Friday 12 July
Keir Starmer announces ministerial appointments
Throughout the week, the Government has been announcing which ministers will work across various departments. Relevant individuals announced so far include:
Department for Energy Security and Net Zero:
- Rt Hon Ed Miliband MP as Secretary of State for Energy Security and Net Zero
- Sarah Jones MP as Minister of State in the Department for Energy Security and Net Zero and the Department for Business and Trade
- Rt Hon Lord Hunt of Kings Heath OBE as Minister of State in the Department of Energy Security and Net Zero
- Kerry McCarthy MP as Parliamentary Under-Secretary of State in the Department for Energy Security and Net Zero
- Michael Shanks MP as Parliamentary Under-Secretary of State in the Department for Energy Security and Net Zero
- Miatta Fahnbulleh MP as Parliamentary Under-Secretary of State in the Department for Energy Security and Net Zero
Ministry of Housing, Communities and Local Government:
- Rt Hon Angela Rayner MP as Secretary of State in the Ministry of Housing, Communities and Local Government. She will also be Deputy Prime Minister
- Jim McMahon OBE MP as Minister of State in the Ministry of Housing, Communities and Local Government
- Matthew Pennycook MP as Minister of State in the Ministry of Housing, Communities and Local Government
- Alex Norris MP as Parliamentary Under-Secretary of State in the Ministry of Housing, Communities and Local Government
- Rushanara Ali MP as Parliamentary Under-Secretary of State in the Ministry of Housing, Communities and Local Government
- Baroness Taylor of Stevenage as Parliamentary Under-Secretary of State in the Ministry of Housing, Communities and Local Government and as a Baroness in Waiting (Government Whip)
- Lord Khan of Burnley as Parliamentary Under-Secretary of State in the Ministry of Housing, Communities and Local Government
New Secretary of State for Energy Security and Net Zero outlines priorities for the Department in open letter to its staff
On Monday, the Department for Energy Security and Net Zero published an internal letter from Ed Miliband, its new Secretary of State. In the letter, he states his upcoming priorities for the Department, including:
- Delivering Labour’s mission to boost energy independence and cutting bills through clean power by 2030
- Taking back control of the UK’s energy with Great British Energy
- Upgrading Britain’s homes and cutting fuel poverty through the Warm Homes Plan
- Standing up for consumers by reforming the energy system
- Creating good jobs in Britain’s industrial heartlands, including a just transition for the industries based in the North Sea
- Leading on international climate action, based on domestic achievements
Miliband also asserts that the Department will be “mission-driven”, mobilising citizens, businesses, trade unions, civil society and local government in a national effort, adding that “everyone has a role”.
Department for Levelling Up, Housing and Communities renamed to Ministry of Housing, Communities and Local Government
On Tuesday, Deputy Prime Minister and Secretary of State for Levelling Up, Housing and Communities Angela Rayner announced on X that her Department would return to its previous name of the Ministry of Housing, Communities and Local Government. Rayner is reported to have removed the term “Levelling Up” as she believes it to be a “sham” which was held back by the previous Government being “unwilling to match their ambition”. She has also reiterated that a “back to basics” approach will define her leadership of the Department, with no more “gimmicks, stunts or spin”.
Chris Stark appointed to lead new clean energy taskforce under Keir Starmer’s government
On Tuesday, it was announced that Chris Stark – the former chief executive of the Climate Change Committee (CCC) – has been appointed to lead a taskforce focused on delivering clean and cheaper power to the UK by 2030. This aligns with one of the five missions the Labour Party included in its election manifesto, promising to make Britain a clean energy superpower. The Department for Energy Security and Net Zero (DESNZ) said this new Mission Control will be the “first of its kind in government”, with a focus on “accelerating the transition away from volatile fossil fuel markets to clean, homegrown power, to boost Britain’s energy independence and cut bills for the British people”.
BRE’s 100 day roadmap for the incoming UK Government
We are delighted to support this call from BRE colleagues on the actions our new government can take to deliver a better, more sustainable built environment. It’s great to see references to the importance of standards, innovation, and procurement through Constructing the Gold Standard. BRE’s 100 day roadmap for the incoming UK Government (bregroup.com)
Construction Output Increased by 1.9% in Volume Terms in May 2024
The Office for National Statistics published estimates of construction output, new orders, and output prices for May 2024 this morning.
