Planning permission has been granted by the City of London Corporation for construction of what will be the second tallest building in Western Europe behind the Shard. Aroland Holdings, a developer based in Singapore, has secured approval to construct a skyscraper at 1 Undershaft, which will stand between the Cheesegrater,
The Bamber Bridge-headquartered group behind construction business Conlon has seen its turnover rise past £55m with executive chairman Michael Conlon saying that revenues have been boosted by several larger projects including work on a major hospital building. Conlon Holdings has posted a turnover of £55.3m in the year ending 30
The British construction industry could lose out on almost 215,000 workers if there is a ‘hard’ Brexit, according to research from Arcadis. The report found that a ‘soft’ Brexit could see the industry lose out on 136,000 workers – around 78,000 fewer than in the hard Brexit scenario. According to
In October the residential sector unexpectedly reached a huge £2.3 billion worth of construction contracts for the month. This was despite the sharp falls in the construction industry after the immediate aftermath of the Brexit vote. The November edition of the Economic & Construction Market Review from industry analysts Barbour
County Tyrone construction firm McAleer & Rushe has secured a £25 million deal to build and lease out a four star hotel in Newcastle, England. ES Newgate, the company’s subsidiary, is set to develop the 226 bedroom, six storey property, which will become a Maldron Hotel when complete. The scheme
Construction work is underway on a new £15 million teaching centre at the University of Nottingham, in the latest of a number of new buildings being constructed at the university. The building will span 5,000 sq m and will stand next to Hallward Library at the University Park campus and
The latest report from Balfour Beatty has urged the government to maintain a commitment to devolution in the autumn statement to stop the issue of devolution from “slipping off the radar.” The contractor’s report, entitled ‘Where now for combined authorities?’, outlines 10 recommendations made to maintain the devolution agenda in
A date has been given for the reopening of Marlow Bridge. Closed to traffic since September 24, it is hoped it will open on Friday November 25, weather permitting. The decision follows the outcome this week of structural engineering tests, which have been carried out since a 37-tonne lorry tried
Reading-based international support services and construction group Interserve has secured a five year total facilities management account with six central government departments worth over £40 million. The account, known as the ‘Affiliate Cluster’, will cover the Cabinet Office, the Department for International Development (DFID), the Food Standards Agency (FSA), the
A survey of Build UK members has found that the shortage of skilled labour has become more severe since Brexit, despite the EU referendum outcome not having an immediate slowdown in work for UK contractors overall. The survey shows that in the three months following the referendum, labour costs are
Planning permission has been granted by the City of London Corporation for construction of what will be the second tallest building in Western Europe behind the Shard. Aroland Holdings, a developer based in Singapore, has secured approval to construct a skyscraper at 1 Undershaft, which will stand between the Cheesegrater, the Gherkin and the new 22 Bishopsgate tower which is being built by Multiplex. The 1 Undershaft tower will stand at 304.94 metres tall above ordnance datum (289.94 metres in structural height), which will outstrip the 278 metre high tower at 22 Bishopsgate. Across the river next to London Bridge station, The Shard is 309.6 metres high to its tip. At the latest City of London Corporation’s planning & transportation committee meeting, 1 Undershaft was approved by a vote of 19-2. The work will first of all involve demolition of the current Aviva Tower. Designed by architect Eric Parry, the 73 storey structure will provide 130,000 square metres of office accommodation, along with over 2,000 square metres of retail space. Upon completion, around 10,000 workers will work in the building, with 1,600 of them able to park their bikes there. A free public viewing gallery will stand at the top of the structure, which will be served by a dedicated lift service. The public viewing gallery will be home to the highest restaurant in London and will have learning spaces for schools and other groups to discover more about the capital, its growth and history. The Museum of London has had discussions with the developer over a dedicated gallery at the top of the building, using 1 Undershaft’s height to show London’s development. At the base of 1 Undershaft, a new larger public square will be created. The building has an elevated reception, allowing pedestrians to walk beneath the building.
