The government has agreed to delay the implementation of domestic reverse charge VAT for construction services by a year, until October 2020.
The move follows intense lobbying by the construction industry, which had warned that companies were not ready for what will be a significant change to the management of their business finances as the necessary information had not filtered through in time.
Last month a coalition of construction associations wrote to the chancellor of the exchequer asking for a six-month delay to the planned 1st October 2019 introduction of reverse charge VAT. They warned that customers paying VAT directly to HM Revenue & Customs instead of to the service supplier would have a disruptive impact on contractors’ cashflow, for which they needed to prepare.
It also coincided with the disruption of Brexit, and no one knowing what is going on there or what preparations might be required.
The chancellor has now given an additional 12 months for the construction industry to prepare – double what was asked for.
In a briefing note, HM Revenue & Customs said: “Industry representatives have raised concerns that some businesses in the construction sector are not ready to implement the VAT domestic reverse charge for building and construction on 1st October 2019.
“To help these businesses and give them more time to prepare, the introduction of the reverse charge has been delayed for a period of 12 months until 1st October 2020. This will also avoid the changes coinciding with Brexit.
“HMRC remains committed to the introduction of the reverse charge and has already increased compliance resource. It has put in place a robust compliance strategy for tackling fraud in the construction sector using tried and tested compliance tools.
“In the intervening year, HMRC will focus additional resource on identifying and tackling existing perpetrators of the fraud. It will also work closely with the sector to raise awareness and provide additional guidance and support to make sure all businesses will be ready for the new implementation date.
“HRMC recognises that some businesses will have already changed their invoices to meet the needs of the reverse charge and cannot easily change them back in time. Where genuine errors have occurred, HMRC will take into account the fact that the implementation date has changed.
“Some businesses may have opted for monthly VAT returns ahead of the 1 October 2019 implementation date which they can reverse by using the appropriate stagger option on the HMRC website.”
The news has received a warm welcome from industry associations.
Federation of Master Builders chief executive Brian Berry, who took a leading role in the lobbying campaign, said: “I’m pleased that the government has made this sensible and pragmatic decision to delay reverse charge VAT until a time when it will have less of a negative impact on the tens of thousands of construction companies across the UK. To plough on with the October 2019 implementation could have been disastrous given that the changes were due to be made just before the UK is expected to leave the EU, quite possibly on ‘no-deal’ terms. The situation hasn’t been helped by the poor communication and guidance produced by HMRC. Despite the best efforts of construction trade associations to communicate the changes to their members, it’s concerning that so few employers have even heard of reverse charge VAT. Indeed, according to research by the FMB published in July, more than two-thirds had not heard of the VAT changes and of those who had, around the same number hadn’t prepared.”
The Building Engineering Services Association (BESA) was another signatory to the letter sent last month to chancellor Sajid Javid seeking an extension.
BESA chief executive David Frise said: “This is a big win for our members. Thanks to the concerted advocacy efforts of the FMB, BESA, and other trade bodies, common sense has prevailed. If the government had not delayed the changes, many SMEs would have been caught off guard, facing increased burden and restricted cash flows while simultaneously bracing for the serious disruptions caused by the UK’s planned withdrawal from the European Union on 31st October.
“This gives us plenty of time to help businesses plan a smooth transition in the way VAT is charged by October 2020.”
The National Federation of Builders (NFB) was another signatory to the letter. Its chief executive, Richard Beresford, said: “Contractors and subcontractors weren’t ready for reverse charge VAT and we are delighted that the government has listened to our industry campaign to seek a delay.”
The FMB’s Brian Berry concluded: “It is reassuring that the government has listened to the construction industry, which has come together to make clear to the government that sticking to the October 2019 timetable could lead to a loss of productivity, reduced cashflow and in the worst cases, lead to a hit on jobs, tipping some companies over the edge. What’s required now is for the government and industry to work together to deliver a sector-wide communications campaign, which must include plain English guidance on the changes. We also want to work with the government to deliver workshops aimed at construction employers, held in locations across the country, to explain what’s happening and why.”
