Construction News @ THE GL@ZINE

New Construction Orders: September 2007

Orders in the twelve months to September 2007 rose by two per cent compared with the previous twelve months, but orders in the third quarter 2007 fell by two per cent compared to the same quarter a year earlier. Orders in the third quarter 2007 fell by 13 per cent compared to the previous quarter, with decreases in all sectors. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the twelve months to September 2007 fell by one per cent compared to those in the previous twelve months. Orders in the third quarter 2007 fell by 13 per cent compared with the previous quarter, and by nine per cent compared with the same quarter a year earlier.

Public housing and housing association orders rose by three per cent in the twelve months to September 2007 compared with the previous twelve months. Public housing and housing association orders in the third quarter 2007 fell by 11 per cent compared to the previous quarter, and by 21 per cent compared to the same quarter a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the twelve months to September 2007 rose by 13 per cent compared with the previous twelve months. Orders in the third quarter 2007 fell by four per cent compared with the previous quarter but rose by 14 per cent when compared to the same quarter a year earlier.

Public non-housing orders (excluding infrastructure) in the twelve months to September 2007 rose by eight per cent compared with the previous twelve months. Orders in the third quarter 2007 fell by four per cent compared with the previous quarter but rose by 12 per cent when compared to the same quarter a year earlier.

Private commercial orders in the twelve months to September 2007 were one per cent higher than in the previous twelve months. Orders in the third quarter 2007 were 18 per cent lower compared to the previous quarter, but were unchanged compared to the same quarter a year earlier.

Private industrial orders in the twelve months to September 2007 fell by 11 per cent compared to the previous year. Orders in the third quarter 2007 fell by 16 per cent compared to the previous quarter, and by 21 per cent compared to the same quarter a year earlier.

New Construction Orders: August 2007

Orders in the twelve months to August 2007 rose by two per cent compared with the previous twelve months, but orders in the three months to August 2007 fell by three per cent compared to the same period a year earlier. Orders in the three months to August 2007 fell by eight percent compared to the previous three months, with decreases in public housing, private housing and private commercial sectors more than offsetting an increase in private industrial sectors. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the twelve months to August 2007 were unchanged compared to those in the previous twelve months. Orders in the three months to August 2007 fell by 20 per cent compared with the previous three months, and by 17 per cent compared with the same period a year earlier.

Public housing and housing association orders rose by 15 per cent in the twelve months to August 2007 compared with the previous twelve months. Orders in the three months to August 2007 fell by 20 per cent compared to the previous three months, and by eight per cent compared to the same period a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the twelve months to August 2007 rose by three per cent compared with the previous twelve months. Orders in the three months to August 2007 were unchanged compared with the previous three months, but rose by five per cent when compared to the same period a year earlier.

Public non-housing orders (excluding infrastructure) in the twelve months to August 2007 rose by eight per cent compared with the previous twelve months. Orders in the three months to August 2007 were unchanged compared with the previous three months, but rose by 15 per cent when compared to the same period a year earlier.

Private commercial orders in the twelve months to August 2007 were one per cent higher than in the previous twelve months. Orders in the three months to August 2007 were five per cent lower compared to the previous three months, and fell by one per cent compared to the same period a year earlier.

Private industrial orders in the twelve months to August 2007 fell by eight per cent compared to the previous year. Orders in the three months to August 2007 rose by one per cent compared to the previous three months, but fell by six per cent compared to the same period a year earlier.

Construction Industry Aims for a Sustainable Future

Reducing on-site waste, using sustainable materials, and increasing skills in the workforce are just some of the targets set out for the construction industry in a draft Government and Industry Sustainable Construction Strategy.

The proposed joint strategy, launched today for consultation, aims to help the industry deliver more sustainable construction methods and products.

The draft strategy's key areas include:
* Reducing the carbon footprint of activities within the construction sector
* Production of zero net waste at construction site level
* Developing voluntary agreements and initiatives between the construction industry and its clients with the aim of reducing the carbon footprint and use of resources within the built environment
* Creating a safer industry by improving skills, boosting the numbers of workers taking part in training programmes, and retaining more skilled workers.

Stephen Timms, Minister for construction at BERR said:

‘The threat of global warming is of enormous concern to the community, and it demands change from Government, industry and the public alike.

‘Currently the built environment accounts for around 47% of greenhouse gas emissions in the UK (Construction accounts for 1.5%). Not only must the construction industry rise to the challenge of reducing those emissions, it must also consider how it will adapt its products to deal with the impacts of unavoidable climate change.’

The draft strategy sets out a vision for a sustainable industry and proposes mechanisms by which this vision can be realised, including:

* More effective use of the Government's procurement power
* Greater recognition of design quality as integral to all aspects of sustainable construction
* Increased use of sustainable materials.

Stephen Timms continued:

‘People in the construction industry have helped us to build this consultation document, so the message is clear: these changes in working practice are wanted by the government and industry alike. However this strategy is not about introducing new legislation, it is about making existing regulation work better.’

Mike Davies, Chairman of the Strategic Forum for Construction, said:

‘It is important for the industry to demonstrate its commitment, and developing a strategy jointly with Government is a key component of this. The strategy proposes some challenging targets. There are some quick wins and some where longer term measures need to be in place.

