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CPA releases UK Economic and Construction Update

CPA releases UK Economic and Construction Update

CPA has issued its latest weekly update, which is available to members here. The updated issues are in Pages 1-6 of the weekly update including:

  1. IHS Markit/CIPS Flash UK PMI (May 2021)
  2. ONS UK Construction Employment (2021 Q1)
  3. ONS/Land Registry House Prices by Region (March 2021)
  4. Rightmove House Price Index (May 2021)
  5. HMRC UK Property Transactions (April 2021)
  6. Vistry Group Trading Update (May 2021)
  7. Kingfisher Trading Update (May 2021)

Subsequent pages have existing construction data that remain relevant.

The CPA’s latest forecasts (Spring 2021) is available here.

MHCLG announces independent experts to review safety of construction materials

MHCLG announces independent experts to review safety of construction materials

The government has taken the next step to ensure materials used to build the nation’s homes are safe and tested properly, by announcing the appointment of two experts to lead an independent review of the system for testing construction products.

Paul Morrell OBE will be the chair of the independent panel, along with legal expert Anneliese Day QC. The review will examine how to strengthen the current system for testing construction products to provide confidence that these materials are safe and perform as marketed. The panel will engage with a wide range of stakeholders with a report published later this year with recommendations.

More information is available at www.gov.uk/government/news/independent-experts-to-review-safety-of-construction-materials

Right to Work and Modern Slavery – know your responsibilities

Right to Work and Modern Slavery – know your responsibilities

Today FIS hosted a webinar on covering the topics of Right to Work and Modern Slavery. Delegates were made aware that they are two very different and important subjects and should not be confused.

From July this year, in line with the new points based immigration system, all employers will be required to conduct right to work checks to ensure that their workforce is legal to work in the UK. Remember EU workers (excluding the Republic of Ireland) who have not applied through the settlement scheme by the 30 June will not be legal workers and this may have serious implications for your business. Beyond your legal responsibility to ensure someone is legal to work, it is also vital that we look for and ensure that our workforce is not exploiting individuals through modern slavery. The cost and implications of getting it wrong are serious.

FIS was joined by experts Pamela Zielinski, Construction Programme Manager from Stronger Together and Joanne Young a consultant for the Association of Labour Providers who discussed the risks and how to manage them. The presentations covered:

1. Right To Work offences and sanctions
2. The statutory excuse
3. Manual right to work checks
4. Online right to work checks
5. Impact of coronavirus on RTW checks
6. Routes to work in the UK
7. EU Workers – the grace period
8. Changes from June
9. Retrospective checks
10. How to identify Modern Slavery, what to do if you suspect and the risk of getting it wrong

Visit the FIS Modern Slavery Toolkit here

Rocket fuel for the skills system

Rocket fuel for the skills system

Last week the Government outlined its legislative agenda for 2021‐22, which included the Skills and Post‐16 Education Bill as part of the Prime Minister’s pledge for a ‘skills revolution’ in England.  With the aim of bringing the skills and education system closer to the employer market, the Bill details significant reforms to post‐16 education and training, including the Lifetime Skills Guarantee to enable easier retraining for individuals, greater influence for employers in planning publicly‐funded training programmes, and reforms to the student finance system.

Prime Minister Boris Johnson has said these new laws “are the rocket fuel that we need to level up this country and ensure equal opportunities for all”.  Education secretary Gavin Williamson added: “Through legislation, our vision is to transform the sector (Education and Training) and expand opportunity right across the country, so that more people can get the skills they need to get good jobs.”

The main benefits of the Skills Bill will be:

  • Offering adults across the country the opportunity to retrain in later life through the lifetime skills guarantee, helping them to gain in demand skills and open up further job opportunities.
  • Realigning the system around the needs of employers so that people are trained for the skills gaps (roles that have been vacant for a long time) that exist now and, in the future, in sectors the economy needs including construction, digital, clean energy and manufacturing.
  • Improving the quality of training available by making sure that providers are better run, qualifications are better regulated, and that providers’ performance can be effectively assessed.

Visit the Skills Hub

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

Double digit workforce growth for specialist contractors

Double digit workforce growth for specialist contractors

The results of the third cross-industry ‘People Survey’, carried out by Build UK on behalf of the Construction Leadership Council (CLC) in April, have now been published. Providing an up to date snapshot of the ongoing impact of the coronavirus pandemic on the construction workforce, Maintaining Employment in Construction indicates that there will be a reduction of 1.2% in the size of the workforce by July. However, the number of apprentices employed is expected to increase by 2.7 % over the next three months, and the number of graduates taken on this September is expected to be 17% higher than last September.

