Contract Journal articles from April 2003

Contract Journal archives from April 2003

Contractors gain control over specification.
April 2, 2003... The role of the contractor in deciding which construction products and materials to use on building and civil engineering projects is changing. New research from Contract Journal shows main contractors and subcontractors are having a much...

AWG in hot water.
April 2, 2003... Anglian Water's dream of transforming itself into an infrastructure management company on the back of its Morrison Construction acquisition three years ago has turned sour. And with WestLB preparing a second takeover bid for the firm, AWG looks...

What's in the pipeline?(UK sewage construction will keep construction industry busy)
April 2, 2003... With the water industry behind schedule on capital expenditure for its current five-year asset management plan (AMP3), and rumours of greatly increased spend for AMP4 - which starts in 2005 - there will be no shortage of work for contractors...

Merlo set to extend range.(Brief Article)
April 2, 2003... Telehandler specialist Merlo is looking to extend its range of 37 machines both at the bottom and the top ends. Managing director Amilcare Merlo said the firm is considering the development of a narrow 6m/2.6t machine to work on confined...

OHRforecasts boost in rental.(Brief Article)
April 2, 2003... Over the next five years plant manufacturers and franchised dealers will become more involved in rental as hire continues to grow and equipment sales fall, delegates at the Construction Plant-hire Association's Future of Plant Hire conference...

Barhale's big screen role.
April 2, 2003... One of the world's largest installations of drum screens for sewage treatment is being constructed adjacent to a listed pumping station at Abbey Mills in Stratford, East London. Nick Barrett reports on the first of a possible series of schemes...

In brief.(Brief Article)
April 2, 2003... ALLMI and NPORS link-up The Association of Lorry Loaders Manufacturers and Importers (ALLMI) has signed a partnership agreement with the National Plant Operators Registration Scheme (NPORS) allowing it to offer the Construction Plant...

Put the boot in at charity football event.(Contract Journal, Hays Montrose co-sponsoring charity football competition)(Brief Article)
April 2, 2003... Have you suffered at the pen of a Contract Journal journalist? Have you been refused a discount by a member of the advertising team? Do you want revenge? This year's Construction Charity 5s Football Competition may be your perfect opportunity....

In brief.(news from construction industry)(Brief Article)
April 2, 2003... Barratt's sales still high despite war The war is not having an adverse impact on Barratt's sales: its forward orders stand at pound sterling800m. In the six months to 31 December the group delivered a 36% hike in pre-tax profit to pound...

Morrison bags [pounds sterling]39m M&E job.(Brief Article)
April 2, 2003... Morrison, part of AWG, has tapped into a pound sterling39m M&E follow-on contract with Southern Water. The deal is worth pound sterling13m a year and will run for three years. The scope of the project, which starts next month, is wider...

Insurance hikes 'boost cowboys'.(Brief Article)
April 2, 2003... Scottish builders have issued a fresh warning to the government that huge increases in insurance premiums are acting as an aid and an incentive to unscrupulous cowboy contractors while driving reputable firms out of business. "The...

Ballast chief says: 'We are now viable'.(Brief Article)
April 2, 2003... n The 'new look' business emerges and is set to focus on making this year profitable. After a frantic 14-month period of change at Ballast plc, the pound sterling250m-a-year turnover UK construction business is now moving on to "the...

Anything Left-Handed launch.(Brief Article)
April 2, 2003... Left-handed construction workers can look forward to using bespoke tools rather than having to make do with traditional right-handed products. Specialist retailer Anything Left-Handed (not to be confused with Ned Flanders' Leftorium in The...

Conservatives take up construction cudgels.
April 2, 2003... n Government will face questions over issues including reduction of VAT on domestic repair and maintenance. The government is expected to face a tougher Parliamentary challenge from the opposition on construction issues in the wake of a...

HBG awarded [pounds sterling]70m PFI schools scheme.(Brief Article)
April 2, 2003... HBG has moved to the top of the class for a pound sterling70m private finance schools deal in Crawley, West Sussex. The firm held off a challenge from Balfour Beatty, its only remaining rival for the county council job. The council...