‘Most importantly, the strategy requires all parts of the industry and our stakeholders to work together. To develop a sustainable future we must combine the processes for improving the built environment with the policies to increase competitiveness, and this will be the key to the success of this strategy.’

The proposed strategy is now available and feedback from the industry and other stakeholders is welcome. The deadline for comment is November 30th, 2007.

Copies of the consultation document can be found at: http://www.gnn.gov.uk

Output and Employment in the Construction Industry: Second Quarter 2007

The total volume of construction output in the year to the second quarter of 2007 rose by three per cent compared to the previous year. Overall new work rose over the same period, with increases in all sectors except public non-housing and infrastructure output. Repair and maintenance fell in public non housing and private housing sectors. Output in the second quarter of 2007 rose by one per cent compared to the first quarter of 2007 both in volume terms and in current prices.

The total volume of new work in the year to the second quarter of 2007 was six per cent higher compared with the previous year and rose by three per cent in the second quarter when compared with the previous quarter. The total volume of repair and maintenance work fell by one per cent in the year to the second quarter of 2007 compared with the previous year, and was two per cent lower in the second quarter of 2007 compared to the previous quarter.

New private housing work in the year to the second quarter of 2007 was three per cent higher compared with the previous year and the second quarter of 2007 was unchanged compared with the previous quarter. New work in the public housing sector in the year to the second quarter of 2007 was 23 per cent higher (on a small base figure) compared with the previous year and the latest quarter was three per cent higher than the previous quarter. New infrastructure output in the year to the second quarter of 2007 was eight per cent lower compared with the previous year but the second quarter of 2007 rose by seven per cent compared with the previous quarter.

New construction work in the private industrial sector in the year to the second quarter of 2007 was seven per cent higher compared with the previous year, but fell by one per cent in the latest quarter compared with the previous quarter. New private commercial output in the year to the second quarter of 2007 was 15 per cent higher compared to the previous year and was five per cent higher in the second quarter of 2007 compared to the previous quarter. New work in the public non-housing sector (excluding infrastructure) in the year to the second quarter of 2007 fell by four per cent compared to the previous year but rose by two per cent compared with the previous quarter.

Housing repair and maintenance work (including improvement work) in the public sector rose by three per cent in the year to the second quarter of 2007 compared with the previous year but fell by 10 per cent in the most recent quarter compared with previous quarter. Housing repair and maintenance work in the private sector in the year to the second quarter of 2007 was three per cent lower compared with the previous year but rose by five per cent in the second quarter of 2007 compared to the previous quarter.

Repair and maintenance work in the public non-housing sector in the year to the second quarter of 2007 was 11 per cent lower compared with the previous year, and was five per cent lower in the most recent quarter compared with the previous quarter. Repair and maintenance work in the private non-housing sector in the year to the second quarter of 2007 was six per cent higher compared with the previous year but fell by one per cent in the most recent quarter compared with the previous quarter.

Employment (Table 6)
The seasonally adjusted number of employees in employment in July 2007 was one per cent lower compared with April 2007 but was one per cent higher when compared with July 2006. Total employment (including the self-employed) in July 2007 was one per cent higher compared with April 2007 and rose by 3 per cent when compared with April 2007.

Regional breakdown (Table 4)
Table 4 shows current price contractors output by Government Office region.

New Construction Orders: June 2007

Orders in the twelve months to June 2007 rose by three per cent compared with the previous twelve months, and orders in the second quarter of 2007 rose by three per cent compared to the same period a year earlier. Orders in the second quarter of 2007 rose by five per cent compared to the previous quarter, with increases in private commercial, public non housing and private housing orders. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the twelve months to June 2007 fell by two per cent compared to those in the previous twelve months. Orders in the second quarter of 2007 rose by one per cent compared with the previous quarter, but fell by six per cent compared with the same period a year earlier.

Public housing and housing association orders rose by 26 per cent in the twelve months to June 2007 compared with the previous twelve months. Public housing and housing association orders in the second quarter of 2007 fell by three per cent compared to the previous quarter, but rose by 24 per cent compared to the same period a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the twelve months to June 2007 fell by one per cent compared with the previous twelve months. Orders in the second quarter of 2007 fell by 25 per cent compared with the previous quarter, but rose by 16 per cent when compared to the same period a year earlier.

Public non-housing orders (excluding infrastructure) in the twelve months to June 2007 rose by four per cent compared with the previous twelve months. Orders in the second quarter of 2007 rose by 20 per cent compared with the previous quarter, and by 30 per cent when compared to the same period a year earlier.

Private commercial orders in the twelve months to June 2007 were eight per cent higher than in the previous twelve months. Orders in the second quarter of 2007 were 22 per cent higher compared to the previous quarter, but fell by two per cent compared to the same period a year earlier.

Private industrial orders in the twelve months to June 2007 fell by four per cent compared to the previous year. Orders in the second quarter of 2007 fell by 11 per cent compared to the previous quarter, and by two per cent compared to the same period a year earlier.