Source: Construction News
What is air sealing?
/0 Comments/in Commercial, Home Page news feed, Interiors Fit Outs, News, Residential /by joannevickersAir sealing is the process of restricting air movement through tiny cracks and gaps in your business or residential property. When you run heating or ventilation in your home this builds pressure. If leaks and gaps are present it can transfer conditioned air to the outside reducing efficiency. Air leakage can account for around 30% of heating costs. Air sealing prevents the loss of this conditioned air by filling in the tiny cracks and gaps.
A massive amount of energy is wasted due to the air leaking from cracks, holes and gaps at your property. This can cause several issues including increased risk of condensation and cause health risks caused by damp and drafts. Broadsword can work with you to inspect and plan the repair of these cracks and gaps to ensure your property is airtight. Doing so can also have a monetary savings on your heating bills as air sealing is proven to reduce energy costs.
How Air Leakage Affects your business or residential property?
Air leakage not only affects energy loss but also contributes to property deterioration. Obvious air leakages will be easy to spot and easily resolved; however, hidden air leakages are the root problem and can be harder to find and treat. Air that leaks must be replaced and is usually drawn in from the ground. If you don’t have an effective vapour barrier, moisture can be absorbed causing mould development, water damage or animal infestations. Moisture can enter your property using the tiniest gaps. This can aid in the damage of your properties foundations.
How to Air Seal your Home?
Here is a brief breakdown of how a home is air sealed:
What are the Benefits of Air Sealing?
To book an inspection with our fully qualified and insured team contact Broadsword on 02380 675 888. The team will be able to talk through your concerns and arrange an inspection at your commercial or residential property.
Broadsword launch Fire Protection Arm
/0 Comments/in Commercial, Home Page news feed, News, Residential /by joannevickersWe are proud to announce that we have launched a new Fire Protection Arm of the Company.
Broadsword are experts in fire protection and are FIRAS accredited.
Most companies do not realise that they need fire protection and if they do, they don’t know where they can get it.
Broadsword Fire Protection LTD can make sure that your building is protected from fire, we can also retrospectively assist with existing buildings.
Building regulations outline the need for large buildings to be divided into compartments and specifies the level of fire performance the compartment walls and floors need to achieve in order to preserve both building structure and life through fire and smoke containment.
In most buildings, mechanical and electrical services by necessity breach compartment walls and floors allowing failure of integrity and insulation to occur where gaps around services have not been adequately fire stopped. The use of correctly installed certified fire stopping systems will contain a fire at its source and limit the risk of the destruction caused by the spread of fire and the release of toxic gasses.
If you require a competent fully accredited fire protection company, you have just found it!
Broadsword Fire Protection LTD welcomes your enquiries.
The energy performance of commercial buildings needs improvement
/0 Comments/in Home Page news feed, News /by JamesThe government has published a consultation paper with proposals setting a minimum energy efficiency standard of EPC Band B by 2030 for privately rented buildings.
Alongside this, the government promises to consult in 2020 on introducing mandatory in-use energy performance ratings for business buildings.
The move come in response to recommendations from the Committee on Climate Change (CCC) earlier this year and extensive lobbying by the UK Green Building Council (UKGBC).
UKGBC chief executive Julie Hirigoyen said: “Today’s announcement is most encouraging, as we have long called for more ambitious policies to improve the energy performance of our commercial buildings. It is also a welcome complement to the government’s recently announced plans to strengthen energy efficiency standards for new homes – and shows that they are finally understanding the importance of tackling buildings emissions as we strive to meet our climate targets.
“By signalling a long-term Band B target for rented commercial buildings, the government is providing welcome certainty, which will help underpin businesses’ energy improvement plans and the supporting investment decisions. As the market has already shown, minimum standards for rented buildings can have a transformative effect on their performance.
“We are also pleased to see the government at last acknowledging the importance of mandatory operational energy ratings for commercial buildings. There is strong evidence from the Australian NABERS scheme, amongst others, that mandatory operational ratings can radically drive down energy use and reduce emissions. The best-performing business buildings in Melbourne use between five and six times less energy than their London equivalents.”
