Read the latest news about the reaction of the construction industry to the next UK Prime Minister. It has been determined that Liz Truss will succeed Rishi Sunak as the next Prime Minister of the United Kingdom after the former defeated him in the election contest for the conservative party. Meanwhile, construction work on Melksham House, a historic structure in the middle of the town that will soon be transformed into a workspace and a community centre that can be used for a variety of purposes, has recently begun. Furthermore, this month marks the beginning of the next phase of the Lower Otter Restoration Project, which will focus on the site’s southern portion. The fall will see a number of access improvements being implemented. Moreover, following a push by two activist investors from the United States, the former Bovis Homes has acquired a smaller competitor.

Construction industry reacts to Liz Truss as UK PM

Original Source: Construction industry reacts as Liz Truss named next UK prime minister

Liz Truss won 57.4% of the vote against Rishi Sunak to succeed Boris Johnson.

Tuesday is Boris Johnson’s last day as prime minister.

Liz Truss: the UK’s third female leader.

Elizabeth Truss is a Conservative MP representing south west Norfolk. She became Minister for Women and Equality in September 2019.

Secretary of State for Foreign, Commonwealth, and Development Affairs since 15 September 2021.

Before that, Truss was Undersecretary of State for Education and Childcare. From July 2014 to July 2016, she was Environment, Food, and Rural Affairs Secretary.

Liz Truss was Lord Chancellor and Justice Secretary from July 2016 to June 2017, and Treasury Chief Secretary from June 2017 to July 2019.

Before entering politics, Truss was Deputy Director at Reform and worked in energy and telecom for 10 years. She’s also an MBA.

Liz Truss vows to fix the energy situation.

In a short speech after the result, Truss declared, “I will deliver on the energy crisis, addressing people’s energy costs and long-term energy supply issues.”

After the announcement, construction leaders gave their perspectives.

The BRE asks the new PM, Liz Truss, to decarbonize existing homes.

Gillian Charlesworth, CEO of BRE, on the leadership election result.

“The incoming UK administration must ratchet up climate change action, and a green transition in the built environment should be essential to this.” We were glad to see Liz Truss pledge to help people insulate their homes as the UK approaches zero. We must go considerably further to decarbonize the UK’s building stock, which accounts for a quarter of greenhouse gas emissions.

Improving energy efficiency is one of the only methods to cut energy bills, which are at record highs and will climb more in October.

With macroeconomic constraints worsening, improving the energy efficiency of our homes will be key to relieving financial stress on households.

“This is why we’re encouraging our next prime minister to submit a serious plan to decarbonize houses and buildings.” At its core, this would mean a fully financed national retrofit programme for all UK households, such as insulation. This would combat fuel poverty for thousands of households, cut energy bills, and make our buildings future-proof.

“It’s important that efforts to eliminate green taxes don’t harm energy efficiency programs, which improve our housing stock.â€�

“These are things we can’t ignore if the UK tries to be a climate policy leader.â€�

CIOB urges PM Truss to continue levelling up and achieve a net zero agenda.

Caroline Gumble, CEO of CIOB, stated, “We want the new prime minister to maintain the government’s existing objectives on levelling up and net zero.” Both can have a positive effect on what we’re sure will be their top priority, the cost of living crisis.

“The levelling up strategy presents chances for the construction sector through local employment creation and stability. Property retrofit projects to increase energy efficiency, for example, will further strengthen the sector and assist homeowners handle growing energy costs. “

In tandem, we want the prime minister to appoint a cabinet that will engage with the building industry and professional groups to understand and ease strains on the built environment sector.

The long-term appointment of a housing minister and a construction minister would increase consistency and coordination in the industry and deepen the Construction Leadership Council’s excellent partnership.

ACE: “Investing in our national infrastructure and the building industry is important.”

ACE CEO Stephen Marcos Jones: “I’d want to welcome the new prime minister and congratulate her on a successful campaign.”