New Construction Orders: May 2007

Orders in the year to May 2007 rose by five per cent compared to orders in the previous twelve month period, and orders in the three months to May 2007 rose by six per cent compared to the same three months a year earlier. Orders in the three months to May 2007 rose by seven per cent compared to the previous three months, due to rises in private commercial, public non housing and private housing orders. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the year to May 2007 rose by three per cent compared to those in the previous year. Orders in the three months to May 2007 rose by eight per cent compared with the previous three months, and by 13 per cent compared with the same three months a year earlier.

Public housing and housing association orders rose by 23 per cent in the year to May 2007 compared with the previous year. Public housing and housing association orders in the three months to May 2007 fell by nine per cent compared to the previous three months, and by one per cent compared to the same three months a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the year to May 2007 fell by six per cent compared with the previous twelve month period. Orders in the three months to May 2007 fell by 28 per cent compared with the previous three months, but rose by two per cent when compared to the same three months a year earlier.

Public non-housing orders (excluding infrastructure) in the year to May 2007 were unchanged compared with the previous twelve month period. Orders in the three months to May 2007 rose by 16 per cent compared with the previous three months, and by 24 per cent when compared to the same three months a year earlier.

Private commercial orders in the year to May 2007 were 12 per cent higher than in the previous year. Orders in the three months to May 2007 rose by 27 per cent compared to the previous three months, and by two per cent compared to the same period a year earlier.

Private industrial orders in the year to May 2007 fell by six per cent compared to the previous year. Orders in the three months to May 2007 fell by 20 per cent compared to the previous three months, and by 15 per cent compared to the same period a year earlier.

New Construction Orders: April 2007

Construction Orders in the year to April 2007 rose by six per cent compared to orders in the previous twelve month period, and orders in the three months to April 2007 rose by 11 per cent compared to the same three months a year earlier. Orders in the three months to April 2007 rose by two per cent compared to the previous three months, due to rises in private commercial and private housing orders. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the year to April 2007 rose by one per cent compared to those in the previous year. Orders in the three months to April 2007 rose by nine per cent compared with the previous three months, and by 11 per cent compared with the same three months a year earlier.

Public housing and housing association orders rose by 20 per cent in the year to April 2007 compared with the previous year. Public housing and housing association orders in the three months to April 2007 fell by 11 per cent compared to the previous three months, and by one per cent compared to the same three months a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the year to April 2007 fell by 19 per cent compared with the previous twelve month period. Orders in the three months to April 2007 fell by 31 per cent compared with the previous three months, and by three per cent when compared to the same three months a year earlier.

Public non-housing orders (excluding infrastructure) in the year to April 2007 fell by four per cent compared with the previous twelve month period. Orders in the three months to April 2007 fell by one per cent compared with the previous three months, but rose by six per cent when compared to the same three months a year earlier.

Private commercial orders in the year to April 2007 were 26 per cent higher than in the previous year. Orders in the three months to April 2007 rose by 16 per cent compared to the previous three months, and by 23 per cent compared to the same period a year earlier.

Private industrial orders in the year to April 2007 fell by five per cent compared to the previous year. Orders in the three months to April 2007 fell by 14 per cent compared to the previous three months, and by nine per cent compared to the same period a year earlier.

Output and Employment in the Construction Industry: First Quarter 2007

The total volume of construction output in the year to the first quarter of 2007 rose by two per cent compared to the previous year. Overall new work rose over the same period, with increases in all sectors except infrastructure and public non-housing output. Repair and maintenance fell, with an increase in private non-housing being more than offset by decreases in private housing and public non-housing. Output in the first quarter of 2007 rose by one per cent compared to the fourth quarter of 2006 in volume terms and by two per cent in current prices.

The total volume of new work in the year to the first quarter of 2007 rose by five per cent compared with the previous year but remained unchanged in the first quarter when compared with the previous quarter. The total volume of repair and maintenance work fell by one per cent in the year to the first quarter of 2007 compared with the previous year, but was two per cent higher in the first quarter of 2007 compared to the previous quarter.

New private housing work in the year to the first quarter of 2007 was two per cent higher compared with the previous year but the first quarter of 2007 was two per cent lower than the previous quarter. New work in the public housing sector in the year to the first quarter of 2007 was 24 per cent higher (on a small base figure) compared with the previous year and the latest quarter was 33 per cent higher than the previous quarter. New infrastructure output in the year to the first quarter of 2007 was nine per cent lower compared with the previous year but the first quarter of 2007 rose by one per cent compared with the previous quarter.

New construction work in the private industrial sector in the year to the first quarter of 2007 was eight per cent higher compared with the previous year, but fell by three per cent in the latest quarter compared with the previous quarter. New private commercial output in the year to the first quarter of 2007 was 14 per cent higher compared to the previous year but fell by one per cent in the first quarter of 2007 compared to the previous quarter. New work in the public non-housing sector (excluding infrastructure) in the year to the first quarter of 2007 fell by three per cent compared to the previous year and by one per cent compared with the previous quarter.

Housing repair and maintenance work (including improvement work) in the public sector was unchanged in the year to the first quarter of 2007 compared with the previous year but was eight per cent higher in the most recent quarter compared with previous quarter. Housing repair and maintenance work in the private sector in the year to the first quarter of 2007 was three per cent lower compared with the previous year but was unchanged in the first quarter of 2007 compared to the previous quarter.

