Coronavirus update for construction: Monday 30

Grant Prior 5 years ago
Share

Covid-19 Update – 30 March 2020
Introduction
This short briefing has been prepared on behalf of the UK construction sector to brief companies and individuals on the ongoing repercussions of the Covid-19 coronavirus for our sector.

Covid-19 Webinars

ACE has announced a new online webinar series to help its members and the wider industry through the coronavirus crisis. Hosted by ACE chief executive Hannah Vickers, Navigating COVID-19 covers the major issues currently facing our industry including finance, people, communications and procurement.

Attendees will have the opportunity to ask virtual questions to the panel of experts on specific announcements, such as the Coronavirus Job Retention Scheme or Coronavirus Business Interruption Loan Scheme. The webinars are open to anyone with an interest in the topics covered. Sign-up now to upcoming webinars through the links below:

Support for your SME and Coronavirus Job Retention Scheme (31.03.20, 1.30pm)

We welcome Brian Berry, FMB to explore what the crisis means for SMEs. A TBA Partner at Beale & Co joins us to explore the Coronavirus Job Retention Scheme in more detail. Special guest Fergus Harradence, BEIS, is on hand to help answer any questions.

 

Procurement (02.04.20, 12.00pm)

Sam Ulyatt and John Welch of Crown Commercial Service, part of the Cabinet Office explore the recent procurement policy notices and what they mean for the construction sector. Alasdair Reisner of CECA joins to explore how contractors can support the supply chain during the crisis.

 

People in a Pandemic (07.04.20, 12.00pm)

Exploring the HR and people issues raised by the crisis such as remote working, staff morale and more. Panellists TBA soon.

 

Self-employment Income Support Scheme

The Self-employment Income Support Scheme (SEISS) will support self-employed individuals (including members of partnerships) whose income has been negatively impacted by COVID-19. The scheme will provide a grant to self-employed individuals or partnerships, worth 80% of their profits up to a cap of £2,500 per month. The business support website provides more information and FAQs.

 

Job retention scheme

Guidance for employers on the coronavirus (COVID-19) Job Retention Scheme has now been published. The Coronavirus Job Retention Scheme is a temporary scheme open to all UK employers for at least three months starting from 1 March 2020. We expect the scheme to be up and running by the end of April. It is designed to support employers whose operations have been severely affected by coronavirus (COVID-19).

Employers can use a portal to claim for 80% of furloughed employees’ (employees on a leave of absence) usual monthly wage costs, up to £2,500 a month, plus the associated Employer National Insurance contributions and minimum automatic enrolment employer pension contributions on that wage. Employers can use this scheme anytime during this period.

The scheme is open to all UK employers that had created and started a PAYE payroll scheme on 28 February 2020.

Insolvency

To support companies facing severe financial challenges the UK Government has announced changes to insolvency, adding new restructuring tools that mirror the USA’s Chapter 11 procedure. This includes:

  • A moratorium for companies giving them breathing space for from creditors enforcing their debts for a period of time whilst they seek a rescue or restructure;
  • Protection of their supplies to enable them to continue trading during the moratorium; and;
  • A new restructuring plan, binding creditors to that plan

The proposals will also include key safeguards for creditors and suppliers to ensure they are paid, while existing laws against fraudulent trading and the threat of director disqualification will continue to act as an effective deterrent against reckless misuse of these new measures. Further details of the plan are expected this week.

 

Wrongful trading provisions

The Government will also temporarily suspend the wrongful trading provisions to give company directors greater confidence to use their best endeavours to continue to trade during this pandemic emergency, without the threat of personal liability, should the company ultimately fall into insolvency.

The proposals will also include key safeguards for creditors and suppliers to ensure they are paid, while existing laws against fraudulent trading and the threat of director disqualification will continue to act as an effective deterrent against reckless misuse of these new measures.

In addition, while laws against fraudulent trading and director misconduct will continue to provide a deterrent against poor practices, wrongful trading provisions in the Insolvency Act will be temporarily suspended specifically to give confidence to directors to continue trading without the threat of personal liability, should the company ultimately fall into insolvency. Find out more here

 

Support the fight against Coronavirus

The UK Government has asked industry to offer support to those fighting coronavirus. If your business can offer support in any of the following circumstances:

  • Protective equipment for healthcare workers, such as masks, gowns, and sanitiser;
  • Hotel rooms;
  • Transport and logistics, for moving goods or people;
  • Manufacturing equipment;
  • Warehouse or office space, for medical use or storage;
  • Expert advice or consultancy on IT, manufacturing, construction, project management, procurement, or engineering;
  • Social care or childcare;
  • Community support.