Source: The Construction Index
Industry backing for the government to relax its post-Brexit immigration proposals
/0 Comments/in Home Page news feed, News /by JamesThe Construction Industry Training Board (CITB) report calls for the proposed one-year visa for ‘low-skilled’ workers to be extended to two years.
It also recommends that non-UK born workers entering the UK on a ‘low skilled’ visa be allowed to transition to a ‘high-skilled’ visa while working in the UK – train to remain.
And it proposes an ‘umbrella sponsorship’ scheme to allow self-employed non-UK workers to obtain the necessary employment sponsorship.
The CITB’s research found that 61% of migrants say they would choose to move from a ‘low’ to a ‘high’ skilled visa while continuing to work in the UK, and that 70% of employers of non-UK born construction workers see the ‘low skilled’ visa for people with level 2 qualifications as unsuitable for their businesses
The research report, Migration and Construction, finds that just 3% of construction employers have the necessary experience in handling visa applications, with two-thirds saying that the process is difficult.
Under the new post-Brexit immigration system – due to be introduced in January 2021 – employers will have to learn how to navigate the bureaucracy of visa applications for all foreign workers.
CITB policy director Steve Radley said: “Migrant workers have long played a key role in the UK’s construction sector. They make up 14% of the construction workforce, a percentage that rises to 54% in London. They give employers the flexibility to respond quickly to skills needs.
“Employers are raising real concerns about the future 12 month visa scheme. They want to see it extended to 24 months, and for workers to be given the opportunity to ‘train to remain’. A new scheme must additionally be put in place to enable self-employed migrants to work in the sector.
“It’s important that construction has the breathing space to adjust to new changes. CITB will work closely with Government to see that a simple, flexible migration system is put in place to support employers’ skills requirements, while industry grows its domestic workforce.”
Contractors have backed the recommendations
Alasdair Reisner, chief executive of the Civil Engineering Contractors Association (CECA), said: “The construction and infrastructure sectors have been facing a looming skills gap for some years, and it is deeply concerning that after the UK has left the European Union restrictions may be put in place to prevent non-UK born workers contributing to our industry.
“Currently, non-UK born workers account for 14% of UK construction’s workforce, rising to 54% in London.
“Industry is in the process of moving towards recruiting an extra 44,000 British-based people in construction by 2025 to meet projected demand.
“However for UK construction to achieve this goal while delivering the significant pipeline of projects the UK government has planned, those who currently contribute to our industry and the economic and social wellbeing of us all must be given the opportunity to continue to do so. That’s why we are calling on the government to take steps to ensure industry is ready for the post-Brexit migration landscape, by extending the period in which existing non-UK born workers are able to ‘train to remain.’
“Employers in the construction sector are actively working to grow the domestic workforce, but it will take time to do so. Unless the UK government changes its position, industry will be hamstrung in the immediate post-Brexit period, to the detriment of its ability to drive growth and deliver for the UK economy.”
Souce: The Construction Index
House-building starts down 8% year-on-year
/0 Comments/in Home Page news feed, News /by JamesIn the second quarter of 2019 new build dwelling starts in England are estimated at 37,220 units (seasonally adjusted), which is a 2% decrease compared to the first quarter and 8% down year-on-year.
New house-building starts are 24% below their peak in Q1 2007 but 117% per cent above the trough Q1 of 2009.
According to the numbers released by the Ministry of Housing, Communities & Local Government, annual new build dwelling starts totalled 160,640 in the year to 30th June 2019, a 1% decrease on the previous.
During the same period, completions reached 173,660 in the year to June, an increase of 8% on the previous year.
Secretary of state for housing Robert Jenrick preferred to focus on the rise in completions rather than the fall in starts. “The data released today is hugely welcome, with the number of new homes built reaching an 11-year high,” he said. “We are moving in the right direction, but there is still much more to do if we are going to deliver the numbers needed by communities up and down the country.”
Clive Docwra, managing director of construction consultant McBains, said: “Today’s figures show the amount of new homes being started or completed are still nowhere near the number required to meet the government’s target of building 300,000 homes a year by the mid 2020s.