Repair and maintenance work in the public non-housing sector in the year to the first quarter of 2007 was eight per cent lower compared with the previous year, but was two per cent higher in the most recent quarter compared with the previous quarter. Repair and maintenance work in the private non-housing sector in the year to the first quarter of 2007 was four per cent higher compared with the previous year but was unchanged in the most recent quarter compared with the previous quarter.

Employment
The seasonally adjusted number of employees in employment in April 2007 was two per cent higher compared with January 2007 and was four per cent higher when compared with April 2006. Total employment (including the self-employed) in April 2007 rose by three per cent compared with January 2007, and was three per cent higher compared with April 2006.

The Construction Centre.co.uk Seeks to Help Reduce the UK Building Industry Skills Shortage

The Construction Centre has issued concern for the UK building industry, which is currently seeing continued improvement and buoyancy in the market but which is also simultaneously experiencing a skills shortage. Many industry pundits have also highlighted their worries that despite the apparent boom, many contractors are struggling to find labour particularly for tradesmen such as plumbers, bricklayers and carpenters.

It has been widely documented that for the last few years there has been a significant reduction in the amount of people entering the trade sector of the building industry and new schemes and apprenticeships have been set up to encourage numbers. The most recent schemes have been the Programme Led Apprenticeships which has a target of establishing 3000 placements by 2008 and the Construction and Built Environment Diploma which will give just under 4000 students both practical and theoretical skills enabling them to enter the building industry successfully.

Although these schemes will undoubtedly help to bring new people into construction in the near future, the skills shortage remains a problem for contractors who are managing projects which are currently underway. The situation has been slightly relieved by an increase in the employment of migrant workers, which has helped to fill the void in order for contractors to meet deadlines and project schedules.
However industry commentators believe this will not be a permanent solution to the skills shortage and there have already been reports of projects being delayed due to the lack of workforce numbers. The Construction Centre.co.uk is encouraging the building industry to expand their network of resources by using the website to establish new contacts and suppliers.

Richard Simmons, Managing Director of The Construction Centre, said, ‘With the increase in building projects across all sectors of the industry over the last 10 years and the reduction in people choosing construction as a career, it is inevitable that we are now seeing a skills shortage. The Construction Centre website primarily delivers information to people who need to source building product manufacturers and suppliers but it is also committed to creating a network where people can seek new employment opportunities, find professionals and tradesmen and potential new contracts within construction.’

He continued; ‘The Construction Centre website is an invaluable resource which provides a way for the UK building industry to establish new contacts and connections through one online location. We want to encourage people in construction to use the network, established through our website in order to help reduce the skills gap the industry is currently experiencing. Any tradesman, contractor or professional can register their details on our website free of charge and will be listed in their skill sector and county.’

The Construction Centre website (http://www.theconstructioncentre.co.uk) is one of the largest UK online resources for the building industry providing a wealth of specialist information to people and professionals across every sector of the construction market.

House Building: January to March Quarter 2007

Figures have been released on new house building starts and completions in England and its regions up to the quarter ending March 2007. Over the long term since 2000/01 new build starts and completions have increased in England (22 per cent and 26 per cent respectively).

More recently comparing 2005/06 with 2006/07:
* Starts have declined by 6 per cent to 173,400;
* Completions have increased by 3 per cent to 167,700.
Between the latest quarter to March and the equivalent quarter in 2006:
* Starts have declined by 9 per cent to 43,600 from the high level in the March 2006 quarter;
* Completions have shown an increase of 18 per cent to 44,600.
Regional trends show that:
* Starts have flattened in most regions but fallen back from recent peaks in the North West, London and East of England;
* Most regions have maintained upward trends in completions, except for a levelling in the North West, West Midlands and the South East during the last financial year.
* The North East, Yorkshire and the Humber, East Midlands, East of England and South West currently show the highest levels of completions over the ten year period 1996/7 -2006/7.

Starts and Completions in England
New figures show that over the longer term since 2000/01 both starts and completions have increased noticeably (22 per cent and 26 per cent respectively).

New House Building in England, 2000/01- 2006/07
In England, new house building starts in 2006/07 totalled 173,400 (down 6 per cent on 2005/06). Completions totalled 167,700 (up 3 per cent up on 2005/06).

In the quarter to March 2007, there were around 43,600 starts and 44,600 completions. Comparing the recent quarter to March with the equivalent period in 2006:

* Starts were down 9 per cent but this compares with an unusually high level in March 2006 quarter
* Completions were up 18 per cent.

The rolling annual trends show an upturn in completions in the March quarter. This upturn also continues the long term upward trend in completions. Trends in starts show a decline over 2006/07 from the high of 184,900 at the end of 2005/06, indicating a slow down of the long term increase.

Regional Trends
Trends in starts have mostly flattened in the North and the Midlands, with the exception of the North West where starts have been declining since the end of 2006/07. In southern regions starts have tailed off but remain well above levels during 2000/01.

Completions
Completions in the North and Midlands mostly continue long term upward trends, except for the North West and the West Midlands where they have levelled off. Most southern regions maintain upward trends in completions apart from the South East where the trend has flattened recently.

