Homes England names 66 firms as preferred partners – list
Homes England has selected a mix of 66 contractors, house builders and housing associations for its new Delivery Partner dynamic purchasing system.
This new system replaces the Delivery Partner Panel 3, transforming the way Homes England procures house builders and disposes of land.
Switching to a dynamic purchasing system means that house builders and contractors can now apply to join the agency’s list of preferred developers at any time, rather than having to wait until the list is renewed once every four years.
It marks the biggest DPS of its kind, and, valued at £20bn, and is Homes England’s largest procurement exercise to date.
Previous delivery panel partners including national contractors like Kier, Laing O’Rourke and Mace have dropped out, although they could now apply for inclusion at any time.
The new line-up includes 24 SMEs far more small firm’s than the previous delivery panel.
Homes England delivery partner DPSBDW TradingJohn Graham ConstructionRowlinson ConstructionsBellway HomesKeepmoat HomesRP Tyson ConstructionBromford Housing GroupKingswood HomesSanctuary Housing AssociationBugler DevelopmentsLindum GroupSeddon ConstructionCastle Green HomesLioncourt HomesSigma HomesClaritas PSP ConsortiaLondon Square PartnersSt Modwen DevelopmentsCountryside PropertiesLonghurst GroupStewart Milne HomesCrest NicholsonLovell PartnershipsStonewood PartnershipsCrossfield LivingMcDermott HomesStory HomesDeeley GroupMcLaren ConstructionStrata HomesDevonshire HomesMercer Building SolutionsTaylor French DevelopmentsDurkanMidas ConstructionTaylor WimpeyEDAROTHMorris HomesTermrim ConstructionEG Carter & CoMulalley & CompanyThirteenENGIE RegenerationMulberry HomesTilia HomesEric Wright GroupMuse DevelopmentsTolent ConstructionEsh ConstructionNorthstone DevelopmentUnited Living (South)Feltham ConstructionOptivoVistry PartnershipsHighwood GroupPersimmon HomesWates ConstructionHill HoldingsPlaces for People GroupWestridge ConstructionJ. Harper & SonsPlatform Housing GroupWiggett ConstructionJessupRobert WoodheadWillmott Dixon Construction
The Delivery Partner DPS will also be available to Homes England’s public sector partners to help them procure a developer or contractor to build homes on sites they own.
Stephen Kinsella, Chief Land and Development Officer at Homes England, said: “This marks a significant step forward in the way we work with developers to build homes.
“We’ve also simplified the application process, so whether you’re a large, nationwide housebuilder, or a small local developer, it will be easier for you to access land you want to build on.
We encourage all housebuilders interested in working with us to monitor our recently updated Land Hub, and apply to join the DPS when they see a site of interest.”
The application process is proportionate, and depends on the size of the sites that a developer wishes to bid for, making it more accessible for smaller developers.
In addition, during the application process house builders can express interest in the locations and types of sites they want to develop.
Homes England has a number of sites that it is planning to issue expressions of interest for via the DPS in the coming months.
This includes a 14-acre site on Homes England’s Northern Arc scheme in Burgess Hill, which will support around 350 homes, 30% of which will be affordable homes. The site will be divided into two or three sub plots, making it particularly suited to SME developers.
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Another site soon to be marketed via the DPS is in Cradley Heath, Dudley. Over the last couple of years Homes England has cleared disused industrial buildings from the site, and it now has outline planning permission for 89 homes.
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Married directors banned for shafting subcontractors
A married couple of construction directors from Telford have been banned for nine years each after diverting over £124,000 away from creditors.
Jane Thornton, 54, and Norman Thornton, 65, were both directors of the construction company Norjan (Properties) Limited, which went into liquidation in July 2020 with liabilities of over £411,000.
The Liquidator discovered that Norjan had informed its major client to direct payments into a new bank account from January 2020. This account belonged to a third party and over £124,000 was paid into it between February 2020 and April 2020.
The subsequent Insolvency Service investigation also established that the company had been trading while insolvent from at least 31 July 2017, and had an outstanding County Court Judgement of nearly £34,500.
Both Jane and Norman Thornton accepted that by diverting funds to the new account, they left the business unable to repay its creditors.
The Secretary of State accepted signed undertakings from both directors on 19 August 2021. Their disqualifications are effective from 9 September 2021 and last for 9 years each.
The pair cannot, directly or indirectly, be involved in the promotion, formation or management of a company without the permission of the court.
Nina Cassar, Chief Investigator for the Insolvency Service, said: “In December 2019, Mr Thornton told bailiffs that Norjan (Properties) Limited didn’t have any funds to pay its debts. Then, with knowledge of the financial position, over £124,000 was placed out of the reach of creditors.
“This ban should serve as a warning to other directors that you have a duty to your creditors. If you neglect this duty, you could be investigated by the Insolvency Service and lose the privilege of limited liability trading.”
