NEWS In Brief
FALL IN COSTS OF BUILDING NEW LOW CARBON HOMES The cost of building new low carbon homes is fallings, says a new report from the Department of Communities and Local Government. The research, based on interviews with developers and lastest developments in green technologies, found that the overall extra cost of building new homes to standards set in the Code for Sustainable Homes had fallen over a two-year period. For homes built to Code Level 3, average extra costs have dropped from £4,458 in 2008 to £1,128 in 2010, said DCLG.
www.communities.gov.uk
CUT VAT ON REFURBS AS PART OF GREEN DEAL, SAYS BODY A construction trade body has called for a cut in the VAT rate for energy effi ciency refurbishments. The Federation of Master Builders said a cut in the 20% rate to 5% is needed to stimulate customer demand, which will be important to the success of the government’s planned Green Deal programme.
www.fmb.org.uk
MORE CONSUMER PROTECTION FOR HOME IMPROVEMENTS The consumer association Which? has welcomed a tabled amendment to the Energy Bill that aims to tighten up protection for consumers under the Green Deal proposals. The amendment would require an independent assessment of what suitable improvements could be made to a home owner’s property.
ENER-G IN LOW CARBON DEAL FOR HEALTH SERVICE The sustainable energy business, ENER-G, has set up a specialist healthcare division after being appointed to deliver low-carbon improvements for the NHS. The company has been selected to tender for multi- million projects to overhaul the supply of low-carbon electricity, heating and cooling at hospitals across the UK.
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The vast majority of construction fi rms have not seen profi ts improve in the past 12 months
Third of construction fi rms are struggling, says study
● Many fi rms facing the pinch say they are still optimistic about the future
Construction fi rms remain depressed about the economic outlook and their business prospects, according to a recent survey. The vast majority (88%) have not experienced any improvement in profi tability in the past 12 months and more than a third (37%) say they are ‘struggling’. However, four out of 10 said they were optimistic about the long-term future. Business fi nance provider Bibby Financial Services, which carried out the survey, said many fi rms are ‘only just surviving’, with many being forced into rationalising their businesses and making staff cuts. More than half (53%) believe the downturn could continue for at least the next three years and called on the government to do more to stimulate the
‘ The proposed Construction Strategy does represent hope for the future’
economy and cut the national debt. However, the new president of the Heating and Ventilating Contractors’ Association (HVCA), Bob Shelley, said the government’s proposed Construction Strategy did represent hope for the future. He urged the building services sector to embrace it ‘enthusiastically and unequivocally’. He said the strategy contained
‘many recommendations for which the specialist engineering sector has been lobbying for as long as most of us can remember’. Improved integration across the
supply chain; standard forms of pre-qualifi cation; the elimination of
wasteful processes; and a fairer payment regime were key elements he identifi ed as having the potential to improve economic conditions in the future.
For more information visit:
www.bibbyfi
nancialservices.com www.hvca.org.uk
Top architect targets procurement
Procurement of design is the ‘bane’ of architects’ lives, according to Angela Brady the new president of the Royal Institution of British Architects (RIBA). She promised to use her two-
year post to reform procurement, with a taskforce already set up to push this aim forward. She also pledged to start a conversation with government, the profession and the public about how to kick-start development, and support the implementation of the government planning reform agenda.
Meanwhile, a report has found that most contractors favour
10 CIBSE Journal October 2011
the two-stage or negotiated procurement route, as it gives the best chance of delivering client satisfaction, but it remains the exception rather than the norm. According to a review of the
supply chain carried out by cost analysts Davis Langdon, the current economic situation means single-stage design and build is the most common approach as it offers the best opportunity for the client of securing an early fi xed price. Fierce competition and the
threat of over-capacity in the supply chain have also left the sector in a ‘fragile’ state, according to the
Angela Brady: new RIBA boss
report. However, more fi rms are forming alliances with former competitors to allow them to take on more complex projects.
www.architecture.com www.davislangdon.com
www.cibsejournal.com
RIBA
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