The process delayed critical government action. We know that inflation, rising energy prices, and wages are already affecting the short- to medium-term forecast for our sector, and we look forward to seeing how businesses will be helped in these areas in the coming months.

Investment in our national infrastructure and the construction industry is key to weathering economic storms. It will ensure a long-term view of the economy and investment in a sector that can offer jobs and growth. So I was glad to see the prime minister push for Northern Powerhouse rail and roads.

“Our members create long-term solutions on energy, transport, connectivity, Net Zero, and regional development.” We look forward to our positive engagement with the government under her leadership. “

The new PM, Liz Truss, must “guard our sector from severe damage,” says CEA.

As CEA CEO Suneeta Johal: “As we welcome Liz Truss as our new prime minister, we, as an industry, want urgent action to preserve our business from irreversible damage.”

“Truss has the opportunity to revolutionise the construction sector, ensure our industry’s future, and take us to net-zero emissions by 2050.

“UK businesses have suffered setback after setback in recent months.” Soaring energy bills and the subsequent announcement that the price cap wouldn’t apply to businesses were another blow.

Businesses believe their energy bills might rise by 300%, which is unsustainable. We need prompt action from the government to control corporate energy prices and lower VAT.

On the subject of growing energy rates, Truss says she would “deliver” by addressing both bills and long-term supply issues. This must include businesses.

“Rising energy expenses have been compounded by sharp fuel price rises, but this hasn’t been passed on to consumers.” The building industry is also hit hard by the red-diesel rebate’s expiry.

“The government aims for net zero by 2050.” The government aims to decarbonize the electrical system by 2035. Over the next ten years, £40bn per year will be needed to invest in low-carbon and digital infrastructure.

“There is a gap between the government’s aims and the real policy needed to reassure investors.” A long-term capital allowance policy will stimulate investment in greener technologies, which will cut energy usage.

“Supply chain challenges remain critical, and this has been further impacted by port strike action.” Many businesses will look at “reshoring” to futureproof them against future supply chain issues, but “moving manufacturing closer to home’ will require the government to facilitate with further tax breaks, making it more achievable to invest in local facilities, new technology, strategy planning, and a company’s most important asset — people.

“There’s a lot to do, and we as a sector have a long ‘ask’ wishlist. We’ll be actively lobbying HMG to speed the reforms our business needs. “

Planning issues must be high on the next PM’s agenda.

Simon Cox, managing director of Walter Cooper, said: “Resolving housing planning issues must be one of the next PM’s top priorities, and that means unpopular decisions.”

“Truss must shift her attention from catering to NIMBYs and publicly move away from past statements made by other Conservative MPs like Michael Gove regarding the so-called ‘cartel’ or risk alienating the housebuilding community totally.” With a general election looming, I doubt these tough choices will be made anytime soon.

Housing supports the economy, and if a recession looms, this will be more vital than ever. I urge the next PM to engage with businesses to promote an “open for house building” agenda.

“Truss may have committed to removing planning limitations to stimulate housebuilding, but in renouncing the government objective of building 300,000 dwellings a year, would her “investment zones” ever come to fruition?” As prices grow owing to a lack of supply, something must be done to boost the number of homes created in this country before home ownership becomes unaffordable for all but a few.

The CEO of L&Q outlines the government’s housing and development difficulties.

Fiona Fletcher Smith: “Resident safety is a first priority.” Over the next few years, L&Q has committed over £250 million to building safety over the next few years and started one of the UK’s largest building inspection projects. We were the first housing association to say we wouldn’t charge for repairs on homes we developed. We’re striving to fix potentially unsafe properties and make new homes safer in the future.

“The Building Safety Act is a landmark in revamping building safety regulations and improving standards.” While the whole impact isn’t known, we must stick to our strategies to solve the situation. The next chapter will be how we transition from remediation to routine compliance. A productive partnership with the government will be important.

“As a company, L&Q was one of the first to promote Shared Ownership, marketing our first homes through the plan in the late 1980s.â€� Today, we’re still its strongest supporters.