Please use this link to offer your help.

 

 

The Briefing has been prepared in collaboration between the industry’s leading trade and representative bodies: Association for Consultancy & Engineering, Builders Merchant Federations, Build UK, Chartered Institute of Building, Civil Engineering Contractors Association, Construction Industry Council, Construction Plant-hire Association, Construction Products Association, Electrical Contractors Association, Federation of Master Builders, National Federation of Builders, and Institution of Civil Engineers. We are grateful to Building, Construction Enquirer, Construction Manager, Construction News, Highways, Infrastructure Intelligence, and New Civil Engineer for support in distribution to the wider industry.

Latest news

Hill hits record £90m profit as homes pipeline swells

Build-to-rent push and £4.8bn contracting book to fuel next growth phase
14 hours ago

Rayner unveils £39bn plan to build 300,000 social homes

Council building revival and rent reform feature in social and affordable homes plan
22 hours ago

Keltbray bounces back with £3.2m profit

Tighter controls and smarter project selection fuel strong turnaround
22 hours ago

VINCI JV wins 500-home twin town centre revamps

Chester Northgate phase 2 and Northwich Weaver Square schemes move to delivery stage
22 hours ago

80 energy projects unlocked as Ofgem backs grid expansion

£24bn energy networks deal gets green light from regulator
2 days ago

How to see your stories on the Enquirer

Join our Suppliers and Buyers directory to get your news published
22 hours ago

Henley lands Midland Mill revamp on Leeds tower scheme

Restoration of 18th-century mill kicks off on South Bank regeneration project
21 hours ago

New boss at Eric Wright Civil Engineering

Gavin Hulme takes top job as Diane Bourne moves to group role
1 day ago

Pinewood submits £1bn data centre plan

Studio giant adds green and learning spaces to tech hub blueprint
2 days ago

Record results after TClarke goes private

Britain's biggest M&E contractor flourishes after de-listing
2 days ago

Dalkia lands £200m nuclear maintenance deal

1,000 nuclear FM staff to join M&E contractor
2 days ago

Construction comeback to outpace wider economy

Arcadis forecast fueled by spending review optimism
3 days ago

First steel goes up on giant car battery site

Severfield gets to work on McAlpine Somerset site
3 days ago

Permasteelisa wins cladding deal on Bovis city tower

Facade specialist lands package at 60 Gracechurch Street
2 days ago

Fox buys recycled asphalt specialist Fisher

Acquisition adds major recycled asphalt capacity in north west
3 days ago

Major Building Safety Regulator shake-up to end tower delays

HSE stripped of control and top fire chiefs brought in to fast-track stalled schemes
3 days ago

Hinkley trio sign Sizewell civils deal

Balfour,Bouygues and Laing O'Rourke form Civil Works Alliance for new power station
3 days ago

£3.9bn data centre plan for Ravenscraig steelworks

Green energy to power massive new steel to silicon AI campus
3 days ago

Breakthrough on HS2’s second longest tunnel

8.4 mile Northolt to Old Oak Common drive completes
3 days ago

Neilcott on fast-track to debt-free employee ownership

£22.5m loan nearly paid down after big profit year
3 days ago

TfL kicks off race for £700m Tube station upgrade

South Kensington and Elephant & Castle top the pipeline list
3 days ago

Corbyn Plant Hire fleet goes under the hammer

Kit to be sold off by sister firm to collapsed groundworks contractor
3 days ago

Government wields procurement stick on late payment

New rules would block slow payers from bidding on big public jobs
6 days ago

Hercules buys power line labour firm for £15.7m

Labour supply specialist snaps up Advantage NRG to tap booming electricity upgrade market
6 days ago

Universal bid to fast-track planning for theme park

Entertainment giant eyes 2026 start at Bedford site
6 days ago

Developer Breck to transform former Ibstock brick factory

Ravenhead works to become 300-home development
6 days ago

SP Energy Networks awards contracts worth £1.4bn

First round of awards under £5.4bn national electricity grid upgrade programme
7 days ago

Travelodge to convert Liverpool Street office building

Office-to-hotel conversion in City of London
6 days ago

Plans lodged for 1m sq ft City of London office

Barbican landmark building will reuse 40% of existing structure
7 days ago

PTSG acquires roofing specialist HD Sharman Group

Premier Technical Services Group expands building maintenance division
6 days ago