Minister pledges improved procurement guide.(Brief Article)
April 2, 2003... "It is vital that the design process takes full and early account of the expertise and knowledge of specialist contractors and also key manufacturers," according to Paul Boateng, chief secretary to the Treasury. Boateng's comment comes in...

PFIs are the future for Ballast.(Brief Article)
April 2, 2003... Ballast plc is bidding for eight education PFI projects with a total contract value of pound sterling1bn, from Renfrewshire in Scotland to Cornwall in the South West. "In six years we have become a leader in education PFIs," said Cooper....

Contractors panic over HA packages.
April 2, 2003... n Firms fear new HA Capability Assessment Toolkit will disadvantage them commercially. Contractors are starting to panic over the Highways Agency's (HA) plans to package major work programmes, fearing contract allocations could leave them...

Mowlem vies for [pounds sterling]160m Irish road.(Brief Article)
April 2, 2003... n Firm joins Togher Toll consortium in race with Direct Route for PPP road job as Erin Route group loses out. Mowlem is flying the flag for UK contractors in a two-horse race for a pound sterling160m private finance road scheme in the...

Concrete bids to improve roads.(Brief Article)
April 2, 2003... n Keeping Britain Moving campaign claims the use of concrete on roads can cut repair and maintenance costs. The use of concrete can make a significant contribution to the improvement of the UK's transport infrastructure, according to...

Amey unveils [pounds sterling]130m loss.(Brief Article)
April 2, 2003... Amey has announced a pre-tax loss of pound sterling130m with the troubled support services group now warning that it might not be able to raise the pound sterling60m needed to buy back its stake in Tube Lines, the London Underground PPP...

CPA calls for examples of lowest price on government contracts.(Brief Article)
April 2, 2003... The Construction Products Association (CPA) is calling on its members to produce examples of lowest price use on government contracts to present to the Office of Government Commerce (OGC). The CPA has already received four responses after...

Brick industry to go green.(Brief Article)
April 2, 2003... The brick industry has committed itself to reducing the energy consumed in clay brick manufacture by more than 10% by 2010. This is one of several targets contained in the industry's sustainability strategy. Other items on the brick...

Product guide.
April 2, 2003... Safeforce branches out Hirestation has opened new branches devoted to its specialist safety and survey offering under the brand name of Safeforce. The branches are in Glasgow, Greater Manchester, Heathrow, West Bromwich and London...

Four win [pounds sterling]200m housing upgrades.(Brief Article)
April 2, 2003... Four firms have unlocked pound sterling200m-worth of council house upgrading work in west London. Hounslow Homes, the London Borough of Hounslow's arms length management company, has put its faith in Balfour Beatty, Connaught, Lovell and...

CJ offers new business leads.(new service for readers )(Brief Article)
April 2, 2003... Contract Journal is this week adding a new service to readers. Business Alert is a weekly contract data listing of more than 250 business leads for projects at pre-plan, detailed planning, tender, bidders known and bids accepted. Business...

Five firms pitch for [pounds sterling]34m A1 road work.(Brief Article)
April 2, 2003... May Gurney has spread its wings and is one of five outfits revving up for a pound sterling34m road scheme on the A1 in West Yorkshire. Also on the starting grid for the Bramham to Wetherby deal are Skanska, Nuttall an Alfred McAlpine/Amec...

Contractors gain influencein specifying.(Brief Article)
April 2, 2003... Contractors are becoming more influential in the specification and brand choice of products and materials used in their contracts. Research from CJ shows that 72% of main and subcontractors that are involved in specification have a greater...

Jarvis criticised for abusing its subbies.(Jarvis Construction )
April 2, 2003... n CCS slams company's subcontract conditions including payment timetable and ignorance of adjudication. Jarvis Construction's subcontract form has come under a vicious attack from the Confederation of Construction Specialists (CCS) for...

CPA 'unhappy' over house stats decision.(Construction Products Association)(Brief Article)
April 2, 2003... The Construction Products Association (CPA) is demanding a meeting with housing and planning minister Lord Rooker after the government refused to change its reporting of housebuilding figures from a quarterly to a monthly basis. CPA...