“Shared ownership is the best approach to help low-income families get on the housing ladder.” Due to political will, lender desire, and customer demand, it’s the UK’s fourth mainstream tenure.

“We hope the government recognises its role in linking renting and open-market purchases.”

Due to increased labour and material costs, unchanged grant rates will affect the development of all dwellings, including social rent.

“The only way to address this is to raise funding levels to provide affordable homes program confidence.”

“L&Q wants to be at the forefront of decarbonisation by generating the scale needed to kickstart this economy.

“L&Q has begun the industry’s greatest investment initiative – £2.7bn over 15 years—to increase tenants’ safety, quality, comfort, and environmental performance.

“Because we are committed to the long-term sustainability of our stock, we can lead the way in decarbonizing British homes.”

“We recognise that doing so saves residents money, helps battle fuel poverty, enhances energy security, and creates jobs.” The benefits of this cannot be emphasised enough given the interrelated energy, cost of living, and climate crises.

“Housing associations and developers can’t do it alone.” We need to invest in our homes and cooperate with the government to get net zero by 2050. “

Melksham House is under construction and taking shape

Original Source: Construction at Melksham House site underway as facility starts to take shape

The Beard Building started construction Monday. This follows six weeks of site preparation.

Completed by winter 2023. The recently opened Melksham Community Campus won’t be affected by the renovation.

Wiltshire Council’s Cabinet agreed £4.8m in 2021 to renovate Melksham House and demolish the Blue Pool.

When finished, the renovations will provide flexible office and conference room spaces and restore the community hall to create multi-use activity spaces.

LED lighting, air source heat pumps, photovoltaics, and electric vehicle charging stations will be installed. October 2021 planning approval.

Following the successful inauguration of Melksham Community Campus, we’re happy to see another significant Melksham initiative take off. We believe the result will be a vital and versatile facility for the corporate community and its inhabitants in a central location near to the campus, which is bringing many people to the neighbourhood.

In a time of national instability owing to rising costs and inflation, projects like this will assist the local economy prosper, as per our Business Plan.

We recognise this area has seen a lot of construction in recent years, so we’re working with our construction partners to minimise disturbance.

Demolition began in March, and preparatory work began in July. Full building began two months ago.

Wiltshire Council will collaborate with Melksham Town Council to ensure the future use of sites like the former Blue Pool and library is part of a town wide strategy.

The work will not affect Melksham Community Campus or local residents.

Lower Otter gets a new footbridge and cricket club

Original Source: New footbridge and cricket club lead next step of restoration at Lower Otter

• South West Coast Path diversion for footbridge building
• Budleigh Salterton Cricket Club relocates above the floodplain.

The dry summer helped the project. Preparing and consolidating the new raised and flood-free path of South Farm Road, creating a road bridge under which tidal waters will flow, and lowering Big and Little Banks at the north of the scheme have made significant progress. The project presently focuses on the southern end of the land, preparing for the reconnection of the old floodplain with the Otter River and its estuary.

A 70-metre footbridge will be built at the potential breach to ensure the SouthWest Coast Path’s continuity. This will create an all-season pathway by elevating a 900-metre walkway on the western border of the valley, from the Budleigh Salterton Cricket Club on Granary Lane to South Farm Road.

From September 15, 2022, until spring/summer 2023, a brief stretch of the route will be diverted during footbridge construction.

The Budleigh Salterton Cricket Club will move to a purpose-built surface the week after its last season. This location is more sustainable and won’t flood. A team of arboriculturists will remove some floodplain plants and demolish the current clubhouse. Project mitigation planting will replace any lost trees. Over 50 hectares of rare saltmarsh and mudflat will be created.

EPA’s Dan Boswell:

Our initiative to reconnect the estuary to its traditional floodplain for birds, biodiversity, and people is starting to take shape thanks to the local community and visitors to the Lower Otter. The South West Coast Path and the cricket club are essential to the community, so we want to help them adapt to sea level rise.