The Bamber Bridge-headquartered group behind construction business Conlon has seen its turnover rise past £55m with executive chairman Michael Conlon saying that revenues have been boosted by several larger projects including work on a major hospital building. Conlon Holdings has posted a turnover of £55.3m in the year ending 30 April 2016 according to its latest set of accounts, up by 27 per cent on a year earlier. Of this, £54.3m came from the construction sector. Pre-tax profits climbed by 154 per cent to £4.1m over the same period. Conlon (pictured above) said: “Mostly that turnover growth was due to some larger projects that came in, including a £15m hospital building (pictured top) at Ashford in Kent and lots of work through the Education Funding Agency. This is part of a long-term strategy that we have to get and stay on frameworks. “We’re lucky enough to be the only SME on the Education Funding Agency framework, which has been very good for the business in terms of turnover and helping us gain further specialisms in education. “The current financial year has been going very well too. We’re on target for £50m+ again this year.” Conlon, which also won the contract to work on the iconic Preston Bus Station, was founded by five Conlon brothers in 1961. Meanwhile, Conlon Construction has begun working on a ground-breaking £40 million Hertfordshire hospital. The firm has kicked off the 65 week project for the new private hospital in Hatfield, Hertfordshire. The two storey facility is being built on a four acre site close to the University of Hertfordshire’s College Lane Campus. It has been commissioned by One Healthcare and was designed by Manning Elliott. The hospital will have spaces for 21 beds, three of which will be designated for critical care three ultra clean ventilation (UCV) theatres, 14 day-case pods, two treatment rooms and 10 outpatient consulting rooms.
The British construction industry could lose out on almost 215,000 workers if there is a ‘hard’ Brexit, according to research from Arcadis. The report found that a ‘soft’ Brexit could see the industry lose out on 136,000 workers – around 78,000 fewer than in the hard Brexit scenario. According to the research, which was conducted for Arcadis by the Centre for Economics and Business Research, British construction could lose a volume of workers equivalent to the entire population of Luton (214,700 according to ONS 2015 estimates) in the event of a hard Brexit. This is based on a potential scenario whereby there would be an extension of the points-based system currently in place for non-EU migrants. If those EU nationals leaving the industry could not be replaced at the same rate by new EU workers, the research estimated there would be almost 215,000 fewer people from the EU would enter the infrastructure and housebuilding sectors between now and 2020, based on an assumed combined workforce of 1.5m. Arcadis said that, were policies implemented on a sector-by-sector basis and allowing for a degree of EU migration into the sector, it expected around 135,000 fewer European nationals would relocate to British construction – a number equivalent to the population of Ipswich. Read more at https://www.constructionnews.co.uk/markets/international/eu-referendum/hard-brexit-could-cost-construction-215000-jobs/10015295.article
In October the residential sector unexpectedly reached a huge £2.3 billion worth of construction contracts for the month. This was despite the sharp falls in the construction industry after the immediate aftermath of the Brexit vote. The November edition of the Economic & Construction Market Review from industry analysts Barbour ABI states that the residential sector monthly contract value rose by 34% in October in comparison to September. Builders Persimmon and Taylor Wimpey both also registered growth in its order books, with the former reporting a 19% increase in sales rates. In construction overall, contracts were up in October reaching £5.9 billion, which is an increase of 5% on the previous month. However, a number of sectors are yet to recover from the Brexit vote slump in the same way that the residential construction industry has – particularly in infrastructure, with contract values down by 42% in October compared with the same time last year. Since the July referendum, Commercial & Retail, Industrial and Medical & Health have also struggled to get some momentum going. Lead economist at Barbour ABI, Michael Dall, said that the turnaround for housebuilding in October will give industry leaders, investors and the government much needed breathing space. Dall added: “However, the majority of the other construction sectors continuing to lag after the post-Brexit vote is a cause for concern, particularly infrastructure and commercial & retail, two sectors that are usually accurate indicators of how the overall economy is performing. “Housebuilding now beginning to thrive is no major surprise, as the strain on housing stock and government targets have become a matter of national attention. “What did actually surprised was the significantly large value of residential construction contract this month, reaching £2.3 billion, the highest monthly figure ever recorded for residential construction since Barbour ABI reporting began back in October 2010.”
