New generation of Pagabo’s refit and refurbishment framework

New generation of Pagabo’s refit and refurbishment framework

The new generation of Pagabo’s refit and refurbishment framework, will replace the current framework, which expires in February.

The new generation will run for four years from April 2023 and provide a compliant and collaborative route to market for public sector clients to procure refurbishment works valued at £50,000 and above.

SMEs are encouraged to apply for positions on the five value based lots
With a total value of £1bn and to meet the demand for Pagabo’s growing base of national clients across all major business sectors, the framework will be split into five value-based lots as follows:

  • Lot 1 – £50k to £500k
  • Lot 2 – £500k to £1m
  • Lot 3 – £1m to £5m
  • Lot 4 – £5m to £15m
  • Lot 5 – £15m+

Under these lots, up to nine contractors will be allocated to regional sub lots, comprising six core and three reserve suppliers.

A number of these places are reserved for SMEs to ensure fair access for organisations of any size, to provide choice for clients, and to ensure the generation of maximum positive social impact for communities.

Client organisations will be able to both direct award and further compete their requirements
Suppliers on the core list will be eligible for direct appointments and further competitions, and those on the reserve list will only be eligible for direct appointments. However, they will be included in further competitions should not enough from the core list respond to a further competition expression of interest.

Red Kite Learning Trust (RKLT) will be the contracting authority for the new agreement, continuing its role from the current iteration of the framework.

Maintaining social value and adhering to the Construction Playbook with the refit and refurbishment framework
Jason Stapley, managing director at Pagabo, said:

“The performance of the original Refit and Refurbishment Framework shows that there is a definite requirement for this type of procurement solution, and after lots of work we are now pleased to be inviting suppliers to submit tenders.

“As this is a second-generation framework, we have liaised with the contracting authority, existing client organisations and potential suppliers to gain feedback on the current version. This has allowed us to examine what has worked well, and where through changes more organisations can benefit from use of the framework – along with any changes to keep our processes at the forefront of the procurement golden standard and adherence to the Construction Playbook.

“As always, social value remains at the centre of our actions. Both client organisations that use this – and our other frameworks – and the appointed contractors will have access to a free version of Loop’s social value software for all Pagabo procured projects. This access will allow them to report on and demonstrate the social value being generated by the project and their actions.”

FIS announces new elected Board members, as Philip Brown takes the helm as President

FIS announces new elected Board members, as Philip Brown takes the helm as President

At its AGM on 6 October, FIS announced its newly elected Board Directors, along with its new President.

Philip Brown, Director of contractor member Meronden, has been on the FIS Board of Directors for five years and will now start his two-year Presidency, following his appointment by his fellow directors.

Philip has more than 45 years’ experience in the construction industry. He started out as an apprentice before going on to project manage numerous interior works, gaining indepth knowledge and experience within the industry before joining Meronden Ltd in 1997 as director.

At his first address to members, Philip said:

“I am a living and breathing contractor – none of this is academic to me, the work that FIS is doing, our vision of the future has to be grounded in the reality of today and we need FIS has to be reactive and flexible, to be there, not just with helpful insight into the future, but to be focussed on helping us to navigate there, to take the next step.”

Also joining the Board from 6 October as executive directors are, Will Hart of Taylor Hart and Kate Hawkins of Stanmore, both contractor members of FIS, and Nigel Watkins of Rockfon, Alan Brown of Forza Doors and Jonathan Cherry of British Gypsum, all supplier members of FIS.

Iain McIlwee, FIS Chief Executive welcomed new Board members and said:

“We’re delighted to announce these appointments to continue the strong leadership at FIS and take FIS on to its next chapter of growth and success.”

He also thanked outgoing President, Helen Tapper for her phenomenal leadership and dedication to the industry. Helen will remain on the Board as Immediate Past President.

Full details on the FIS Board is available at https://www.thefis.org/about-us/board/

FIS appoints Head of Skills and Training

FIS appoints Head of Skills and Training

FIS is delighted to announce the appointment of Beena Nana as Head of Skills and Training.  In her first three months Beena will be concentrating on the FIS BuildBack programme which ends this year, before taking over from Skills and Training Lead George Swan who retires in March.

Beena has extensive experience in the skills and training arena.  She is particularly well versed in SME liaison and apprenticeship, having worked for the Department of Education for many years.

In her new role, Beena will continue to develop the company’s skills strategy including integrating the ground-breaking work FIS is doing on Competency Passports and Frameworks into FIS sector recruitment activity.

Working with industry stakeholders such as CITB and DWP, Beena will lead the company’s efforts to attract new entrants to the sector, qualify the workforce, develop competency plans and support members with their training needs.

Beena commented:

“I am truly excited with my appointment, working in an organisation where I have the opportunity to make a real difference to the sector. Having worked in a similar role, I’m looking forward to working with our members and on the exciting projects ahead of us.”

FIS CEO Iain McIlwee said:

“Beena brings a wealth of experience and some new ways of thinking to the FIS team.  Without doubt the shortages in our workforce and the new and more onerous requirements to demonstrate and manage competency are the biggest systemic challenge we face as a sector.  Whether you believe recruiting more people, working more productively or evolving to new ways of working are the answer, and the truth is likely to be a combination of the three, the answer is in training and development.  We have an ambitious and progressive plan in place to support our community in terms of the recruitment of new people and development of competency plans – Beena will be working with our members to take this to the next level.”

Welsh Government seeks contractors views on Warm Homes Programme

Welsh Government seeks contractors views on Warm Homes Programme

The Welsh Government is committed to a greener, fairer future. Improving existing homes helps tackle fuel poverty and create much-needed jobs, training opportunities, and supply chains.