The temporary footpath diversion will let users enjoy the area safely and with minimal inconvenience. The new footbridge and enhanced trail will promote year-round vistas of natural habitats and species drawn to the restored wetlands. The relocated cricket club will be safer from flooding and have more community amenities and activities.

The Environment Agency, East Devon Pebblebed Heaths Conservation Trust, and Clinton Devon Estates are collaborating on the Lower Otter Restoration Project.

It’s part of a cross-border programme called “Promoting Adaptation to Changing Coastsâ€� (PACCo), where we share expertise on delivering climate change adaptation initiatives with partners in the Saâne Valley in Normandy (France).

The Lower Otter Restoration Project was supported by “promoting government with £8.5 million from the ERDF’s Interreg V A France (Channel) England programme (2021 to 2023).â€�

Vistry Group and Countryside merge for £1.3bn

Original Source: UK housebuilders Vistry Group and Countryside to merge in £1.3bn deal

Vistry Group has agreed to pay £1.3bn for smaller rival Countryside.

Browning West and Inclusive Capital Partners, two US activist investors in Countryside, have pushed for a sale.

The takeover would give Vistry more size as the housebuilding business braces for a UK recession amid high inflation, threatening to halt a strong housing market during the coronavirus pandemic when prices surged swiftly, bolstered in part by a stamp tax holiday.

Companies seek £50m in “significant cost synergies.” Vistry also emphasised Countryside’s “partnerships” business, constructing innovations for institutions like local councils, which “offer better housing market resiliency.”

Vistry, formerly known as Bovis Homes, was valued at £1.6bn before the purchase, while Countryside was at £1.1bn. Countryside shareholders would receive 0.255 of a new firm share and 60p in cash for each Countryside share, giving them 37% of the amalgamated business.

If shareholders approve, Vistry would become the fourth-largest UK housebuilder by revenue. Vistry and Countryside will both develop around 6,500 homes in 2021.

Countryside’s activist effort followed a tough year in which the company’s worth fell by more than half. In January, it fired its CEO after reporting worse-than-expected sales while rivals profited, and in June, it placed itself up for sale after rejecting an offer from Inclusive.

The deal, at 249p per Countryside share, represented a 9% premium to its Friday closing share price of 228p. It peaked at 560p a share in August 2021.

Browning West, Inclusive, and three other hedge funds holding 39% of the firm will vote for the purchase.

After the acquisition was announced, Countryside shares gained 6% and Vistry fell 0.4%.

Vistry CEO Greg Fitzgerald said the purchase has a “compelling strategic justification.”

It will create a leader in the partnership housing sector with the scale and skills to accelerate profitable expansion in partnerships and housebuilding and expand the delivery of much-needed affordable housing in England.

Vistry will fund the deal using HSBC debt, but it has vowed to keep debt at 10% of equity.

Summary of today’s construction news

In today’s construction news, Liz Truss received 57.4% of the vote against Rishi Sunak to succeed Boris Johnson. Boris Johnson will serve as Prime Minister for the final time on Tuesday.

Additionally, on Monday, construction of the Beard Building got underway. This follows a period of site preparation that lasted for six weeks. By the winter of 2023, it will be finished. The freshly opened Melksham Community Campus will remain open and operational throughout the reconstruction.

In addition to that, at the location of the potential break in the SouthWest Coast Path, a footbridge measuring seventy metres in length will be constructed. By raising a 900-metre promenade along the western border of the valley, this will provide a pathway that can be used throughout the year. The walkway will stretch from the Budleigh Salterton Cricket Club on Granary Lane to South Farm Road.

On top of that, Vistry Group has reached an agreement to pay £1.3 billion to acquire its smaller competitor, Countryside. If the company’s shareholders give their approval, Vistry would move up to the fourth spot on the list of the most profitable housebuilders in the UK. In the year 2021, Vistry and Countryside will each create approximately 6,500 new residences.