County Tyrone construction firm McAleer & Rushe has secured a £25 million deal to build and lease out a four star hotel in Newcastle, England. ES Newgate, the company’s subsidiary, is set to develop the 226 bedroom, six storey property, which will become a Maldron Hotel when complete. The scheme is the firm’s latest work with Irish hotel plc Dalata Group, and will be the first Maldron Hotel in England. McAleer & Rushe will retain ownership of the property, which will be leased to Dalata through a 35-year contract. The building, located on the site of the former Newgate Centre, is expected to open in the summer of 2018. McAleer and Rushe is also set to build student accommodation as part of the same mixed used development, which is worth £100 million in total. The firm’s property director, Stephen Surphlis, commented: “The addition of this quality hotel brand reflects the wider importance of this entire mixed-use development and will be a major asset to the city as a whole, as well as attracting business and leisure travellers to Newcastle. “We look forward to working alongside Dalata, for whom we have previously delivered numerous projects.” Meanwhile, McAleer & Rushe is also working on the construction of a new Maldron Hotel at Brunswick Street in the centre of Belfast. It will be the company’s fourth hotel here. It also owns the Maldron Hotel at Belfast International Airport, the Clayton Hotel on Ormeau Avenue in the centre of the city, and the Maldron Hotel in Londonderry. Dalata currently operates five Clayton hotels in England, with two in London, and one each in Cardiff, Leeds and Manchester. It additionally owns the Croydon Park Hotel in London. Dermot Crowley, deputy chief executive for business development and finance at Dalata, said: “This development provides us with an exciting opportunity to launch our Maldron brand in the English market.”
Construction work is underway on a new £15 million teaching centre at the University of Nottingham, in the latest of a number of new buildings being constructed at the university. The building will span 5,000 sq m and will stand next to Hallward Library at the University Park campus and will be made up of teaching rooms, collaborative lecture theatre, performing arts space, social learning hub and staff offices. Architecture firm Make has designed the building, while the project will be managed by international property and construction consultancy Gleeds. The development is set to be finished by the end of next year and was commissioned as part of a £500 million capital investment plan for the university. Gleeds director based in Nottingham, James Marshall, commented: “The new facilities seek to provide an improved educational experience and, once complete, will help to attract both national and international students to the city of Nottingham. “We are delighted to be involved in this project and look forward to see the ambitious plans come to fruition.” David Patterson, partner at Make added: “This will be a beautiful building on a beautiful campus. “We are aiming to create an inspiring environment for both students and teachers and one which will accommodate current and future demands for light, vibrant, student-focused spaces.” The University Park will span 300 acres and is the biggest of the four campuses and is widely regarded as one of the most attractive in the UK. Chief estates and facilities officer at the University of Nottingham, Chris Jagger, said the new building would correct the imbalance of teaching facilities on University Park at present. He added: “This building includes both traditional seminar rooms and lecture theatres but also spaces for informal and small group learning. “It will be technology-enabled to deliver the latest innovations in teaching practice and to provide the best learning experience for our students.”
The latest report from Balfour Beatty has urged the government to maintain a commitment to devolution in the autumn statement to stop the issue of devolution from “slipping off the radar.” The contractor’s report, entitled ‘Where now for combined authorities?’, outlines 10 recommendations made to maintain the devolution agenda in the face of political uncertainty resulting from the EU referendum and the resultant government shake up. The top recommendations made are for the government to maintain its commitment to devolution and to remove the uncertainty around EU funding for local authorities. Up until 2020, the EU has allocated £5.3 billion of regeneration funds to local councils, however the future of this funding is still not clear as the UK continues to negotiate its way out of the EU. Mike Reade, Regional Director at Balfour Beatty, said that a possible loss of funding is “certainly a concern” for local government and there is a danger that the devolution agenda may “slip off the radar” if the government places all of its focus on negotiating its way out of the EU. Reade commented: “It is the uncertainty that hurts. If there is uncertainty on policy and uncertainty on funding, then there is a danger that the momentum of devolution is lost.” Mr Reade said devolution is important for contractors because it has encouraged local government to become more commercially aware. This in turn has encouraged local councils to engage with the private sector in making investment decisions. He said: “From our point of view, discussions taking place around public and private partnerships means we’re starting to see longer programmes of work being talked about. “If we get to enter into some closer public/private partnership relationships and get more visibility about future programmes, we can be more confident about our future.”
