or leave a service if they are not wearing a face covering.

If necessary, the police and Transport for London (TfL) officers have enforcement powers including issuing fines of £100 (halving to £50 if paid within 14 days).

Further guidance is provided below

  1. What is a face covering?
  2. The reason for using face coverings
  3. How to wear a face covering
  4. Face coverings at work
  5. Buying and selling face coverings
  6. Making your own face covering
  7. Maintaining and disposing of face coverings

Face coverings and the Law in Northern Ireland

The use of face coverings on public transport is mandatory. 

It is strongly advised that you should think about using face coverings in particular circumstances – short periods in enclosed spaces where social distancing is not possible.

Crucially, do not get a false sense of security about the level of protection provided by wearing a face covering. It is essential that everyone continues to:

  • Practise social distancing as much as humanly possible
  • Wash their hands thoroughly throughout the day
  • ‘Catch it, kill it, bin it’ when they sneeze or cough

That’s still the best way to protect yourself and others from COVID-19.

Further information on the use of face coverings and the exemptions that will apply is available here

Face coverings and the Law in Scotland

In enclosed spaces, where physical distancing is more difficult and where there is a risk of close contact with multiple people who are not members of your household, you should wear a face covering.

People must by law wear a face covering in shops and on public transport and public transport premises such as railway and bus stations and airports. This applies to open-air railway platforms, but not to bus stops.

There is no evidence to suggest there might be a benefit outdoors from wearing a face covering unless in a crowded situation.

Physical distancing, hand hygiene and respiratory hygiene are the most important and effective things we can all do to prevent the spread of coronavirus. The wearing of face coverings must not be used as an alternative to any of these other precautions.

Further information on the use of face coverings and the exemptions that will apply in Scotland is available here

Face coverings and the Law in Wales

The most effective way to protect yourself and others from infection is to follow social distancing rules, avoid touching surfaces and your face, and wash your hands regularly.

Face coverings are not a substitute for these measures, but in some circumstances where it might be difficult to stay 2m away from others, we are advising the use of three-layer, non-medical face coverings.

Face coverings should be made up of three layers as set out by the World Health Organisation but do not need to be medical-grade face masks.

World Health Organisation’s latest technical advice.

Barbour ABI: Contract awards on the up

Barbour ABI: Contract awards on the up

Construction overview

According to Barbour ABI data, the total value of construction contract awards in June was £2.2 billion based on a three month rolling average.

Compared to May 2020, this is a decrease of 9.2% and is also 57.3% lower than June 2019 (see fig. 2.1). Data for Q2 2020 shows that total construction contract awards are valued at £9.2 billion. This is 51.3% lower than Q1 and also 40.5% lower than for Q2 2019. However, the raw monthly data for June is positive with value increasing by 98% compared with May.

In terms of contract award numbers, June 2020 was positive with 81.4% increase to 477 compared with just 263 in May. Whilst the three month average data is still influenced by the significant decrease in April, the raw monthly data and the increase in contract numbers in June are beginning to signal improving conditions.

Project by region

Regional analysis shows that London had the largest share of contract awards in June at 26.1%. The South East was in second place with attributable share of 16.4% of awards and was followed by the North West in third place with 13.6% of contract awards. Wales was again the smallest region with just 1.4% of awards (see fig. 2.3).

Three contract awards were vying for top award status in June and were all valued at £150 million. In Crawley, the Gatwick Airport Station refurbishment project will see Costain Group extend the existing concourse as well as provide extra platforms. This 36 month project is due to be completed in April 2023. In Manchester, the City View Development – Regent Plaza involves the building of 525 residential units in a 26 storey building. This 40 month project is due for completion in Q3 2023 and was awarded to Helix Contracting. Located in Milton Keynes the Santander New Tech Hub Campus is the new eight storey UK headquarters building for the bank. Awarded to John Sisk & Son the project is due for completion in Q1 2023.

Types of project

Attracting 33.9% of all construction contract awards the residential sector retained lead status in June. The second largest sector this month was infrastructure which accounted for an 18.7% share of awards.

Commercial & retail was the third largest sector in June accounting for 16.0% of awards. Apart from City View Development Regent Plaza, other notable residential awards this month included the former Lea Castle Hospital Development in the West Midlands valued at £60 million which will provide 600 units. Renewable energy generation featured heavily in infrastructure awards this month including the £75 million 75.5MW Aikengall 11a Wind Farm in the Scottish borders.  Within the commercial & retail sector a notable mixed use project was the Tri Sail Towers development in Bishop Stortford valued at £19 million.

