// News


MoD Alliance Advances MMC Delivery for 16,000 New Military Bedspaces by 2034


The Ministry of Defence has allocated initial projects to a new contractor alliance, launching a £2 billion programme to deliver 16,000 single-living accommodation bedspaces using modern methods of construction by 2034. Led by the Defence Infrastructure Organisation, the alliance includes Laing O’Rourke, Kier, Bowmer & Kirkland, Reds10, and ExtraSpace Solutions, using volumetric modular techniques to prefabricate modules off-site.


The first phase covers 1,794 bedspaces at sites like Baker Barracks at Thorney Island and Trenchard Lines at Upavon, with construction underway for three-storey blocks featuring photovoltaic panels, air source heat pumps, and SMART energy systems for net-zero efficiency. This tackles longstanding military housing issues, cutting build times by up to 50% and minimising disruption.


The programmatic approach, using a design library, supports cost-effective delivery and job creation while aligning with net-zero goals. Brigadier Pete Quaite, Head of Army Infrastructure Plans, said the investment shows commitment to facilities soldiers deserve. Projects like Beacon Barracks at MOD Stafford achieve air tightness exceeding Passivhaus standards. As the alliance scales, it sets a precedent for public sector MMC, with half the target due by 2030.


Lords Inquiry Slams ‘Disarray’ in MMC Strategy


A January 2024 House of Lords report labelled the government’s modern methods of construction approach as in disarray, criticising undirected £11.5 billion Affordable Homes Programme funding and a dormant £10m taskforce. Despite mandates for 25% MMC in new homes by 2025, collapses like Ilke Homes exposed gaps in data and strategy.


The Built Environment Committee called for clear objectives, overseas learnings, and apprenticeship mandates to hit 300,000 annual homes, noting potential for emissions cuts despite cost debates. Lord Moylan stressed that MMC succeeds abroad and the UK needs leadership.


With the 2025 Future Homes Standard looming, recommendations include warranty reforms and procurement pipelines to drive productivity amid skills shortages. The report remains relevant in 2025 policy discussions, pushing MMC as key to net-zero goals and housing targets, urging a cohesive strategy to unlock its potential for sustainable, scalable construction.


Updated NHS Framework Accelerates Modular Healthcare Builds with £3bn Boost


NHS Shared Business Services unveiled the Modular Buildings 3 framework in June 2025, streamlining off-site procurement for healthcare infrastructure amid Chancellor Rachel Reeves’ Spending Review allocating billions for hospitals. Covering diagnostics, GP surgeries, and wards, it promotes MMC to cut timelines by 40% and emissions by 50%, aligning with net-zero goals.


The framework supports Reeves’ £3 billion+ push for modernising facilities, enabling upgrades like elective hubs, mirroring Solihull’s success. Kat Jackson, NHS SBS Principal Category Manager, said it fast-tracks construction, tackling healthcare and housing needs.


With 143 pipeline projects eyeing MMC, it addresses 250,000 worker shortages via factory efficiency, projecting 100,000 jobs per industry estimates. As ESG demands rise, the initiative cements modular construction’s role in sustainable public builds, delivering faster, greener healthcare facilities to meet growing demand while supporting the UK’s net-zero commitments and labour market challenges.


CN Awards 2025 Crowns MMC Innovators Amid Sector Growth to 15% of New Builds


The Construction News Awards 2025, held in July at London’s Grosvenor House, celebrated modern methods of construction excellence, with Zed Pods’ Fortis House in Ashford winning MMC Project of the Year for its 23-unit zero-carbon social-rented modular scheme in a flood zone. Overcoming flood risks and brownfield challenges, the volumetric project cut emissions by 45% via off-site assembly.


Other highlights included McAvoy’s Orsett Heath Academy, a 1,200-pupil school delivered in eight months using MMC for speed and social value, and Merit’s £25m Solihull Hospital Elective Hub, completed in 14 months with volumetric modules for 11,400 annual treatments, minimising disruptions. The May 2025 Modular & Portable Building Association Awards in Birmingham also honoured innovations across sectors, with 185 attendees. As MMC reaches 15% of UK new homes per industry forecasts, organisers noted these winners drive innovation and resilience. With Labour’s 1.5 million homes pledge, the events underscore MMC’s role in net-zero delivery, projecting a £14 billion market value by 2026.


Councils Scrap MMC Pilots Over Cost Overruns and Integration Issues, MPs Hear


UK councils are abandoning modern methods of construction projects aſter facing steep cost overruns and quality issues, a parliamentary committee learned in March 2025. Nottingham City Council halted a 150-home modular scheme due to 25%+ overruns from factory-site mismatches, while Leeds and Bristol scrapped pilots amid volatile material costs and legacy infrastructure clashes. The Housing, Communities and Local Government Committee called government funding undirected, urging apprenticeships, international procurement, and better data on MMC uptake—stuck at 10% of social housing despite £1.5 billion Levelling Up support.


Witnesses noted 2024 insolvencies in volumetric firms and insurer hesitancy. The NHBC pushes standardised specs for 20,000 low-carbon homes yearly under the 2025 Future Homes Standard’s 75% emissions cut. As RAAC remediation strains budgets, MPs urge refining MMC to balance innovation and fiscal prudence, addressing barriers to scale while maintaining quality and affordability in housing delivery.


4 Autumn 2025 M37


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