A date has been given for the reopening of Marlow Bridge. Closed to traffic since September 24, it is hoped it will open on Friday November 25, weather permitting. The decision follows the outcome this week of structural engineering tests, which have been carried out since a 37-tonne lorry tried to cross the bridge. Engineers’ rigorous inspection, ultrasound and magnetic particle testing revealed no serious damage. In the coming week, they will restore sections exposed for weld testing with three coats of paint, remove scaffolding surrounding the bridge’s two towers, and reinstate timber work removed for inspection. Mark Shaw, Buckinghamshire County Council’s transport cabinet member, said: “We needed to make sure the bridge was safe and secure for all to use before opening it, and I’m pleased the engineers’ go-ahead has come ahead of the Christmas trading period.” Engineers have been examining every part of the structure since the lorry, owned by the Lithuanian haulage company Girteka, tried to cross the bridge. A special inspection platform and a river barge were commissioned to enable testing above and below the road deck. The 19th century bridge has been open to pedestrians and cyclists. County Councillor Richard Scott said: “Christmas is a very important time for the town’s retailers, so this will come as a great relief to them. “Residents, visitors and commuters will also be pleased that traffic congestion on the Marlow bypass will be considerably reduced.”
Reading-based international support services and construction group Interserve has secured a five year total facilities management account with six central government departments worth over £40 million. The account, known as the ‘Affiliate Cluster’, will cover the Cabinet Office, the Department for International Development (DFID), the Food Standards Agency (FSA), the Government Actuary’s Department (GAD), the Health and Safety Executive (HSE) and the Office for Standards in Education, Children’s Services and Skills (Ofsted). This will be the first time that all six departments’ facilities management services will be handled by a single provider. The deal is hoping to achieve double digit cost savings each year across the departments. Under the terms of the agreement, Interserve will provide a number of services including front of house, catering and security, along with electrical and mechanical maintenance. The new partnership will also see the group incorporate the use of small and medium sized enterprises (SMEs) in line with targets of the government. Adrian Ringrose, Chief Executive, commented: “We have excellent relationships in central government and are very pleased to be expanding this partnership into new departments. We feel that our extensive experience of delivering diverse, complex facilities management services for government makes us the ideal partner for this combined contract. “Ahead of the start of this contract we are focusing on the training and development of our people, to ensure we continue to provide the highest standard of customer service.” Chief Executive of the Civil Service, John Manzoni , added: “Bringing the support services together under a single overarching account will deliver significant benefits for each department and for the government as a whole. “Thanks to the efficiencies that our partnership with Interserve will deliver, we will achieve consistent service level across the estate whilst bringing savings; ensuring we are delivering real value to taxpayers.”
A survey of Build UK members has found that the shortage of skilled labour has become more severe since Brexit, despite the EU referendum outcome not having an immediate slowdown in work for UK contractors overall. The survey shows that in the three months following the referendum, labour costs are on the rise and there has been a significant increase in the number of contractors unable to bid for jobs because they cannot afford the workforce. At the end of June, the UK voted in favour of leaving the European Union in a referendum and while it will be at least two years before the UK actually leaves the EU, there is still uncertainty about what the impact will be in the end. Trade deals will need to be put in place that will determine the extent the UK will continue to support the free movement of people and goods. Build UK’s state of trade survey for Q3 of 2016, covering the months straight after the referendum (July to September) show that while members of Build UK saw their workloads increase immediately after the vote, there were more and more difficulties in recruiting skilled operatives. However, the survey does not shed any light on whether the result of the referendum may have in any way contributed to the recruitment problems recently experienced by the construction industry. An unrelated report from brokers Willis Towers Watson on the implications of Brexit for the UK construction industry states that the industry is currently relying on foreign labour from within the EU, with migrant workers currently filling around 12% of the 2.9 million UK construction jobs. The Build UK survey does show that labour shortages stopped a quarter of contractors from bidding for work during the third quarter of this year, a number that has increased from 16% in Q2.
