News

Appeal court clears way for Southampton runway extension

Plans to extend the runway at Southampton Airport to accommodate larger aircraft are free to proceed after the Court of Appeal rejected a second attempt by local campaigners to overturn planning approval for the scheme.

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Construction sector reports increase in disputes

More than a quarter of firms have been involved in one or more disputes in the past 12 months according to a new Construction Contracts & Law Report from the Royal Institute of British Architects.

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M+W subsidiary sues former directors over loss-making projects

An engineering and construction contractor is suing three of its former directors after suffering losses of approximately £320 million on a series of energy from waste projects.

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Auditor denies responsibility for £1.3bn Carillion losses

KPMG has denied liability for £1.3 billion of losses which are being claimed by Carillion’s liquidator. In a defence submission to the High Court, the auditor contends that it was misled by directors at the collapsed construction firm, who it says failed to disclose key information in the preparation of financial statements to make these more “audit friendly”.

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Client wins damages in landmark cladding case

Martlet Homes has won a significant cladding case against contractor Mulalley & Co in what is the first High Court judgment on a claim concerning fire safety defects in cladding on a high rise building since the Grenfell Tower fire.

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Profit warnings reduce among large firms

Profit warnings issued by FTSE-listed construction and materials companies hit a record-equalling low in the first six months of 2022, according to new research. However the small number of warnings among large firms does not reflect the situation further down the supply chain.

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TCC report shows further rise in claims

Claims brought to the Technology & Construction Court rose again last year in England and Wales, while some 62% of cases started were settled before judgement, sometimes very shortly before trial.

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News in Brief August/September 2022

The Competition & Markets Authority has provisionally found that 10 firms illegally colluded on prices to rig bids for demolition and asbestos removal contracts.

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KPMG fined £14.4 million over Carillion audits

Auditor KPMG has been fined a record £14.4 million and five of its former staff sanctioned after a Disciplinary Tribunal found they provided false and misleading information to the Financial Reporting Council as it inspected audits of Carillion and software firm Regenersis. Separately, three former Carillion directors also received fines from the Financial Conduct Authority this week.

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Competence standards published for building safety management

The British Standards Institution has published three new standards which set out competence requirements for building safety management, including Principal Designers and Principal Contractors.

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