Costain turns in first profit in 10 years.(Brief Article)
April 2, 2003... After 10 straight years of losing money, Costain's UK construction division has made a full-year profit of pound sterling2.2m in 2002. The turnaround has given chief executive Stuart Doughty much satisfaction. Announcing the group's...

[pounds sterling]60m schools PFI to be readvertised.(grouped schools modernisation project)(Brief Article)
April 2, 2003... Lewisham council in south London is to re-advertise a pound sterling60m-plus schools PFI scheme after contractors cold-shouldered the deal the first time around (CJ 12 March). The scheme, known as the grouped schools modernisation project,...

Red diesel deadline extended.(Brief Article)
April 2, 2003... Contractors and plant hirers that have not yet signed up to the Registered Dealer in Controlled Oil (RDCO) scheme can still receive supplies of red diesel during April and May (CJ12 March). The move by Customs & Excise is "in recognition of...

70 killed but industry beats its safety target.
April 2, 2003... n Fatalities fall by 42% in two years to put industry well ahead of the Construction Safety Summit's aims. The construction industry killed 50 fewer people last year than in 2000 - and has already achieved its target to reduce deaths on...

Life begins at 70.(Brief Article)
April 2, 2003... At the Construction Safety Summit in February 2001 the industry set itself a target of cutting fatalities by 40% during the next four years and by 66% by the end of the decade. According to Contract Journal's calculations, the first target...

Gleeson to take on HA projects.(Brief Article)
April 2, 2003... Gleeson aims to be a major road player after six years out of the sector. Business development director for Gleeson's engineering division Alan Paxton told CJ that work for the Highways Agency (HA) is now an "attractive prospect". "The HA...

Anglia contracts picked for staff secondment pilot.(Brief Article)
April 2, 2003... Balfour Beatty's Great Eastern and Amec's West Anglia rail maintenance contracts have been singled out by Network Rail as pilots for the transfer of staff as the railway client implements its strategy of bringing more decision making back...

In brief.(Brief Article)
April 2, 2003... Gleeson starts on pound sterling5m leisure centre Gleeson will start work at the end of this month on the pound sterling5m Soar Valley Leisure Centre at Mount Sorrell, Leicestershire, for Charnwood Borough Council. Completion is scheduled...

Equion/Laing O'Rourke win.(Brief Article)
April 2, 2003... An Equion/Laing O'Rourke team has been named preferred bidder ahead of an Amec/Atkins jv for the pound sterling180m prize to revamp two Tyneside hospitals, as tipped in CJ (5 March). The scheme for Newcastle upon Tyne Hospitals NHS Trust...

Four vie for [pounds sterling]120m PFI Essex hospital scheme.(Brief Article)
April 2, 2003... The Mid Essex Hospital Services NHS Trust has selected a list of four consortia to bid for its pound sterling120m private finance scheme at Broomfield Hospital in Chelmsford. The line up is: Bouygues UK; Consort Healthcare, led by Balfour...

Staged financial close for NHS LIFT projects.(Brief Article)
April 2, 2003... Financial closure on most of the first tranche of NHS LIFT schemes will be staggered in order to speed up the procurement process. This unusual approach to closure, which has funders' approval, will be test driven on the pound sterling142m...

Network Rail: raise your game or else.(Brief Article)
April 2, 2003... n Client will take contracts back in-house if contractors fail to meet new work criteria. Network Rail will take more maintenance contracts in-house if rail contractors fail to meet stringent performance standards under its New Maintenance...

Three for [pounds sterling]100m housing scheme in Manchester.(Brief Article)
April 2, 2003... A shortlist of three consortia has been drawn up for a pound sterling100m regeneration job for Manchester City Council in the Toxteth Street area of Higher Openshaw in East Manchester. Gleeson is part of the Openshaw Village consortium,...

McNicholas in redundancy negotiations.(Brief Article)
April 2, 2003... The McNicholas Group has put less than a tenth of its 2,600 employees at risk of voluntary redundancy rather than the entire workforce. A spokeswoman said on Monday: "It is not true that all staff have been put on redundancy alert. A total...

Mowlem wins [pounds sterling]40m Army project.(Brief Article)
April 2, 2003... Mowlem has won a pound sterling40m contract to upgrade a range of infrastructure on the Army's training estate at Otterburn in Northumberland. Sources say the firm has beaten off challenges from Balfour Beatty, Laing O'Rourke, Alfred...