“Brexit uncertainty continues to bite, with many housebuilding projects on hold until the picture on the UK withdrawal from the EU becomes clearer, while the weak pound means the high cost of imported materials is holding back construction.
“Demand for housing is far outstripping supply, but today’s figures prove there is still no light at the end of the tunnel in terms of solving the housing crisis.”
Source: The Construction Index
Fossil fuels banned in Future Homes Standard
/0 Comments/in News /by JamesThe Future Homes Standard will see polluting fossil fuel heating systems such as gas boilers banned from new homes from 2025 and replaced with clean technology such as air source heat pumps and solar panels.
Views are being sought on how changes to building regulations can drive down the carbon footprint of homes built after 2025 – including changes to the ventilation and efficiency requirements, as well as the role of councils in getting the best energy standards from developers. The consultation1 runs until January 2020.
A further consultation on the Future Homes Standard will follow in the coming months, proposing changes to the energy efficiency standards for non-domestic buildings and for building work to existing homes and non-domestic buildings; and on preventing overheating in buildings.
Ministers will also consult on an overhaul of the planning system, with a green paper to be published next month.
The government has also announced plans for a new national design code – every local authority will be expected to produce its own design guide specifying the local architectural vernacular within the framework of the new national standard.
Housing secretary Robert Jenrick said: “Building new homes isn’t just about bricks and mortar, I want to ensure everyone – including developers – do their bit to protect the environment and give the next generation beautiful, environmentally friendly homes that local communities can support.
“That’s why I am requiring carbon emissions are cut by up to 80% from 2025 for all new homes and have published a National Design Guide, setting out simply what we expect from new development.
“We are also reforming the planning system making it faster and more efficient for everyone, from households to large developers, alongside giving families greater freedom to extend their homes to meet their changing needs.”
John Alker, director of policy at the UK Green Building Council, said: “With the UK now legally bound to deliver net zero carbon emissions across the economy by 2050, as a nation we can no longer avoid the crucial role that new homes play in helping to meet this target. This announcement sets out a new and extremely welcome level of ambition from the government, which should see a significant improvement in carbon reductions from new homes in 2020, and important clarity on further improvement in 2025.
“It is also encouraging to see a recognition from government of the importance of clarity for businesses in the construction sector. By setting out a ‘roadmap’ towards the Future Homes Standard in 2025, this should provide confidence in the direction of travel. Many in the industry are still scarred by the scrapping of the Code for Sustainable Homes and Zero Carbon Homes policy in 2015, so government must learn lessons from that, and be absolutely rock solid in its commitment to this agenda.
“There is much work still to do on the detail of these announcements, and there are further challenges ahead associated with addressing the performance gap, unregulated energy and the embodied carbon of new developments. But at long last it appears as though we are heading in the right direction.”
Source: The Construction Index
Three in five care home workers ‘concerned’ about fire safety
/0 Comments/in News /by joannevickersCare homes, where some of the most vulnerable people in society live, are believed to be at an increased risk of fire, with three in five care home workers admitting to serious concerns.
The new research released today marks the launch of Fire Door Safety Week (23-29th September).
The study, which was conducted among 1,000 current and former care-home employees, found three quarters believe more could be done to prevent or manage a fire, with three in five workers having reported fire safety concerns.
Over half of those surveyed say that unsatisfactory action was taken as a result of reporting their concerns.
A “worrying lack of clarity” is also identified, with nearly half (47%) saying they did not understand the role a fire door plays in keeping a fire contained for a specified time, while over eight in 10 (82%) admitted to deliberately keeping a fire door open.
Almost three quarters (72%) said they had witnessed or were aware of fire doors being tampered with, including removing the door closer to make doors easier to open.
According to the report, not only does this make the door closer redundant, when combined with other adjustments it could leave the fire door not fit for purpose in the event of a fire.
Fire doors placed on the market should withstand fire for 30 minutes and have test evidence to validate this.
However, respondents said that on average it would take 25 minutes to evacuate the care home where they worked, with a quarter saying it would take longer than 30 minutes.
