Federation of Master Builders call for Govt to Licence construction
Following the launch of the Federation of Master Builders’ independent research report, ‘Licence to build: A pathway to licensing UK construction’ in the House of Lords this week, Brian Berry, Chief Executive of the FMB, details the benefits of introducing a licensing scheme for the whole construction industry and explains how such a proposal could work. READ more from here
The Federation of Master Builders (FMB) is calling for the introduction of licensing of all UK construction companies to help professionalise the industry. The proposal already has cross party support with both the Shadow Chancellor John MacDonnell MP and the Construction Minister, Richard Harrington MP committed to the principle.
Recent research by the FMB found that more than half of consumers have had a negative experience with their builder. What’s more, a third of home owners are put off doing major home improvement work requiring a builder because they are so worried about hiring a dodgy firm. However, we shouldn’t be surprised, as unlike countries such as Germany and parts of Australia, in the UK, it is perfectly legal for anyone to set up a building firm and start selling their services. And this is without them having any prior experience or relevant qualifications. Given the potential health and safety risks, and how expensive building work can be, this cannot be right. The FMB therefore wants to see the UK Government regulate our industry in a similar manner to countries such as Australia and Germany.
So how would a licensing scheme work? Our report draws on the experience of experts from across the construction industry and puts forward a clear proposal which is not excessively bureaucratic or expensive. The report suggests that the scheme would cover all paid-for construction work by firms of all sizes, not just those working in the domestic sector. Fees would be tiered and could start from as little as £150 every three to five years, with the largest contractors paying around £1,000 over the same period. The cost could depend on the size of the firm, financial turnover or type of construction activities carried out.
And how might it be governed? The scheme could be governed by an overarching body and administered by a broad range of scheme providers sitting underneath. This is something which could be integrated within existing industry structures to minimise duplication and cost.
The benefits of introducing a licensing scheme in construction are extensive. It would certainly improve health and safety standards in the industry. The Health and Safety Executive reported that almost 50% of small sites do not comply with health and safety requirements and licensing would quickly improve this.
For too long, the very worst construction firms, most of which undertake private domestic work, have been giving the whole sector a bad name. Licensing would remove the very worst firms from operating in the construction sector. This would transform the sector’s image and help alleviate our skills crisis by making our industry more professional. Licensing would also result in high levels of consumer protection. With the assurance of dealing with a quality builder, home owners would begin to undertake more construction work.
The industry is facing a severe skills shortage with 58% of firms struggling to hire bricklayers and nearly as many having trouble hiring carpenters. Over time, a licensing scheme may well help ease the construction skills shortage. If construction had an improved image, young people, parents and teachers will have a more favourable impression of our sector and therefore be more likely to pursue, or recommend, a career in construction.
The FMB’s propsosal already has strong backing from nearly 30 organisations including TrustMark, the LABC, the Association for Consultants and Engineers and the HomeOwners Alliance. Alongside this, almost 80% of small building firms want to see a licensing scheme introduced, as do 80% of consumers. The FMB is now keen to reach out to the whole construction sector to get their input on the proposal. If there is a demonstrated and broad support for this approach, the Government may well will take it forward.
If your organisation would like to formally back the campaign, please contact externalaffairs@fmb.org.uk
Brian Berry 2Prior to his current position Brian was Director of External Affairs at the FMB with responsibility for UK and EU policy, public affairs and media relations. Before the FMB, he worked at the Royal Institution of Chartered Surveyors (RICS), where he was Head of UK Public Policy. Brian regularly provides commentary on construction issues for TV, Radio, national and trade press
Source: UKCW / FMB
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