In brief.(Brief Article)
April 2, 2003... Balfour Beatty is fifth bidder for A1 scheme Balfour Beatty is the fifth bidder on the Highways Agency's pound sterling34m scheme to upgrade the A1 between Bramham crossroads and Wetherby in West Yorkshire (see story on page11). David...

Miller Group lifts margins with PFIs and repeat work.(Brief Article)
April 2, 2003... Miller Group's ninth successive year of growth produced a pre-tax profit of pound sterling27m last year, more than a third higher than in 2001. Latest financial results (12 months to 31 December) show turnover higher at pound sterling660m....

Fatalities: ; industry improving.(Brief Article)
April 2, 2003... 12 calendar*****1 April to*****months****31 December 2000****120****92 2001*****85****63 2002*****70****54 Source: CJ and HSE

Court out: The Morrison saga.(Brief Article)
April 2, 2003... AWG bought Morrison for pound sterling263.3m in September 2000. By the following spring, it announced that black holes - mostly relating to contract overruns - had been found in Morrison's accounts. This February, an agonising...

Fatalities: by region.(Brief Article)
April 2, 2003... London: 10 North West: 9 Scotland: 8 Midlands: 8 Yorkshire & North East: 8 East & South East: 6 Wales & South West: 5 Source: HSE - 1 April to 31 December 2002

Repudiatory breach.(contract)
April 2, 2003... IJS Contractors worked for a number of years as subcontractor to Dew Construction before their relationship went sour. The relationship started in October 1997 when IJS carried out work for Dew on a project at Swindon railway station. That...

CIS changes 'not likely' before 2006.(Brief Article)
April 2, 2003... A revised CIS tax scheme is unlikely to be in place before 2006, according to Alyson Morrow, head of human resources at Scottish Building. But the employers' representative added: "There is a huge amount of time and money to be invested in...

Hewden shakes-up management.(Hewden Stuart)(Brief Article)
April 9, 2003... Streamlined modernisation programme implemented to meet customers' expectations. Hewden Stuart has announced a shake-up of its senior management structure in a move to modernise the way the company is run. Chief executive Paul Jarvis...

[pounds sterling]1m worth of JLG booms for A-Plant.(A-Plant Powered Access)(Brief Article)
April 9, 2003... The increasing importance of attachments in the powered access market has been underlined by A-Plant Powered Access's purchase of pound sterling1m-worth of JLG machines. The deal consists of 450AJ, 600AJ and 800AJ articulated booms, all...

In brief.(Construction industry briefs)(Brief Article)
April 9, 2003... Mustang and CBL deal CBL, the southern England-based plant dealer and hirer, has been appointed distributor for Mustang skid steers. The range extends from 476kg to 1,633kg. HAE names MD The Hire Association Europe has appointed...

National funding is still the big issue.(A pilot regional health scheme could be affected)(Brief Article)
April 9, 2003... Although a pilot regional health scheme is set to go ahead, funding of a national scheme remains the key issue. The National Federation of Builders said that it "would be prepared to consider a range of proposals, one of which might be some...

back bites.(Construction industry humor)(Column)
April 9, 2003... Not-so-great escape If you're having a bad day, just be thankful you're not a teacher. On a recent visit to a pound sterling23m PFI-built secondary school in Newham, east London, back bites was talking to the head of the IT department...

Pensions, PFI and profits.
April 9, 2003... Results posted by most major construction players prove that the industry is continuing to enjoy a boom. The only clouds on the horizon concern pension funds and the City's tendency to blow hot and cold on PFI. John Leitch reflects on the...

Fluctuating prices in building products.(Brief Article)
April 9, 2003... The cost of coated roadstone has increased while crushed rock and sand and gravel rates have fallen. The latest products and materials pricing data from the Department of Trade & Industry shows that between July and October 2002 the price...

HBG's safety record wins Asda approval.
April 9, 2003... n pound sterling60m-a-year HBG and Asda partnership is strengthened as site accident rate is cut by 30%. HBG's promise that the health and safety of its workforce is its top priority has helped the contractor to reduce accidents by 30% in...