The report identifies that, in the commercial and retail sector, MACE and ISG were the leading way in terms of value of contract awarded, McAleer & Rushe Ltd and Willmott Dixon top the table for, Hotel, Leisure and Sport; Balfour Beatty and Integrated Health Projects were the most successful in the Medical and Health sector and Morgan Sindall and Kier for Education.

To see the full report and detailed analysis of the Residential, Commercial and Retail, Hotel, Leisure and Sport, Industrial, Medical and Health and Education Markets including details of key clients, architects and contractors click here.

COVID-19 Cost Assessment Toolkit Launched

COVID-19 Cost Assessment Toolkit Launched

The Professional Practice Task Group for the Construction Leadership Council (CLC) Covid-19 Task Force has today published a methodology for assessing and reporting the cost implications of disruption due to the pandemic. Construction clients and contractors rely on accurate cost prediction as the basis of business plans, financial contracts, and commercial control.

The unprecedented nature of the pandemic is affecting the progress and productivity of existing and future contracts, meaning that the information
upon which estimates are usually prepared no longer applies.

The Toolkit acts as a guide to enable better cost forecasting to assist the industry in making informed investment decisions on viability, improving robustness of pipeline and driving long term economic growth.

Commenting on today’s launch, Simon Rawlinson, Chair of the Professional Practice Task Group said:

“The Cost Assessment Toolkit will help the construction industry manage the impact of Covid-19 on existing and future contracts.  It establishes a standard methodology to incorporate the cost impacts of the virus into estimates, provides clarity on exclusions and through the collection of industry wide data allows clients and supply chains to compare their project costs against an aggregated data set. By providing the tools to measure and therefore improve productivity, the toolkit acts as a guide to ascertain and assess project risks and establish viability for the long term.”

FIS CEO Iain McIlwee responded:

“This Toolkit could be one of the most valuable resources the CLC has produced through the COVID crisis.  Our sector has been particularly hit by productivity concerns with work often being high, heavy or inside and sometimes all three!  It is vital that we work together to understand this so that we can sensibly price and manage work and that we work together as a supply chain to find practical solutions to some of the potential contractual landmines out there.  We are looking carefully at this Toolkit and what we can do as a sector to add further context and detail to ensure that it supports the cultural improvement much talked about, but desperately needed in construction”.

Download all the Toolkit documents:

COVID-19 Cost ssessment Toolkit

Covid Cost Assessment Tool – Appendix A

CLC Press Release

CIJC Working Rule Agreement review postponed

CIJC Working Rule Agreement review postponed

The Construction Industry Joint Council (CIJC) Working Rule Agreement, its pay and conditions, would normally have been reviewed at the end of June 2020.  In April 2020, all parties to the Agreement agreed to postpone the start of any review discussions, given the Covid-19 emergency and the unprecedented effects this was having on employers, operatives, the industry and across the UK.

Whilst work on many construction sites is restarting, the overall impact on the construction industry remains variable in different parts of the country.  As a result, the member trade associations of the CIJC representing employees covered by the CIJC have decided, this week,  to extend the postponement of pay negotiations until September, when a further assessment will be undertaken. This decision has not been supported by the trade unions and we await their formal response.

Parties to the CIJC Working Rule Agreement remain in regular contact to monitor progress as the industry moves forwards from the emergency to better understand any ongoing impact on employers, operatives and the industry.  In the meantime, all rates and allowances as detailed in the CIJC Agreement dated 1 August 2018 will continue to apply.

Visit our Employment Hub for more information

Supporting safe use of public transport

Supporting safe use of public transport

As part of the easing of lock down restrictions, people may now use public transport in England for any journey, although they are still being encouraged to consider alternative means of transport where possible. Face coverings are mandatory on public transport in England and travellers should maintain social distancing where possible.

Transport for London (TfL) continues to encourage people to avoid using the network during peak times (05:45 ‐ 08:15 and 16:00 ‐ 17:30) and has published a construction toolkit with guidance for businesses in our sector.

Advice supports employers and is designed to “support your workers to help get them and the rest of London moving and working again, as safely and sustainably as possible”.

You can download the Transport for London briefing for the construction sector here