Today’s research marks the start of Fire Door Safety Week, which this year focusses on the role that fire doors play in protecting people while asleep and at their most vulnerable – principally in specialised housing such as care homes, children’s homes and sheltered housing as well as houses in multiple occupation and communal properties.
Numerous events and campaign activities are being held throughout to help landlords, tenants, and anyone with an interest in or responsibility for fire safety at a property.
Helen Hewitt, CEO of the British Woodworking Federation, which organises Fire Door Safety Week, said: “These highly concerning findings underline how crucial fire safety is, and the fundamental role that fire doors play – especially so in light of recent instances of damaging care home fires which have threatened the lives of residents.
“Evacuation strategies in care homes are very specialised, accounting for the fact that many residents will need assistance.
“These strategies rely on the ability of fire doors to perform their function in holding back fire and smoke to allow adequate time for rescue.”
She added: “We all need to feel protected inside buildings, and especially so when we are asleep. Care homes and other specialised housing provide a living place for some of the most vulnerable people in our communities.
“The companies and other operators that run and maintain them have a responsibility to ensure their residents’ safety – and as an industry we need to continue to provide our expert support to ensure the correct specification, installation, and ongoing maintenance of fire doors.
“We hope that through raising awareness during Fire Door Safety Week, lives will be saved through a reappraisal of fire doors and safety arrangements in multiple occupancy buildings.”
Source: 24 housing
Fire Door Safety Week
/0 Comments/in News /by joannevickersFire Door Safety week 2019 launches next week.
Running from the 23rd-29th September, the objectives of the week are:
Fire Door Safety Week is the brainchild of the British Woodworking Federation (BWF) and the Fire Door Alliance (an evolution of the BWF CERTIFIRE Scheme) and was supported at conception by the Government’s Fire Kills campaign. All stakeholders invest in the campaign to promote and educate on the critical importance of properly specified, installed and maintained fire doors and associated products.
Fire Door Safety Week was launched in 2013 in response to a legacy of fire door neglect. It is a ‘mass market’ awareness campaign to increase public understanding of the role that fire doors play in protecting life and property.
For more information please go here
Construction wins one-year delay to reverse charge VAT
/0 Comments/in News /by joannevickersThe government has agreed to delay the implementation of domestic reverse charge VAT for construction services by a year, until October 2020.
The move follows intense lobbying by the construction industry, which had warned that companies were not ready for what will be a significant change to the management of their business finances as the necessary information had not filtered through in time.
Last month a coalition of construction associations wrote to the chancellor of the exchequer asking for a six-month delay to the planned 1st October 2019 introduction of reverse charge VAT. They warned that customers paying VAT directly to HM Revenue & Customs instead of to the service supplier would have a disruptive impact on contractors’ cashflow, for which they needed to prepare.
It also coincided with the disruption of Brexit, and no one knowing what is going on there or what preparations might be required.
The chancellor has now given an additional 12 months for the construction industry to prepare – double what was asked for.
In a briefing note, HM Revenue & Customs said: “Industry representatives have raised concerns that some businesses in the construction sector are not ready to implement the VAT domestic reverse charge for building and construction on 1st October 2019.
“To help these businesses and give them more time to prepare, the introduction of the reverse charge has been delayed for a period of 12 months until 1st October 2020. This will also avoid the changes coinciding with Brexit.
“HMRC remains committed to the introduction of the reverse charge and has already increased compliance resource. It has put in place a robust compliance strategy for tackling fraud in the construction sector using tried and tested compliance tools.
“In the intervening year, HMRC will focus additional resource on identifying and tackling existing perpetrators of the fraud. It will also work closely with the sector to raise awareness and provide additional guidance and support to make sure all businesses will be ready for the new implementation date.
“HRMC recognises that some businesses will have already changed their invoices to meet the needs of the reverse charge and cannot easily change them back in time. Where genuine errors have occurred, HMRC will take into account the fact that the implementation date has changed.
“Some businesses may have opted for monthly VAT returns ahead of the 1 October 2019 implementation date which they can reverse by using the appropriate stagger option on the HMRC website.”