The North East, Yorkshire and the Humber, East Midlands, East of England and South West currently show the highest levels of completions over the ten year period 1996/7 -2006/7.

House Price Index February 2007

The mix-adjusted average House Price in the UK in February 2007 stood at £205,102, down from £205,399 in January 2007 (not seasonally adjusted). UK annual house price inflation in February 2007 was 12.1% up from 10.9% in January 2007. Annual house price inflation in London was 16.7% in February, up from 13.2% in January.

The UK annual house price inflation rate for the 3 months to February was 11.0 per cent and 13.9 per cent in London.

House Price Inflation: Regional
The UK house price inflation rate rose from 10.9 per cent in January 2007 to 12.1 per cent in February 2007. Between January and February there was a fall of 0.1 per cent in the prices index of properties bought compared with a larger fall of 1.2 per cent over the same period last year resulting in an increase in the inflation rate.

The small fall in UK prices between January and February can be attributed to falls in average prices for bungalows (1.1 per cent), terraced houses and detached houses (both 0.5 per cent) only partly offset by a rise in the price of flats (0.9 per cent) and semi-detached houses (0.1 per cent).

All the home countries, England, Scotland, Wales and Northern Ireland, saw increases in inflation in February 2007. The inflation rate in England rose from 9.9 per cent in January to 11.0 per cent in February; the inflation rate in Scotland rose from 15.9 per cent to 16.6 per cent; in Wales the rate rose from 10.2 per cent to 11.1 per cent; in Northern Ireland the rate rose from 42.5 per cent to 47.5 per cent.

House price inflation rose in five of the English regions and fell in four regions.
The highest inflation rate was in London (16.7 percent) followed by the East (12.0 per cent), South East (10.8 per cent), South West (9.5 per cent) and North East (9.4 per cent). Inflation rates were lower in Yorkshire and the Humber (8.9 per cent), and North West (8.3 per cent). The lowest inflation rates were in the West and East Midlands (7.9 per cent and 6.8 per cent respectively).

House Prices: Regional
Mix-adjusted average house prices in February were £212,642 in England, £162,152 in Wales, £149,882 in Scotland and £209,643 in Northern Ireland.

The English region with the highest average house price in February remains London at £310,245. The lowest average price was in the North East at £144,213.
Of the English regions, only the East, London, South East and the South West had average prices above the UK average.

House Price Inflation: Type Of Buyer
The UK house price inflation rate for first time buyers rose from 10.6 per cent in January to 12.5 per cent in February. There was a rise of 0.5 per cent in the prices index between January and February in the properties bought by first time buyers compared with a fall of 1.2 per cent over the same period last year.

The inflation rate for former owner occupiers rose from 11.0 per cent in January to 11.9 per cent in February. There was a fall of 0.4 per cent in the prices index between January and February in the properties bought by former owner occupiers, compared with a larger fall of 1.2 per cent over the same period last year.

The average price paid by first time buyers across the whole of the UK was £156,031 in February, while the average price paid by former owner occupiers was £229,176.

New Construction Orders: March 2007

Orders in the year to March 2007 rose by four per cent compared to orders in the previous twelve month period, and orders in the first quarter of 2007 rose by one per cent compared to the same quarter a year earlier. Orders in the first quarter of 2007 rose by four per cent compared to the previous quarter, due to a rise in all sectors except private housing and private industrial orders. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the year to March 2007 fell by two per cent compared to those in the previous year. Orders in the first quarter of 2007 fell by eight per cent compared with the previous quarter, but rose by one per cent compared with the same quarter a year earlier.

Public housing and housing association orders rose by 26 per cent in the year to March 2007 compared with the previous year. Public housing and housing association orders in the first quarter of 2007 rose by 20 per cent compared to the previous quarter, and by 27 per cent compared to the same quarter a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the year to March 2007 fell by 16 per cent compared with the previous twelve month period. Orders in the first quarter of 2007 rose by 35 per cent compared with the previous quarter, and by 44 per cent when compared to the same quarter a year earlier.

Public non-housing orders (excluding infrastructure) in the year to March 2007 fell by six per cent compared with the previous twelve month period. Orders in the first quarter of 2007 rose by nine per cent compared with the previous quarter, and by three per cent when compared to the same quarter a year earlier.

Private commercial orders in the year to March 2007 were 21 per cent higher than in the previous year. Orders in the first quarter of 2007 rose by two per cent compared to the previous quarter, but fell by 10 per cent compared to the same period a year earlier.

Private industrial orders in the year to March 2007 fell by six per cent compared to the previous year. Orders in the first quarter of 2007 fell by four per cent compared to the previous quarter, and by 11 per cent compared to the same period a year earlier.

The Construction Centre Backs National Bid to Raise Equality in the UK Building Industry

The Construction Centre has announced that it fully supports the increasing role of women in the building industry and has committed to raising UK awareness through its website. It will list female Professionals and Tradeswomen in its directories alongside links to Trade Associations such as Women and Manual Trade (WAMT) and the National Association of Women in Construction (NAWIC).

http://www.theconstructioncentre.co.uk an online directory which delivers building information on product and services to the whole of the UK, decided to actively help raise the profile for many women who are either employed or self employed in the building industry, in order to ensure equality and inclusion for all.