- Monthly construction output is estimated to have grown by 1.9% in volume terms in May 2024; this follows a fall of 1.1% in April 2024 (revised from a fall of 1.4%).
- The increase in monthly output came from increases in both new work (2.7%), and repair and maintenance (0.8%); anecdotal evidence from survey returns noted that warmer weather contributed to increased output in May, with the Met Office confirming in their Monthly climate summary (PDF, 4.6MB) that May 2024 was the warmest on record.
- At the sector level, eight out of the nine sectors saw growth in May 2024, the main contributors to the monthly increase were a 2.8% increase in total new housing, with both private and public new housing increasing on the month, infrastructure new work, which rose by 3.5%, and non-housing repair and maintenance, which grew by 2.1% on the month.
Construction output is estimated to have fallen by 0.7% in the three months to May 2024; this came from a decrease in new work of 0.9%, and repair and maintenance, which fell by 0.3%.
Read the full report here.
Download the ONS Construction update here.
IN THE NEWS
Reeves vows to “fix” planning system | Construction Enquirer News
Construction swings from weakest to strongest sector | Construction Enquirer News
We need a plan to revolutionise the planning system (ft.com)
Labour must be ‘belligerent’ on affordable homes, housebuilder warns (ft.com)
HSE highlights “significant” rise in construction deaths | Construction Enquirer News
Friday 19 July
King’s Speech sets agenda for the new Parliament
On Wednesday, the State Opening of Parliament took place. This included the King’s Speech, which set out details of bills that the government would like to pass into law over the next session of parliament. With 40 bills and draft legislation included in the speech, nearly double that of the last King’s Speech, an ambitious, mission-led plan has been set by the government with the stated aim of “Rebuilding Britain”.
The speech was broken down into sections that reflect Labour’s core missions:
- Economic stability and growth
- Great British Energy and clean energy superpower
- Secure borders, cracking down on antisocial behaviour and take back our streets
- Break down the barriers to opportunity
- Health
- National security and serving the country
- Planning and Infrastructure Bill – this aims to reduce red tape to speed up house building. The Planning Bill aims to ensure there is democratic engagement with how, not if, homes and infrastructure are built. It will also deliver a new and improved process for national policy statements so they can be updated every five years.
The Planning and Infrastructure Bill will also simplify the consenting process for major infrastructure projects, reform Compulsory Purchase, modernise planning decisions and increase the capacity of local planners. It will also allow for “development to be used to fund nature recovery, where both are currently stalled”: the detail of this is still to be worked out over the summer. - Great British Energy Bill – this will establish a new publicly-owned energy production company. As well as creating an operational asset, the Bill will help to deliver the government’s mission of clean energy by 2030 by facilitating and participating in the production, distribution, storage and supply of clean energy, and reducing greenhouse gas emissions from energy from fossil fuels.
- Skills England Bill – this will transfer functions from the Institute of Apprenticeships and Technical Education to Skills England to target skills shortages. The Skills Bill will bring together a single view of national and local skills provision and ensure that national and regional systems are aligned to allow for economic growth. This will be of huge benefit to the built environment sector.
- Renters’ Rights Bill – this aims to give greater rights to renters, including banning no-fault evictions and reforming grounds for possession.
- Draft Leasehold and Commonhold Reform Bill – a draft bill to further implement the Law Commission’s recommendations on leasehold reform.
- High Speed Rail Bill which will build new infrastructure for rail connectivity in the north of England, though it will not revive the abandoned plans for the northern HS2 stretch.
- As part of the English Devolution Bill, devolved authorities – which currently cover about half of England’s economy – will have strengthened powers over strategic planning with requirements for these authorities to produce local growth plans which we could feed into. More areas will be encouraged to form new devolved authorities. This could lead to some reorganisation for local authorities so that they can take advantage of opportunities to form new combined or combined county authorities. As well as covering devolved administrations, the Bill will also strengthen the rights of local communities to buy valued community buildings/assets.
- The Product Safety Bill and Metrology bill has been introduced to help keep pace with technological and regulatory advancements and any hazards that may arise so that product safety remains in line with economic growth. One example of this is the fire risk associated with e-bikes and lithium-ion batteries. It will also ensure that the law can be updated to recognise new or updated EU product regulations, including the CE marking. Likewise, it includes an update of the legal metrology framework, which governs the accuracy of weights and measures for purchased goods. This will allow for technological progress, including in support of net zero aims and infrastructure, for example enabling innovation while ensuring the accuracy of energy meters.
