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Written Question
Government Departments: Construction
Tuesday 20th June 2023

Asked by: Lord Aberdare (Crossbench - Excepted Hereditary)

Question to the Department for Business and Trade:

To ask His Majesty's Government what plans they have to trial insurance-backed alliancing for Government construction projects in the light of the successes achieved by the use of this method of construction procurement in reducing construction project costs.

Answered by Earl of Minto - Minister of State (Ministry of Defence)

The Government is aware that there have been some projects on which Insurance Backed Alliancing has been successfully used and continues to monitor the use of this in the UK. The policy of the Government remains that construction clients can choose to use Insurance Backed Alliancing if the project is suitable, and this is agreed with the supply chain. The Government has no current plans to trial this mechanism more widely.


Written Question
Construction: Contracts
Tuesday 20th June 2023

Asked by: Lord Aberdare (Crossbench - Excepted Hereditary)

Question to the Department for Business and Trade:

To ask His Majesty's Government whether they are committed to pursuing targets of a 33 per cent reduction in both the initial cost of construction and the whole life cost of built assets, and a 50 per cent reduction in the overall time from inception to completion for new build and refurbished assets, as proposed in the Construction 2025 report published on 2 July 2013; and if so, what progress has been made in pursuing these targets and when they expect them to be met.

Answered by Earl of Minto - Minister of State (Ministry of Defence)

The targets set in the Construction 2025 Strategy played an important role in guiding construction policy, including for the Transforming Construction Challenge innovation programme (2018-22), in which the construction sector and Government jointly invested £420m. The outputs of the Challenge demonstrated that it is possible to meet and exceed the targets set in Construction 2025. As set out in the Transforming Infrastructure Performance Roadmap to 2030 and the Construction Playbook, Government policy is now to use digital and offsite manufacturing technologies to accelerate the construction of buildings, improve quality and safety, and to support the transition to net zero carbon.


Written Question
Carillion: Insolvency
Tuesday 20th June 2023

Asked by: Lord Aberdare (Crossbench - Excepted Hereditary)

Question to the Department for Business and Trade:

To ask His Majesty's Government when they expect the final accounts for Carillion plc to be published by the Official Receiver following its liquidation in 2018.

Answered by Earl of Minto - Minister of State (Ministry of Defence)

The Official Receiver has issued three reports to the creditors of the Carillion group liquidations. The final receipts and payments account for Carillion plc is expected to be issued on completion of the liquidation work, which is ongoing at this time, and upon the Official Receiver applying to the Secretary of State for his release as liquidator.


Written Question
Construction: Contracts
Tuesday 20th June 2023

Asked by: Lord Aberdare (Crossbench - Excepted Hereditary)

Question to the Department for Business and Trade:

To ask His Majesty's Government what progress has been made to move to zero retentions by 2025, as outlined in the Build UK Roadmap to Zero Retentions, endorsed by the Construction Leadership Council in December 2019.

Answered by Earl of Minto - Minister of State (Ministry of Defence)

The Government continues to work with the construction sector, through the Construction Leadership Council (CLC), to tackle the problems caused by the late or non-payment of retentions. The CLC is currently taking forward work on a project to reduce the need for retentions through reducing defects and has agreed to reduce the default rate of retentions to zero in NEC construction contracts. The Government has also consulted on whether reporting on retentions should be included within the payment performance Reporting on Payment Practices and Performance Regulations and will respond to this as soon as possible.


Written Question
Construction: Contracts
Tuesday 20th June 2023

Asked by: Lord Aberdare (Crossbench - Excepted Hereditary)

Question to the Department for Business and Trade:

To ask His Majesty's Government what steps they are taking, in partnership with the construction sector, to reform the practice of retentions; and when they expect to announce results.

Answered by Earl of Minto - Minister of State (Ministry of Defence)

The Government continues to work with the construction sector, through the Construction Leadership Council (CLC), to tackle the problems caused by the late or non-payment of retentions. The CLC is currently taking forward work on a project to reduce the need for retentions through reducing defects and has agreed to reduce the default rate of retentions to zero in NEC construction contracts. The Government has also consulted on whether reporting on retentions should be included within the payment performance Reporting on Payment Practices and Performance Regulations and will respond to this as soon as possible.