Listed up front in the report the data highlights the following:

  • A small number of job losses is expected over the next three months
  • Anticipated change in the workforce for specialist contractors between April and July 2021 11.4%
  • There is anticipated to be a slight reduction in the number of EU workers
  • Overall the number of apprentices employed is expected to increase over the next three months
  • The number of graduates taken on this September is expected to be higher than last September
  • On average companies are still expecting to lose a third of their Apprenticeship Levy due to not being able to spend it within the timeframe
  • Most companies have introduced some form of health and safety training related to COVID-19

Commenting on the findings, FIS CEO Iain McIlwee stated:

“With this report it is important to look beyond the headlines, the data and summary provided reflects wider construction and it shows a fairly stable picture.  When we look beyond the surface at the Specialist Contractors, it is a different story.  Plans are to scale the workforce up by over 10% between July and April and that is going to be tough when we know that immigration is tight and we still have the unknown impact of the July Right to Work checks and the Settlement Scheme and travel opening up for people who may not have seen their family for months and be keen to extend their holidays.  At FIS we remain concerned that labour is and will remain short.  The apprentice numbers are encouraging, but a drop in the ocean for our sector where, even if the immigration system has no impact on the existing workforce, our domestic recruitment target doubles.  We need to be conscious of this when planning and pricing work in the coming months and longer term there needs to be a huge cultural change in the way that we recruit and train across the UK.”

Download the results here

Women in construction offer perspective on markets in UK and Sweden

Women in construction offer perspective on markets in UK and Sweden

A half day Women in Construction event, hosted by the Department for International Trade Sweden, will be taking place on Wedneday 26 May to facilitate knowledge exchange, stimulate ideas and give UK and Swedish stakeholders’ insight into the two markets.

Build UK Chief Executive Suzannah Nichol will be a keynote speaker at the event, which will feature panel discussions with stakeholders from the UK and Sweden. Attendance at the virtual event is free and you can register online here.

A range of speakers, from the private sector, civil society and other organisations, will offer their perspectives on the markets, both in the UK and in Sweden. Together, the panellists will discuss their experiences and the challenges they face as women in their professions, in the office and on site. The speakers, from both Sweden and the UK, will give their unique insights into the differences and similarities in the two markets.

Download the Fairness, Inclusivity and Respect (FIR) Toolkit

Face‐to‐face training update

Face‐to‐face training update

Following the latest easing of restrictions on 17 May, face‐to‐face teaching can resume at all schools, colleges and other further education settings. However, there has been no further guidance on resuming face‐to‐face training in the workplace, and companies should continue to determine if any training required can be undertaken remotely or is essential at this time, as they may be required to explain how they are complying with the current restrictions, which include working from home where possible.

Visit the Skills Hub

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

FIS launches new Sustainability Toolkit as first step in new Sustainability Action Plan

FIS launches new Sustainability Toolkit as first step in new Sustainability Action Plan

FIS has this week launched a new Sustainability Toolkit to help the sector to take a pro-active lead as a supply chain in supporting the UK ambition and meeting legal requirements linked to UK Net Zero carbon commitments, but also to look more broadly at the ethical and environmental aspects of sustainability.

In June 2019, the UK became the first major economy in the world to pass laws to end its contribution to global warming by 2050.   With the The (Conference of the Parties) COP26 Summit taking place in the UK in November 2021, this year has been designated “The UK’s year or Climate Action”.   With Construction accounting for 40% of UK Carbon Consumption, the construction industry is critical to supporting this commitment.  In turn the Finishes and Interiors Sector representing around 11% of UK Construction and decisions and processes associated with the fit-out and finishing of buildings is estimated to account for 40% of energy in a building and hence has a big part to play in realising change.  A recent manifesto published by Perkins & Will sets down a clear strategy to moving to zero carbon and identifies that the built environment is responsible for 40% of the UK’s total carbon footprint and within this fit-out is responsible for 40% of energy in a building.  A key figure to target improvement identified in this report is that 300 tonnes of fit-out material goes to landfill every day.

The Sustainability Toolkit is the first output of a new Sustainability Working Group (which is being developed in partnership with the Supply Chain Sustainability School) has been established within the FIS community to help inform activity and provide a platform to encourage collaboration through the FIS and with wider industry initiatives.  The plan is to use this group of experts to set down a clear action plan for the sector and highlight key strategic relationships that can be developed through the FIS to support transformation.   Initially focus is in 5 core areas:

  • Increasing knowledge and understanding within the supply chain
  • Setting targets and standardisation (including monitoring and measuring impact)
  • Providing an active network and encouraging collaboration
  • Highlighting individuals and approaches that help inspire and inform change
  • Informing design and encouraging better asset management

FIS Chief Executive Iain McIlwee stated:

“Whilst many have not been hit by the full force of the Net Zero tidal wave that seems to be heading our way, it is absolutely dominating discussions around the transformation of construction.  When you step back and look at the principles of sustainability, they sit very closely to everything FIS stands for.  Beyond the obvious environmental considerations, the ingredients of change are value led change, resource efficiency, innovation and harnessing technology, productivity, quality, collaboration and ultimately early engagement and dialogue up and down the supply chain.  We are really grateful to the members who have got stuck in to date and look forward to exploring the full potential of the race to Net Zero and a focus on fairness and inclusivity that will be a key to transforming our supply chain for the better”.