The news has received a warm welcome from industry associations.
Federation of Master Builders chief executive Brian Berry, who took a leading role in the lobbying campaign, said: “I’m pleased that the government has made this sensible and pragmatic decision to delay reverse charge VAT until a time when it will have less of a negative impact on the tens of thousands of construction companies across the UK. To plough on with the October 2019 implementation could have been disastrous given that the changes were due to be made just before the UK is expected to leave the EU, quite possibly on ‘no-deal’ terms. The situation hasn’t been helped by the poor communication and guidance produced by HMRC. Despite the best efforts of construction trade associations to communicate the changes to their members, it’s concerning that so few employers have even heard of reverse charge VAT. Indeed, according to research by the FMB published in July, more than two-thirds had not heard of the VAT changes and of those who had, around the same number hadn’t prepared.”
The Building Engineering Services Association (BESA) was another signatory to the letter sent last month to chancellor Sajid Javid seeking an extension.
BESA chief executive David Frise said: “This is a big win for our members. Thanks to the concerted advocacy efforts of the FMB, BESA, and other trade bodies, common sense has prevailed. If the government had not delayed the changes, many SMEs would have been caught off guard, facing increased burden and restricted cash flows while simultaneously bracing for the serious disruptions caused by the UK’s planned withdrawal from the European Union on 31st October.
“This gives us plenty of time to help businesses plan a smooth transition in the way VAT is charged by October 2020.”
The National Federation of Builders (NFB) was another signatory to the letter. Its chief executive, Richard Beresford, said: “Contractors and subcontractors weren’t ready for reverse charge VAT and we are delighted that the government has listened to our industry campaign to seek a delay.”
The FMB’s Brian Berry concluded: “It is reassuring that the government has listened to the construction industry, which has come together to make clear to the government that sticking to the October 2019 timetable could lead to a loss of productivity, reduced cashflow and in the worst cases, lead to a hit on jobs, tipping some companies over the edge. What’s required now is for the government and industry to work together to deliver a sector-wide communications campaign, which must include plain English guidance on the changes. We also want to work with the government to deliver workshops aimed at construction employers, held in locations across the country, to explain what’s happening and why.”
Source: Construction News
Why use SPS Envirowall’s Cavity System wall insulation?
/0 Comments/in Home Page news feed, News /by joannevickersSPS Envirowall’s Cavity System is the latest fully tested and accredited addition to its expanding range of innovative external wall insulation systems.
Extensively used on lightweight structures, cavity systems create a drainage void between the cladding and the sheathed framed structure. SPS Envirowall Cavity Systems 1 & 2 are the next generation of this solution.
This modern method of construction has proven extremely popular over recent years and dominates the build method used for mid to high rise structures, which is an ideal scenario to specify and install the new SPSenvirowall Cavity Systems.
The SPS Envirowall Cavity Systems consist of EuroClass A1 components, which are mechanically fixed back to the inner sheathing board to create the designed cavity width, with either the insulation board fitted directly to the A1 fillets (CS1 system) or a secondary A1 sheathing board and insulation (CS2 system).
Features & Benefits
• Compliant with Approved Document B and Technical Handbook section 2
• Minimum EuroClass Reaction to Fire classification of A2 – s1, d0
• EuroClass A1 support system
• Takes cladding out of the critical path by quickly weatherproofing the building
• Low-cost cladding solution
• Fast application
• Tried and tested
• Wide range of colours and finishes including brick slips
• Easily achieves high levels of thermal performance
• Highly durable and weather resistant
• Crack resistant
Façade Finishes
•Textured: FlexiSil (Acrylic), EnviroSil (Silicone), Enviromin (Mineral)
• Brick: SpeedySlip (Flexible Slip), BrickStick (Clay Slip),
Suitable for the following construction types
• Lightweight Framed Structures (LSF)
For more information and brochure download:
https://spsenvirowall.co.uk/assets/technical-resources/SPSenvirowall-Cavity-System-1-2.pdf
Source: The Loadstar