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Equans wins £31m low-carbon Liverpool scheme
Equans, the new name for Engie’s services-led operation, has signed a £31m contract to build a 10-storey, low-carbon development in Liverpool City Centre for the Home Group.
Located on the site of the former TJ Hughes department store, Equans will construct 258 flats with ground floor retail and commercial space.
The scheme will comprise of 144 one-bedroom properties, 99 two-bedroom and 15 studio apartments – all available for private rent.
Equans has worked alongside UK Land & Property to assist with the specification and build feasibility.
All units are designed to achieve a minimum Energy Performance Certificate (EPC) rating of B, utilising a full sustainability strategy, which includes low-carbon electrical solution with supporting energy-efficiency features.
Tim Wood, Regional Managing Director at Equans UK & Ireland (North West), said: “Home Group is a long-standing partner of Equans and it’s been great to bring our expertise in delivering net zero carbon solutions to the table.”
Work is due to begin on the scheme in late 2021.
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Strike threat by cement drivers adds to materials woes
Lorry drivers employed by Hanson on the Castle Cement contract are holding a strike ballot in a dispute over pay.
The 200 plus lorry drivers and engineers, who are members of Unite, have rejected a pay offer of 2.5% for this year.
Unite added that “the workforce is deeply unhappy about the high handed management style and a marked lack of dignity at work.”
Drivers deliver dry cement to major sites and merchants across the country.
The ballot will open on Friday 10 September and close on Friday 23 September If members vote for strike action industrial action could begin this October.
Unite national officer Adrian Jones said: “Our members are simply not going to accept a pay offer which amounts to a pay cut in real terms.
“With the ongoing driver shortage, our members are seeking a pay increase which recognises their hard work and dedication.
“If strikes do occur then it will have major implications for the construction industry. Supplies of cement will quickly run out, which will result in projects being delayed.”
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Farrans starts 20-storey Leeds student block
Farrans Construction has started work on a 20-storey student accommodation block in Leeds city centre for client Infinity Construction Enterprises.
The development, which will be known as Live Oasis: Strato, will provide 210 studio apartments and is expected to complete in September 2023.
New tower, designed by Rio Architects, is being built on the site of Commerce House on Wade Lane
Cathal Montague, regional director for Farrans Construction, said: “This is an exciting project for Farrans, in one of the most ambitious and energetic cities in the UK at the moment, and it further cements our portfolio in the midlands and north of England.
“We are about to complete a similar multi-storey project in Coventry called Elliott’s Yard, and our client was able to see that we are experienced in delivering technically challenging projects of this nature, in a central location, with a small site footprint and using Modern Methods of Construction.”
Omar Al-Najafi from Infinity Construction Enterprises, said: “We have been operating in Leeds for many years and we know that this part of the city has been evolving from a typically office- based environment to one of high residential demand, particularly from the growing student population.
The development will push the boundaries in terms of the experience students can expect in Leeds.”
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Vital Energi lands deal to save City of London money
Vital Energi has been awarded a contract by the City of London Corporation to guarantee energy savings of over £480,000 a year and annual carbon savings of over 1,000 tonnes.
The project will be delivered through the Greater London Authority’s Retrofit Accelerator framework designed to help make London’s non-domestic public buildings and assets more energy efficient, and the works will to be funded via the Public Sector Decarbonisation Scheme (PSDS).
Vital Energi will deliver multi-technology solutions through Energy Conservation Measures, which will improve energy performance within five of the City’s most iconic buildings, including the Barbican Centre, Guildhall School of Music and Drama, and the City Corporation’s Guildhall headquarters.
Energy Conservation Measures will include pipe distribution repairs, ventilation distribution repairs, pipe insulation, Air Handling Unit EC fan retrofit, LED lighting, and metering, to reduce energy use, unnecessary heat loss and help improve comfort conditions for building users.
As well as upgrading and optimising Building Management Systems (BMS), Vital Energi will also install Vital View, which is a BMS performance monitoring system. This will help deliver continuous improvement and drive energy efficiency, carbon reduction and help enhance future projects through gaining a detailed understanding of building operations and usage characteristics.
Rob Callaghan, Managing Director of Vital Energi for the London and Southern Division, said: “Vital Energi employ a talented team of designers, engineers and financial model specialists to deliver clients real carbon savings through commercially viable solutions in terms of payback against capital spend. We don’t just do the work and hand back the building, each year we will monitor and verify the savings.
“We are delighted that the City of London Corporation has appointed us as its contractor of choice to carry out these essential works which will help decarbonise its corporate estate and build a robust zero carbon roadmap.”
City of London Corporation Finance Committee Chairman, Jamie Ingham Clark, said: “This partnership with Vital Energi will enable us to take practical, positive, sustainable steps to make our buildings more energy efficient, delivering the twin benefits of reducing carbon emissions and saving money.