Angela Gallacher, Head of Press and Marketing said ‘We want to be able to give women in the industry the opportunity to develop and market their businesses and we are confident this can be done through targeted traffic from our website. Additionally we believe the website provides a great resource for finding products, people, jobs and other industry information. However so far we have found it quite difficult to find the thousands of women who already have businesses out there. This clearly indicates that there is a need for this information to be easily accessed online. Apart from the research we are doing ourselves to increase the number of records in our database, we are also looking for women in the industry to contact us who would like to be listed on the website.’

The website is targeted at both the general public and industry professionals and provides information on products and services in the construction industry. The Construction Centre indicated that despite media coverage on the issue of women in the building industry and calls from the Government to re-address the balance, statistics still show only 10% of women form part of the construction workforce.

However the tide is beginning to turn with 23% of female under-graduates taking construction related courses. The Construction Centre also agrees with NAWIC, who by studying recent research, believes that the industry is likely to increasingly employ more women in order to meet the demand of new job opportunities.

The Construction Centre is the first online UK directory in the building industry to announce its support of equality in construction and provides a service which will help to bolster new business opportunities for both men and women working in the industry.

More information can be found at:
http://www.theconstructioncentre.co.uk
http://www.nawic.co.uk
http://www.wamt.org

Social Housing Conditions in England Show Marked Improvements

Social housing conditions in England have substantially improved since 1996 with the number of non-decent homes reducing by over 3 million, from 9.1 million (45 per cent) to 6 million (27 per cent) in 2005, according to the 2005 English House Condition Headline Report published yesterday.

The Communities and Local Government Report shows the social sector is improving at such a rate that in 2005 there is little difference with the private sector (29 per cent and 27 per cent non-decent respectively). The difference between the two sectors has reduced from 10 percentage points in 1996 to just 2 percentage points in 2005. Conditions remain worst in the private rented sector with 41 per cent of homes non-decent.

The Government's decent homes standard requires homes to meet the statutory minimum standard ('fitness' for the period covered by this report), be in a reasonable state of repair, have modern facilities, and to have adequate levels of insulation and an effective heating system to ensure the home can be kept warm.

Other key findings include:
* The housing conditions of vulnerable households (those in receipt of means tested or disability related benefits) living in the private sector have improved considerably since 1996 when just 43 per cent lived in decent homes. In 2005 66 per cent live in decent homes.

* Vulnerable owner occupiers tend to live in better conditions than their counterparts in the private rented sector; 71 per cent live in decent homes compared to just 52 per cent of private tenants.

* The energy efficiency of homes has improved from an average SAP rating of 40.3 in 1996 to 46.2 in 2005. Social sector homes are on average much more energy efficient than those in the private sector (55.2 compared to 44.1 respectively) and are improving at a faster rate. (These figures are based on the SAP rating system updated in 2005.)

* Some 3.4 million (16 per cent of) households live in poor quality environments. Around 1.2 million of these households also live in non-decent homes.

* Living conditions in the 88 most deprived districts (those supported by the Neighbourhood Renewal Fund) are worse than elsewhere. In 2005 30 per cent of homes in these districts are non-decent and 20 per cent of households live in poor quality environments.

* Deprived districts have seen improvements in housing conditions since 1996. The number of non-decent social sector homes has reduced by 680,000 since 1996 including 300,000 since 2001 (accounting for 63 per cent of progress in the social sector since 2001). However progress has been similar to that in other areas, and therefore the gap has not narrowed.

* In the most deprived districts 1.4 million vulnerable households live in the private sector, and of these 37 per cent live in non-decent homes. This compares to just 32 per cent of the 1.8 million vulnerable private sector households living in other districts.

House Building: October to December Quarter 2006

This statistical release presents figures on New House Building starts and completions in England and its regions up to the quarter ending December 2006 and the first figures for 2006 as a whole. There are also tables that cover new house building in the UK, Scotland, Wales and Northern Ireland.

Summary
In England, new house building starts in 2006 amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005). The new figures indicate that, starts and completions in 2006 were both around 24 per cent higher than in 2001.

Figures for the latest quarter to December show housing starts in England up 11 per cent on the equivalent quarter in 2005. Completions in the December quarter show an 11 per cent fall from the relative high level in the last quarter in 2005. Starts and Completions in England.

During the calendar year 2006, starts amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005).
Both starts and completions in 2006 were around 24 per cent higher than the levels in 2001.

In the quarter to December 2006, there were around 47,570 starts and 41,750 completions. Comparing the quarter to December with the equivalent period in 2005:

* Starts were up 11 per cent
* Completions were down 11 per cent, but this compares with an unusually high 46,830 completion in December 2005 quarter.

The underlying quarterly trends (as revealed by Chart 1) show an upturn in starts in the December quarter following falls in the previous two quarters compared with the equivalent quarters in 2005. Completions have fallen back in the December quarter from the relatively high level from the equivalent quarter in 2005.

Regional Trends
Trends in starts and completions are shown in Charts 2 to 5.

The South East and the South West continued to see strong upward trends in starts. For example, South East starts amounted to 32,950 in 2006, 12 per cent higher than in 2005. There was also a recent upturn in starts in the East Midland.

