Coronavirus update for construction: Monday 30

Grant Prior 4 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

Peri buys shoring and temporary bridge specialist Mabey Hire

Scaffolding and formwork specialist expands offer
24 mins ago

Vinci/McAlpine go-ahead for £312m Midlands hospitals revamp

Shrewsbury and Telford Hospital NHS Trust gets full business case approval
3 hours ago

Lendlease puts construction arm up for sale

After two decades of global expansion Lendlease retreats to Australia
22 hours ago

Mount Anvil seals Isle of Dogs estate rebuild

Firm will build 300 new homes at East London's Tiller Road Estate
3 hours ago

Northumbria Uni invites bids for £75m CHASE project

12-storey student block to be demolished for new Centre for Health and Social Equity
2 hours ago

Civils firm Akela appoints former Robertson director as MD

Framework expert Robert Ogg to lead growth at Scottish contractor
3 hours ago

McLaren to build new Hertfordshire primary school

Contractor to prioritise local suppliers on High Leigh Garden Village site
2 hours ago

Developer picked for Stafford town centre regeneration

ION Developments will draw up detailed plans for mixed-use Eastgate scheme
3 hours ago

Former Crossrail boss Mark Wild to lead HS2

Wild to bear down on spiralling costs and bring rejigged scheme in on time
2 days ago

Receivers in at £125m Manchester tower developer

Domis Construction walked away from scheme following doubts over funding
3 days ago

Costain A1 £260m dualling job finally gets go-ahead

Ministers sat on planning inspectors report for nearly three years
1 day ago

Election delays decision on Lower Thames Crossing

Planning decision on £1.2bn Luton airport expansion also pushed back six months
1 day ago

Caddick steps-in at former Lane End housing job

Contractor to restart phase of £262m scheme hit by administration
1 day ago

Plans in for Leeds iconic Tetley building revamp

Former brewing giant's HQ to become indoor market and offices
1 day ago

BAM wins first phase of North Devon hospital revamp

New staff accommodation to kick-off hospital redevelopment
1 day ago

McAlpine pulls out of £55m Carlisle Citadels project

University of Cumbria starts hunt for replacement contractor
6 days ago

Strabag UK suffers further big trading loss

Austrian contractor is gearing up for major presence in the UK market
5 days ago

Durham Uni picks UPP for £130m student scheme

Firm will deliver 1,000 self-catered bed spaces
5 days ago

Architects now upbeat after 10-months of work gloom

Larger practices see rising workloads in next three months
5 days ago

Motorist dies after collision with road paver

Police Scotland investigating fatal crash
6 days ago

McLaren Living appoints HG Construction for £69m scheme

Build to Rent scheme will transform former vacant car park site in Leeds city centre
6 days ago

Squibb liquidator probes £2m of “missing” plant

Machinery, cars and scrap metal have disappeared at demolition specialist
6 days ago

Galliford Try to re-enter affordable homes market

Contractor sets out new five-year plan to build margin to 4%
6 days ago

Former Sellar chief to lead civils contractor Kilnbridge

Owen Dannatt joins as new CEO as founder Dermot McDermott becomes Chairman
6 days ago

Hunt starts for nuclear fusion plant construction partner

Fusion energy plant to be built at West Burton coal power station site.
6 days ago

National Grid raises £7bn for big infrastructure upgrade

Rights issue to fund a major round of capital investment in energy infrastructure
6 days ago

Grenfell police probe to last at least until end of 2025

19 companies and 58 individuals could eventually face charges
6 days ago

Mace confirmed on £100m London office retrofit

Work underway on Helical's 100 New Bridge Street job near Ludgate Circus
7 days ago

Wylfa chosen for next big nuclear power station build

Government names Anglesey site for a large-scale gigawatt nuclear power plant.
1 week ago

Bowmer & Kirkland trading profit halves

Contractor buys HVAC specialist Adcock despite challenging market
1 week ago

Contractor services