Constructionline | Suez Canal | NI Public Procurement

For publication in Specify Magazine, June 2021

New Constructionline Portal:

The concept of Constructionline, a register of pre-qualified contractors and consultants for the construction industry in the UK is in my opinion a great idea. An ongoing issue was that Constructionline’s cumbersome website and procedures resulted in companies spending too much time trying to remain compliant. Thankfully, the good people at Constructionline have listened and introduced a brand-new website which has eradicated the need for contractors and consultants to get clients to complete Reference Forms. A word of caution – in principle the changes should be welcomed, but I have noticed there are still flaws and teething problems with it. My advice is to regularly check your company’s status to ensure membership remains fully verified. Constructionline is also still very much trying to sell their ‘Acclaim’ Health & Safety management accreditation. For contractors in Northern Ireland, beware, as it does not include a third-party site audit, therefore does not comply with the Buildsafe-NI initiative. Getting the accreditation is not worthwhile in my opinion. You are much better off getting ISO 45001 or for example the CEF’s Safe-T-Cert accreditation, both of which are recognised as fully compliant for public sector procurement in Northern Ireland.

Grand Opera House Complete:

A tip of the hat must go to Fermanagh-based Tracey Brothers for their exceptional work carrying out the c. £12m restoration of the iconic Grand Opera House in Belfast. The project had everything – delicate restoration work within a Listed building, the redevelopment of a recently built modern extension, internal piling, multiple trade activities, new service installations, an adjoining five-star hotel, all whilst working along Great Victoria Street which is one of Belfast’s busiest thoroughfares. This is professional construction management at its finest.

Material Price Rises:

The big issue in the local construction industry now is undoubtedly the recent material price rises. It seems there are three issues at play which have contributed to it, namely:

1. Pandemic: Many manufacturing companies such as those who provide brick and steel either closed or decreased their production during the lockdown. As we begin to see an end to restrictions, contractors are placing orders at similar times which is resulting in a simple demand and supply problem. Those companies which place the biggest orders generally get priority.

2. Suez Canal: Who would have thought a 300m-wide canal influenced global trade so much. The captain of the 220,940-ton Ever Given container ship certainly does now! His ship’s ‘mishap’ which prevented east-west passage for two weeks caused unprecedented disruption to global logistics, so much so that items ranging from my son’s Lego, to building products to service western Europe turned up late.

3. Brexit: The outworkings of the Brexit agreement are still to be fully established. A country with 60m people leaving the EU was always going to have implications, both positive and negative, as new trading terms were established.

Unfortunately, all three of these issues manifested at the start of 2021 which resulted in the price rises that we are currently witnessing. Where subcontractors generally stood over their quotes for at least 30 days, I have heard of examples of this being reduced to seven days. The well-respected ‘Building’ website quoted a company Director as saying, “Contractors and supply chains have to have mature discussions with clients about the risks posed by the shortages.” This is becoming a serious issue that is disrupting tendering.

Public Mood:

Despite reasons for concern, there seems to be a cautious air of optimism among many companies. For example, I see Omagh-based Harte Demolition Ltd has invested in new plant and equipment to help service upcoming projects. Other contractors seem to be very much recruiting, which must be welcomed.

CIOB To Be Recognised in Public Procurement:

In June it was announced that the Permanent Secretary of the Department of Finance in Northern Ireland has written to the Chartered Institute of Building (CIOB) to confirm that its chartered membership qualification (MCIOB) will be recognised in public procurement going forward. This is good news for CIOB members as the qualification will be assessed as part of Pre-Qualification Questionnaires (PQQs). CIOB chartered membership will help companies gain access to a range of public sector construction projects.