- The Digital Information and Smart Data Bill will help scientists, including those who work in commercial environments, to make better use of data by unlocking consent constraints. It will put regulatory frameworks around verification and third party data exchange services. Data will also be better protected too through an enhanced Information Commissioner’s Office (the data regulator).
- The Terrorism (Protection of Premises) Bill includes Martyn’s Law and will make public venues, regardless of size, look at mitigating the impact of attacks in order to reduce harm.
Economic growth and security were a constant theme throughout the speech too. The Budget Responsibility Bill will strengthen the Office for Budget Responsibility (OBR), requiring it to provide independent assessments of all future government tax and spending changes. This aims to provide a more stable fiscal landscape which should benefit businesses.
Other future pieces of legislation that may be of general interest are the Employment Rights Bill that will ban zero hour contracts, make parental leave and sick pay available for workers from day one, allow for flexible working and strengthen statutory sick pay.
Welsh First Minister resigns
On Tuesday, Vaughan Gething stepped down from his role as First Minister in the Senedd (Welsh Parliament). This is only four months after Mark Drakeford stepped down from the role in March. Gething’s decision came after four of his 13 Welsh ministers quit from his government, citing his leadership as part of the reason. Gething has confirmed he will stay on until his successor is appointed.
Ministry of Housing, Communities and Local Government publishes latest English Housing Survey reports
On Wednesday, the Ministry of Housing, Communities and Local Government updated the English Housing Survey live tables. This latest update includes additional tenure breakdowns on the topics of decent homes, health and safety, damp and mould, and disrepair and electrics. Discontinued tenure breakdowns include secondary amenities and economic status of households.
Construction Product Manufacturers are not Prioritising Digitisation
The Construction Leadership Council has published a research report into the views of senior managers in construction product manufacturers about digitisation. The introduction of digital technologies in the construction sector remains a key factor in improving efficiency, safety and profitability. However, this research by the Plain Language Group shows that the demand for digitised product information, which is included in the Construction Safety Act and the Golden Thread guidelines, is not reaching product manufacturers.
Manufacturers are facing a difficult journey to digitalisation and will need specific support and incentivisation to make the necessary changes. Download the research report here.
IN THE NEWS
A guide to the key players shaping Labour’s built environment policy – Building Design
Building Design has published an article exploring the various decisionmakers for the built environment sector in the new Government. Included in this is expectation that large strategic decisions will be made by a “quad” of Keir Starmer, Rachel Reeves, Angela Rayner and Pat McFadden. The article goes on to mention other core members including election campaign manager Morgan McSweeney, Chief of Staff Sue Gray, and Sarah Jones, who is expected to be given the role of the government’s representative at the Construction Leadership Council.
CMA publishes anti-greenwash guidance for heat pumps, solar panels, and home insulation – Business Green
Business Green reports the Competition and Markets Authority (CMA) has published a new set of key principles to help businesses avoid greenwashing when promoting heat pumps, biomass boilers, solar panels, and home insulation. The guide – titled Marketing green heating and insulation products: Consumer law compliance advice for businesses – aims to help businesses involved in the marketing of green heating or insulation products better understand and fulfil their obligations under consumer protection law. The advice comes as experts warn that as many as three million heat pumps will need to be fitted in homes across the country over the coming Parliament if the UK is to meet its statutory climate targets, requiring a significant acceleration in the current installation rate.
Construction growth forecast raised with post-election boost – Construction Management
Protecting London a matter of ‘national security’ if extreme weather hits (ft.com)
Labour to begin rail nationalisations within months (ft.com)
Friday 26 July
Crown Commercial Service Receives First Gold Standard Verification
We’re delighted to announce that Crown Commercial Service (CCS) has become the first organisation to be verified under Constructing Excellence‘s ‘Gold Standard Verification Scheme’. The scheme aims to ensure that Government departments and the wider public sector adopt urgent recommendations for improved value, reduced risks and achievement of net zero on all their construction projects.
