Procurement – Covid-19

KPMG admits it misled regulator over Carillion audits 

Auditing giant KPMG’s chief executive has admitted that the firm misled the Financial Reporting Council during its investigations into audits of collapsed contractor Carillion and another company’s finances, as a disciplinary tribunal commenced earlier this week.

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Firms slammed for delaying safety culture changes

Too many construction firms are “hiding” behind trade organisations and waiting for legislation rather than showing proactive leadership in the drive to improve the sector’s building safety practices, according to Dame Judith Hackitt.

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Building safety plans prove controversial with industry

Government’s plan to make developers foot the bill for fixing the cladding crisis on medium-rise flats is too limited to tackle wider fire safety concerns, fails to hold material manufacturers accountable and will impact the availability of insurance across construction, industry commentators have warned.

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Legal questions raised over unsafe cladding ultimatum

Lawyers say a move by the Housing Secretary to make developers pay for the remediation of unsafe cladding on residential buildings between 11 and 18m in height raises more questions than it answers. Michael Gove wrote to developers this week telling them to agree a plan of action to fund cladding replacements within the next two months, or face commercial restrictions and the imposition of a solution in law.

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News in Brief: 7 January 2022

Introduction of a statutory ban on cash retentions in the construction sector has been ruled out by a government business minister during a debate in the House of Lords.

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Quality code published for new homes

A new code of practice for house builders which aims to drive up the quality of new build homes and strengthen protections for customers was published in its final version in December. All housing developers will have to register for the New Homes Quality Code by the end of 2022.

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Balfour Beatty fined in US after military housing fraud

Balfour Beatty has been ordered to pay a fine of £49 million after its United States subsidiary pleaded guilty to defrauding the US military for unearned performance incentive fees relating to the maintenance of military housing communities.

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Birmingham PFI contract restructured ahead of retender

The tender process for a new sub-contractor to deliver the Birmingham Highways PFI contract – which has been restructured following a dispute with the now terminated original supplier Amey – is set to get under way next month.

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Fine and suspended sentence issued over cable strike

A principal contractor has been fined and the director of its groundworks subcontractor handed a suspended prison sentence after unsafe excavation work on a highway scheme in Berkshire left a worker with serious burns.

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Call for renewed efforts on demolition safety

Construction firms have been urged to place fresh focus on managing safety during demolition works following a series of prosecutions involving severe injuries and fatalities due to poorly planned demolitions over the last year.

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