In Wales, 1.4 million homes are responsible for 27% of all energy consumed and 15% of all demand-side GHG emissions. The free market cannot be relied upon to deliver it.  The Warm Homes Programme is therefore designed to support lower-income households in improving the energy efficiency of their home to reduce fuel bills and carbon emissions. It is focused on the owner-occupier and privately rented sectors. The private rented sector accounts for 15% of all households in Wales.

BRE is working with Welsh Government to support their work on developing the next iteration of the Warm Homes Programme. This survey will help provide valuable insight from contractors to do this.

You can access the survey at https://bregroup.com/services/insights-consultancy/advisory/welsh-government-contractor-survey/

Addressing rising construction costs in Scotland

Addressing rising construction costs in Scotland

The Scottish Government recognises the significant pressures currently faced by the construction industry due to the dramatic rise in the cost of fuel and materials, inflation, and stretched public budgets. These pressures, coming on top of the continued impact from COVID-19, material supply issues and wider economic climate changes, are significantly impacting both public client bodies and members of the construction industry.

In order to help address and mitigate these challenges, Scottish Government have a number of guidance measures that public sector bodies should be aware of when procuring and managing their construction projects.  As a reminder, these are set out below.

Construction Policy Note (CPN 3/2021)
Scottish Procurement and Property Directorate issued CPN 3/2021 in 2021 providing advice for Contracting Authorities to manage and mitigate market pressures affecting the availability and affordability of construction sector resources.  If a contactor seeks relief from or waiver of their contractual obligations, the contracting authority should refer to the relevant terms and conditions and seek legal advice as needs be to inform their decision. Contracting authorities should also re-examine their models for the design, procurement and delivery of their forward construction portfolio programme.  This advice still stands and should be reviewed where applicable in relation to recent and future cost rises.

Prompt payment and Project Bank Accounts
Delayed payments can cause significant pressures in the construction industry, especially on sub-contractors and further down the supply chain. The Scottish Government have addressed this by providing guidance for wider public sector contracts encouraging prompt payment and the use of Project Bank Accounts.

The Scottish Government’s Client Guide to Construction Projects includes a chapter on Fair Payment, where advice on Prompt Payment is consistent with the wider Scottish Government procurement policy Scottish Procurement Policy Note 2/2022.  This provides a standard clause for public bodies’ use, requiring contractor and sub-contractor invoices to be paid within 30 days throughout the supply chain of public contracts. A point of contact in the public body must also be provided should the sub-contractor have any difficulty in securing the timely payment of an invoice.  The SPPN also asks public bodies to consider the past payment performance of those bidding for public sector contracts.  The Scottish Government is committed to paying our contractors promptly, targeting to pay valid invoices within 10 days of receipt, going beyond our contractual commitment to pay within 30 days. Further advice on contract payment terms is included in Construction Policy Note 9/2020.

To ensure that payments are made directly and simultaneously from public sector clients to members of a construction contract supply chain, bodies subject to the Scottish Public Finance Manual must include Project Bank Accounts in tender documents for contracts over the applicable value thresholds. The Scottish Government Project Bank Accounts Guidance defines these thresholds as £2M for building projects and £5M for civil engineering projects.

Sustainable tender pricing
Although costs are increasing, it remains important the public sector actively seek to identify abnormally low tenders to encourage sustainable prices and successful delivery of projects and services.  Construction Policy Note 1/2021 reminds the public sector clients of their responsibilities in handling abnormally low tenders and highlights the importance of bidders putting in realistic and sustainable bids.

Whilst Local Authorities, or other bodies not governed by the Scottish Public Finance Manual, are not under obligation to take or follow Scottish Government advice, they are strongly encouraged to carefully review Scottish Government guidance and apply it where appropriate.

The Scottish Government will continue to liaise with both public sector bodies and construction industry representatives and continue their ongoing work with the Construction Leadership Forum to support the sector in managing the current sector challenges.

Building Safety consultations underway

Building Safety consultations underway

The Building Safety Act introduces a new building safety regime which requires changes to regulations, standards and ways of working. As a result, there are a number of consultations underway, including:

  • Building Safety Regulator Fees and Charges ‐ The HSE is consulting on what the new Building Safety Regulator may recover costs for when carrying out its relevant ‘chargeable’ functions. Comments should be submitted online by Friday 7 October.
  • Occupied Higher‐Risk Buildings ‐ The Department for Levelling Up, Housing & Communities (DLUHC) is seeking views on the new safety regime for occupied higher‐risk buildings, including proposals for their in‐occupation phase. There are 12 sections to the consultation, including certification, reporting, resident’s duties, appeals, and key building information. Comments should be submitted online or via email by Wednesday 12 October.
  • Building Regulations ‐ DLUHC is also consulting on the changes that will be made to Building Regulations to implement the new building safety regime. There are 12 sections to the consultation, including dutyholder roles, gateways, change control process and more rigorous enforcement powers. Comments should be submitted online or via email by Wednesday 12 October.
  • Operational Standards Rules ‐ Ahead of the Building Safety Regulator beginning to operate from April 2023, the HSE is seeking views on the proposed operational standards rules which will allow it to effectively monitor building control bodies. Comments should be submitted via email by Tuesday 25 October.

New Secretary of State for Levelling Up, Housing and Communities Simon Clarke has confirmed that there will be no change in the Government’s approach to building safety, writing in The Telegraph that he is “determined to finish the job my predecessors started, fixing the system for good, ensuring that industry rectifies the problems it created”. Clarke will be supported by Lee Rowley as Housing and Planning Minister, and Andrew Stephenson and Baroness Scott of Bybrook as Parliamentary Under Secretaries of State.