The FIS Sustainability Toolkit is available here

If you are interested in joining the working group or simply seeing the draft action plan email info@thefis.org or call FIS on 0121 707 0077

Next meeting of the FIS Sustainability Working Group is set for 3pm on the 27th May – the meeting will be virtual.  If interested in attending, email info@thefis.org 

Strong, committed and dynamic leadership for FIS community

Strong, committed and dynamic leadership for FIS community

At the FIS Board Meeting on 27 April, industry challenges related to shortages, transformation, evolution of FIS as a community and leadership were discussed.  One key outcome was that Helen Tapper of Tapper Interiors and current serving President, was invited, and has agreed to extend her term of presidency for another year.  As part of the process, Lydia Sharples, Encon Group has been nominated and has agreed to take on the role of Vice President.

Former Vice President Richard Jones remains committed to supporting the Board and will stand for re-election at the 2021 Board elections, but has opted to step aside to focus his energy on being an ordinary board member and managing growth within his own business Paramount Office Interiors.

FIS is a not-for-profit organisation that exists to support members, improve safety, minimise risk, enhance productivity and drive innovation in the sector.  It is governed by an elected Board of Directors which sets policy and direction and provides oversight and scrutiny to the operation of the organisation.  The FIS President and Vice President assume the duties of Chairman and Vice Chairman of the Board as well as representing the organisation when called upon.  All Directors are nominated from the membership and serve as volunteers – they are supported by the FIS Executive Team.

Commenting on the announcement, Helen Tapper stated:

“COVID-19 has dominated our world in the past 18 months, but as the worst of the impact starts to recede, we need to ensure that we don’t let the lessons learned fade into the background and we continue to drive the transformation agenda.

“Just before the enormity of COVID gripped us, I focussed on the three steps to Rebuilding Construction, I will dedicate my remaining time as President to taking this work forward and ensuring that the finishes and interiors supply chain is exemplar and leading change when we look at fairness, quality, inclusivity and collaboration and that FIS Membership through our vetting process and ongoing work upholds these values and ensures members benefit from the value led change that is being talked about by Government and the Construction Leadership Council.  I would also like to take this opportunity again to thank the FIS Board for the support they have given to me as President and the dedication of the FIS team for the daily help they give to my business.  I am very proud of our community and it is a real honour to serve it”.

Lydia Sharples has served on the FIS Board since November 2019.  She has over 20 years’ experience working within the building industry including brand leaders of drywall and insulation manufacturing and UK market leading distribution, much of which has been in marketing and communications.  Having worked with various trade bodies over the years, Lydia fully understands the importance they can play in future development.  Lydia commented:

“It is a real honour to step up to support Helen as Vice President of FIS and to get this vote of confidence from the Board.  The last year has been exceptional and I have been very proud, not just to support FIS efforts through the Board, but to be a part of a community that has been so steadfastly committed to its values. The FIS team have given all their energy to help members adapt and confront some of the most exacting times we will (hopefully) ever encounter.  Helen has been an inspirational and supportive leader over this period and for me it is great news, at the request of myself and our fellow Board members, that she has agreed to stand for election as President for another year. Enabling her to have the time and the opportunity to deliver the clear vision of change she has and we as a Board share – exciting times ahead for our community.” 

All members are invited to consider nominating themselves to join the Board. By joining, you have the chance to use your knowledge and experience in the finishes and interiors sector to influence the direction of the Association and support our mission to improve safety and quality, minimise risk, enhance productivity and drive innovation in the sector, ultimately ensuring that membership and guidance are reflected in all relevant specifications.

Reaching out to the wider membership Helen Tapper called on individuals from member companies to get involved:

“The Board is key to ensuring FIS delivers for our community and ensuring our activity is aligned to your needs.  I am particularly keen to use my last 12 months as President to encourage new applicants for the board from all sections of the membership, however big or small their companies.   We need the next generation to be coming through and I can promise you that the Board is an open, progressive and inclusive group – fresh views, challenging the status quo and your unique insight will be welcome and valued.  We know many are reticent to come forward as they are caught up in the ‘day to day’ particularly in the smaller businesses.  Like any commitment, joining the FIS Board it is not without challenge, but it is rewarding, allows your voice to be heard and, with modern methods of communication, it has never been easier to engage and support the leadership of our association.” 

If you are interested in considering standing in the 2021 elections, contact iainmcilwee@thefis.org for more information.

Find more about the FIS Board and Strategy here.