Completions across the regions largely remained level or show moderate recent falls.

Trends
The following charts illustrate the trends in starts and completions through use of a ‘quarterly moving average’).

Chart 1 Starts and Completions (England)
Chart 2 Starts by region (North and Midlands)
Chart 3 Completions by region (North and Midlands)
Chart 4 Starts by region (South)
Chart 5 Completions by region (South)

To download full statistical release, go to http://www.communities.gov.uk/index.asp?id=1002882&PressNoticeID=2355

New Construction Orders: January 2007

Orders in the twelve months to January 2007 rose by three per cent compared with the previous twelve months, but orders in the three months to January 2007 fell by six per cent compared to the same period a year earlier. Orders in the three months to January 2007 fell by seven per cent compared to the previous three months with decreases in private housing, public housing, infrastructure and private commercial orders more than offsetting increases in public non housing and private industrial orders. All orders figures quoted are seasonally adjusted and in constant (2000) prices.

Private housing orders in the twelve months to January 2007 fell by three per cent compared to those in the previous twelve months. Orders in the three months to January 2007 fell by four per cent compared with the previous three months, but rose by five per cent compared with the same period a year earlier.

Public housing and housing association orders rose by 31 per cent in the twelve months to January 2007 compared with the previous twelve months. Public housing and housing association orders in the three months to January 2007 fell by 33 per cent compared to the previous three months, but rose by one per cent compared to the same period a year earlier. All comparisons in this sector are affected by large variations due to its relatively small size.

Infrastructure orders in the twelve months to January 2007 fell by 23 per cent compared with the previous twelve months. Orders in the three months to January 2007 fell by 21 per cent compared with the previous three months, and by 13 per cent when compared to the same period a year earlier.

Public non-housing orders (excluding infrastructure) in the twelve months to January 2007 fell by eight per cent compared with the previous twelve months. Orders in the three months to January 2007 rose by 18 per cent compared with the previous three months, and were six per cent higher compared to the same period a year earlier.

Private commercial orders in the twelve months to January 2007 were 21 per cent higher compared with the previous twelve months. Orders in the three months to January 2007 were 13 per cent lower compared to the previous three months, and fell by 13 per cent compared to the same period a year earlier.

Private industrial orders in the twelve months to January 2007 rose by one per cent compared with the previous twelve months. Orders in the three months to January 2007 rose by 16 per cent compared with the previous three months, but fell by 17 per cent compared to the same period a year earlier.

NHBC Rises To Challenge Of Zero Carbon Agenda

NHBC, the authority and leading expert on new homes, on 9th March submitted its response to the Government's ‘Building a Greener Future: Zero Carbon Development’ consultation.

As a key player in the drive to achieve 'zero carbon' NHBC has embraced sustainability as part of its 'Raising Standards' agenda and is committed to developing guidance and support to help the house-building industry rise to the challenge. But it stresses that, in order to meet the target, the following fundamental issues must be addressed:

Achieving zero carbon, based on the definition given, will be highly challenging with current systems and technologies without carbon offsetting. NHBC considers the 2016 target is not realistic in a practical sense under the stated definition of zero carbon (which includes accounting for all energy use in the home including that used by appliances and home entertainment systems and not just the heating, lighting and hot water systems) unless carbon offsetting is allowed to contribute towards reaching the target. The costs of achieving zero carbon are therefore unquantifiable at this stage.

NHBC urges that consumer protection must be at the forefront of technological advances. Consumers must not be used as 'guinea pigs' for zero carbon technologies and systems that have not undergone thorough testing and accreditation. There is currently a dearth of tested and certificated microgeneration technologies and systems. Asking consumers to pay for and maintain products and systems that are not reliable or fail to deliver the claimed benefits is not the way forward. To overcome this problem, and to avoid damaging the reputation of new homes, NHBC is currently working on the Department of Trade and Industry/Building Research Establishment initiative which is developing certification for renewable systems and installers.

Allowing a hotchpotch of local targets and standards for sustainability will set the regulatory framework back decades. Building Regulations are more suitable for delivering zero carbon homes than the planning system. Encouraging widely varying and inconsistent standards across the country, through regional and local plans, is a step backward to the days of local building bye-laws. It will cause uncertainty for house builders, frustrate the economies of scale being achieved that are essential in reducing the cost of new technologies and could endanger the Government's objective of increasing the supply of new homes. The solution is to allow Building Control professionals, who will have the necessary expertise, to administer the technical aspects of sustainability for new homes. The planning system should complement this expertise by encouraging the adoption of spatial planning policies that will allow designers to consider a range of options to meet energy and environmental targets that will be laid out in Building Regulations.

There is a need to establish the most cost-effective ways to move toward achieving the zero carbon target. Insufficient information is included in the consultation document to form a detailed view on the costs associated with moving toward zero carbon. Some of the technologies that may need to be adopted to achieve zero carbon homes have very long payback periods and may actually consume more energy in manufacture and maintenance than they save. To help the house building industry make wise choices, through the NHBC Foundation, we will be publishing advice and guidance on the most cost-effective ways of achieving the Government's objectives

Potentially insufficient numbers of Code assessors. NHBC fears too few Code assessors will be in place by April 2008 to cope with the number of possible assessments required, potentially holding back housing supply. As one of the country's leading providers of energy and EcoHomes assessments, we will be ramping up the training of assessors to help meet the demand, but further consideration needs to be given to the proposed date for mandatory provision of assessments on all new homes.