We should see some more excellent organisations confirmed through the scheme shortly. Get in touch with us if you want to find out more. Crown Commercial Service Receives First Gold Standard Verification – Constructing Excellence
MoU with the Construction Clients Leadership Group
Constructing Excellence is delighted to sign an MoU with the Construction Clients’ Leadership Group. The CCLG is an independent client group representing private, public and regulated clients.
We have been working closely with the CCLG over the past 18 months, sharing content and events and aim to strengthen this relationship through joint activities and member involvement. Watch this space! Find out more: MoU with the Construction Clients Leadership Group – Constructing Excellence
This week in policy
Department for Energy Security and Net Zero announces partnership between Great British Energy and the Crown Estate
On Thursday 25 July, the Department for Energy Security and Net Zero announced a partnership between Great British Energy and the Crown Estate. The partnership will lead to an estimated 20-30GW of new offshore wind developments reaching seabed lease stage by 2030.
This came on the same day as the Great British Energy Bill was introduced, enabling the new company to use £8.3 billion of new investment during this Parliament.
The new company will have five key functions:
- Project development – leading projects through development stages to speed up their delivery, while capturing more value for the public,
- Project investment – investing in energy projects alongside the private sector, helping get them off the ground,
- Local Power Plan – supporting local energy generation projects through working with local authorities, combined authorities and communities,
- Supply chains – building supply chains across the UK, boosting energy independence and creating jobs, and
- Great British Nuclear – exploring how Great British Energy and Great British Nuclear will work together, including considering how Great British Nuclear functions will fit within Great British Energy.
The second reading of the Bill is due to take place on Monday 5 September and an internal legislation tracker has been created.
Eluned Morgan announced as new leader of Welsh Labour and soon to become First Minister of Wales
On Wednesday 24 July, Eluned Morgan was announced as the new leader of Welsh Labour, replacing Vaughan Gething as First Minister of Wales, following Gething’s resignation last week. Morgan is currently the Welsh Health Minister and was the only contender for leadership. A confirmation vote in the Senedd (Welsh Assembly) will be required to confirm her as the new First Minister.
Ministry of Housing, Communities and Local Government updates its guidance for leaseholders
On Wednesday 24 July, the Ministry of Housing, Communities and Local Government published an update to its guidance for leaseholders to reflect amendments to the leaseholder protections that are in force as a result of the Leasehold and Freehold Reform Act 2024.
IN THE NEWS
Labour’s homebuilding plans at risk from skills shortage, industry says (ft.com)
Labour told it will need to defeat ‘net zero NIMBYs’ to decarbonise Britain – The Guardian
The Guardian reports that the Resolution Foundation has published a report which calls for an increase in public and private investment to decarbonise Britain’s homes, transport and electricity system. The report also highlights how many of the projects required to meet net zero targets will meet local opposition, especially given that many projects will need to happen in the wealthier areas of the country where there is more space for large developments.
Not enough new wind and solar farms are being built, warn experts – The Times
The Times reports new analysis from energy consultancy Cornwall Insight has found Britain is not on course to hit the new Government’s targets to fully decarbonise the electricity system by the end of the decade. This is because the country is not on track to build enough wind and solar farms, with the two energy sources currently projected to account for about 44% of total energy supply by 2030. Wind and solar accounted for 34.3% of the UK’s electricity supply last year. Cornwall Insight is calling for increased subsidy schemes, with an extra £48 billion needed to be spent on new clean power in order to meet the target.
Build houses now, fix pollution later, Labour to tell developers – The Times
The Times reports that government ministers are hoping to change nutrient neutrality rules on building near rivers in order to hit housing targets. Angela Rayner, the Deputy Prime Minister, and Steve Reed, the Environment Secretary, have told environmental groups that current rules are “not working” and that they want to restart housing developments that have been put on hold. This comes after Natural England effectively imposed a moratorium on a string of projects two years ago by ruling that developments in designated areas would only be allowed if the builders could show they would not increase levels of phosphorus or nitrogen in waterways.
English heritage homes get green boost from new guidance – Financial Times
Financial Times reports Historic England has announced its support for heat pumps, solar panels and insulation to be installed on English heritage homes in the form of new guidance being published for local councils to use. Individual conservation officers, with broad discretion for approvals, and varying rules across England’s 317 councils, have proven a significant obstacle to the development of green skills and businesses. This is the first time Historic England has explicitly encouraged the installation of heat pumps in historic homes.