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CIC welcomes the new government-industry Sector Deal

Posted: 5th July 2018

Business and Energy Secretary Greg Clark has annouced today a new joint government-industry Sector Deal worth £420 million to transform construction through innovative technologies to increase productivity and build new homes quicker with less disruption

This landmark deal will boost the delivery of Government’s ambition to deliver 1.5 million new homes by 2022 and will support the Clean Growth Grand Challenge mission to halve the energy use of new builds by 2030, helping families reduce their utility bills.

With almost half of the economy reliant on the built environment and the services it enables, government is bringing together the construction, manufacturing, energy and digital sectors to deliver innovative approaches that improve productivity in construction and accelerate a shift to building safer, healthier and more affordable places to live and learn that use less energy.

CIC is pleased to be supporting the sector deal by providing the Secretariat for the Procuring for Value work and participating in the Competence work, arising from the Hackitt Review.

Graham Watts OBE, CIC Chief Executive says of the deal:
We have all awaited this announcement for quite a while but in the background Work has been ongoing towards bringing the Deal into effect. CIC is happy to be working with both BEIS (and the Construction Leadership Council) to stop the race to the bottom in terms of construction procurement and the MHCLG (and the Industry Response Group) to enhance the competency of all those working on higher-risk buildings”.

Andrew Wolstenholme, Co-Chair of the Construction Leadership Council.
"As the Secretary of State has made clear, securing this deal sends out a statement about the vital contribution our sector makes to the country. We build the schools to educate the young, the hospitals to care for the sick, the police stations to keep us safe, the roads and railways that get us to work, the power stations that keep us warm and the homes we return to each day. For those reasons and more, we are an industry that must drive forefront the UK’s future growth and prosperity – and I’m confident that this deal will ensure we achieve that.”

The Construction sector deal will deliver:

  • 50% reduction in time taken to deliver new build
  • £420 million investment in ‘bytes and mortar Smart Construction’ - investment will transform construction through use of digital building design, new manufacturing technologies and offsite manufacturing helping cut the time taken to deliver new build
  • Cheaper energy bills for families and businesses – support Industrial Strategy mission to halve the energy use of new builds by 2030
  • 25,000 construction apprenticeship starts and 1,000 Construction T-Level placements by 2020 – with £34m to scale up innovative training models across the country
  • $2.5 trillion of global exports – a globally-competitive sector targeting the growing international infrastructure market that is set to grow by 70% in the years ahead

The Full Construction Sector Deal can be viewed here.