“The project will play a significant role in enabling us to achieve the ambitious targets set out in our Climate Action Strategy, which commits us to achieving net zero carbon status in our buildings by 2027 and across our investments and supply chain by 2040.”
N G Bailey raids SES for new London director
Building services contractor NG Bailey has hired former SES building services director Matthew Towner as regional director for London.
Towner has worked as operations director for the London region of SES Engineering Services for the past three and a half years.
He has also previously held senior operational roles at Balfour Beatty Engineering Services and Lorne Stuart.
Towner said: “I’m excited to be joining the team in London after admiring the work they’ve done on projects such as Wood Wharf and London Bridge Station.”
NG Bailey also appointed Andrew French as director of ICT. He joins after three years as technology and IT director at MWH Treatment.
His role will see him overseeing the continued development and modernisation of the company’s ICT systems and infrastructure to maintain its position as an industry leader.
ISG starts work on electric car battery gigaplant
ISG has started enabling works this morning on a battery gigaplant for manufacturer Britishvolt in Cambois, Northumberland.
Sources estimate the 2.7m sq ft factory project, which has been designed by Italian architect Pininfarina, could be worth approaching £300m.
Richard McDonell, Britishvolt Project Director, said: “Today is a historic day as it marks the start of construction on the UK’s premier Gigaplant, Britishvolt – a landmark event for UK manufacturing and the automotive industry on the road to zero.
“It is a pleasure to see our tier one construction partner ISG, and its world-class workforce, commence preliminary works on site ahead of the main construction programme, which we anticipate will start in late autumn/early winter.
“This initial phase will see the site cleared and preparatory work carried out for the services and infrastructure that will support construction activity.”
Main construction work will see more than 2,500 people involved in the project.
Peter Millett, High Tech Managing Director for ISG’s Engineering Services business said: “The positive momentum, passion and sense of genuine excitement that underpins this nationally important project is driving the entire team forward at pace, and this significant construction milestone demonstrates our collective commitment to UK manufacturing and to supporting communities across Northumberland.
“This is the starting point for the transformation of a disused site in Cambois with a legacy in the industrial past, that from today will become a beacon for innovation and advanced manufacturing right here in the North East.”
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C Spencer runs up loss after revenue drops 30%
Hull-based multi-engineering contractor C Spencer Engineering Group has recorded a loss for the fourth year running after revenue plunged 30% to £46m.
The business suffered a £1.7m loss in the year to April 2021 as a result of the pandemic.
But a post year-end contract dispute settlement for £3.8m for unpaid works gave the business a major boost in funds enhancing working capital.
The successful outcome of the legal case believed to be with MW High Tech Projects UK over the Energy Works (Hull) incinerator plant should also release a further £1.25 of cash held as security for bonds on ongoing contracts.
The group entered the new financial year with secured work of £53m and a pipeline of £188m.
Chairman and founder Charlie Spencer said: “While there has been a short term, sharp disruption in activity in 2020 as a result of the Covid 19 pandemic, general market activity is expected to remain positive in all sectors with Government’s committed spending in transportation, particularly the rail sector and the enhancement of existing provision of new rail infrastructure and maintenance providing significant future construction opportunities for the group.
“The structural repair, refurbishment and maintenance of bridges also provides a strong future pipeline of opportunities in a sector where the group has earned an excellent reputation for providing innovative access solutions that provide a competitive advantage.”
He added that the group’s subsidiary Slipform Engineering was undertaking concrete core construction for several high-rise projects throughout the UK with the board expecting significant growth as its market presence develops.
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Labour shortages could last for next two years
Business leaders are warning that labour supply problems could last for up to two years and will not be solved by the end of the furlough scheme.
CBI Director-General Tony Danker called on government to to get a grip on the situation as shortages hit construction and all other industries.
He said: “Labour shortages are biting right across the economy. While the CBI and other economists still predict growth returning to pre-pandemic levels later this year, furlough ending is not the panacea some people think will magically fill labour supply gaps.
“These shortages are already affecting business operations and will have a negative impact on the UK’s economic recovery.
“Other European countries are also experiencing staffing shortages as their economies bounce back. In the UK, many overseas workers left during the pandemic and new immigration rules make replacing those who left more complex.
“Building a more innovative economy – coupled with better training and education – can sustainably improve business performance, wages and living standards. But transformation on this scale requires planning and takes time.
“The Government’s ambition that the UK economy should become more high-skilled and productive is right. But implying that this can be achieved overnight is simply wrong. And a refusal to deploy temporary and targeted interventions to enable economic recovery is self-defeating.
“Using existing levers at the UK’s control – like placing drivers, welders, butchers and bricklayers on the Shortage Occupation List – could make a real difference.
“The Government promised an immigration system that would focus on the skills we need rather than unrestrained access to overseas labour. Yet here we have obvious and short-term skilled need but a system that can’t seem to respond.
“Great economies like great businesses can walk and chew gum. We need short-term fixes to spur recovery and long-term reforms to change our economic model.”
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