NHBC chief executive Imtiaz Farookhi, said: ‘In order to achieve the transition to zero carbon housing in a way that the policy objectives are achieved whilst ensuring homeowners continue to enjoy high levels of reassurance and protection associated with buying a new or newly converted home and to make sure consumers retain high levels of confidence in new homes, we will be undertaking a comprehensive programme of research and development targeting the issues.

‘NHBC's independent research institution - the NHBC Foundation - and its sister organisation, the National Centre for Excellence in Housing, will lead industry research with projects identifying solutions to environmental challenges.

‘The Foundation has already begun to deliver a series of research findings of particular relevance to sustainability and the zero carbon agenda and this will continue through the year. The Centre will be working with a range of stakeholders to stimulate the upgrading and refurbishment of the existing housing in a sustainable manner. Through this work, we aim to help the Government achieve its policy objectives and to rise to the challenge of the zero carbon agenda.’

Output and Employment in the Construction Industry: Fourth Quarter 2006

The total volume of construction output in 2006 rose by one per cent compared to 2005. Overall new work rose over the same period, despite decreases in the infrastructure and public non-housing sectors. Repair and maintenance fell, with decreases in nearly all sectors. Output in the fourth quarter of 2006 rose by one per cent compared to the third quarter in volume terms and by 2 per cent in current prices.

The total volume of new work in 2006 was five per cent higher compared with the previous year and rose by one per cent in the fourth quarter compared with the previous quarter. The total volume of repair and maintenance work fell by three per cent in 2006 compared with the previous year, but was one per cent higher in the fourth quarter of 2006 compared to the previous quarter.

New private housing work in 2006 was two per cent higher compared with the previous year but the fourth quarter of 2006 was unchanged compared to the previous quarter. New work in the public housing sector in 2006 was 23 per cent higher (on a small base figure) compared with the previous year but the latest quarter was seven per cent lower than the previous quarter. New infrastructure output in 2006 was six per cent lower compared with the previous year, and the fourth quarter of 2006 fell by seven per cent compared with the previous quarter.

New construction work in the private industrial sector in 2006 was 11 per cent higher compared with the previous year, and rose by nine per cent in the fourth quarter compared with the previous quarter. New private commercial output in 2006 was 13 per cent higher compared to the previous year and was four per cent higher in the fourth quarter of 2006 compared to the previous quarter. New work in the public non-housing sector (excluding infrastructure) in 2006 fell by four per cent compared to the previous year but was unchanged compared with the previous quarter.

Housing repair and maintenance work (including improvement work) in the public sector was three per cent lower in 2006 compared with the previous year and was five per cent lower in the most recent quarter compared with previous quarter. Housing repair and maintenance work in the private sector in 2006 was three per cent lower compared with the previous year but rose by three per cent in the fourth quarter compared to the previous quarter.

Repair and maintenance work in the public non-housing sector in 2006 was seven per cent lower compared with the previous year, and was eight per cent lower in the most recent quarter compared with the previous quarter. Repair and maintenance work in the private non-housing sector in 2006 was unchanged compared with the previous year but was seven per cent higher in the most recent quarter compared with the previous quarter.

Employment
The seasonally adjusted number of employees in employment in January 2007 was three per cent lower compared with October 2006 and was one per cent lower when compared with January 2006. Total employment (including the self-employed) in January 2007 fell by two per cent compared with October 2006, and fell by one per cent when compared with the same period a year earlier.

House Building: October to December Quarter 2006

This statistical release presents figures on new house building starts and completions in England and its regions up to the quarter ending December 2006 and the first figures for 2006 as a whole. There are also tables that cover new house building in the UK, Scotland, Wales and Northern Ireland.

In England, new house building starts in 2006 amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005). The new figures indicate that, starts and completions in 2006 were both around 24 per cent higher than in 2001.

Figures for the latest quarter to December show housing starts in England up 11 per cent on the equivalent quarter in 2005. Completions in the December quarter show an 11 per cent fall from the relative high level in the last quarter in 2005. Starts and Completions in England.

During the calendar year 2006, starts amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005).

Both starts and completions in 2006 were around 24 per cent higher than the levels in 2001.

In the quarter to December 2006, there were around 47,570 starts and 41,750 completions. Comparing the quarter to December with the equivalent period in 2005:

* Starts were up 11 per cent
* Completions were down 11 per cent, but this compares with an unusually high 46,830 completion in December 2005 quarter

The underlying quarterly trends show an upturn in starts in the December quarter following falls in the previous two quarters compared with the equivalent quarters in 2005. Completions have fallen back in the December quarter from the relatively high level from the equivalent quarter in 2005.

The South East and the South West continued to see strong upward trends in starts. For example, South East starts amounted to 32,950 in 2006, 12 per cent higher than in 2005. There was also a recent upturn in starts in the East Midland.

Completions across the regions largely remained level or show moderate recent falls.

http://www.communities.gov.uk/index.asp?id=1002882&PressNoticeID=2355 .