Health scheme to slice [pounds sterling]300m off sickness bill.(Brief Article)
April 9, 2003... n Coniac to set up regional pilot schemes in an effort to reduce lost working days through ill-health by 50%. A full-scale occupational health scheme for the construction industry would cost pound sterling80m a year to run, the Health &...

Birse takes lead in Sheffield.(Brief Article)
April 9, 2003... Birse is heading a field of seven runners for a pound sterling22m road scheme in South Yorkshire. Insiders say the contractor is looking good for phase two of the city council's Sheffield Inner Relief Road project. The contract is...

Structural steel set for short-term fall.(Brief Article)
April 9, 2003... The short-term prospects for the structural steel market are grim, according to the latest report from Market & Business Development (MBD). The tonnage of steel sold is forecast to fall 1% this year and in 2004 to just shy of 1.3 million...

Peri looks to civils for future work.(Brief Article)
April 9, 2003... Roads, rail and water on the cards as commercial work drops. Formwork specialist Peri feels the commercial office market has peaked and is expecting future work to come from the civils side of the industry. Peri managing director Carl...

HA is urged to use asphalt and concrete in new roads.(Highways Agency )(Brief Article)
April 9, 2003... Government plans to replace concrete surfaces on motorways and A-roads with quieter materials does not mean the end of the road for concrete according to Britpave, the British In-situ Concrete Paving Association. Britpave director David...

Safety improves.(Brief Article)
April 9, 2003... Last year's dramatic reduction in construction fatalities was achieved through a real improvement in site safety, according to Contract Journal's readers. More than three-quarters of respondents to the latest CJ Question poll, sponsored by...

Amec wins Dartford cable job.(Brief Article)
April 9, 2003... Amec has wired up to a pound sterling16m National Grid cable replacement programme in Dartford, Kent. The two-year programme involves the construction of a 2.4km, 400kV cable tunnel under the Thames and removing existing 275kV circuits. ...

Staff bill take toll on Weeks' profit.(Weeks Group)(Brief Article)
April 9, 2003... The Weeks Group's profit in the year to 31 March 2003 will be less than expected, forcing the consultancy to issue a profits warning to the City. "While turnover for the year is expected to be approximately 10% ahead of last year, gross...

Boot Homes gets new owner.(Wilson Bowden acquires the homes division)(Brief Article)
April 9, 2003... Wilson Bowden has snapped up the homes division of Henry Boot, the Sheffield-based construction group, for pound sterling48m. Wilson Bowden chief executive Ian Robertson said that buying Boot, which brings with it 1,800 building plots and...

Cowlin: desperately seeking staff.(Cowlin Construction)(Company Profile)
April 9, 2003... Bulging forward orderbook sees construction firm eager to recruit project and contract managers, estimators and site engineers. Cowlin Construction is close to being snowed under with work. The firm is busy recruiting staff in all its four...

Housebuilders 'not sexy' enough for City.(Brief Article)
April 9, 2003... Housebuilders are unloved by the City, according to this year's Top 50 Unloved Companies Index (UCI). Compiled by business adviser RSM Robson Rhodes, the UCI reveals that many of Britain's smaller quoted companies are finding that their...

Court project delays could deter bidders.
April 9, 2003... Future and current PFI court schemes could lose bidders as they go on hold until 2005. Potential bidders are warning that massive delays in proposed major private finance courts deals could lead to contractors shying away from the already...

Trio awaits Northern Ireland schools work.(Interserve, Bilfinger Berger and Jarvis are bidders)(Brief Article)
April 9, 2003... n Interserve, Bilfinger Berger and Jarvis to bid for pound sterling34m PFI deal. Three groups will pick up the tender paperwork later this year for a pound sterling34m private finance education deal in Northern Ireland. The project...

Skanska wins LNG work on Isle of Grain.(contract information)(Brief Article)
April 9, 2003... Skanska has clinched two turnkey contracts on the Isle of Grain, Kent, worth pound sterling80m. The deals involve converting National Grid Transco's terminal into a liquid natural gas importation (LNG) facility. The first scheme involves...

Network Rail names four firms for power upgrades.(contract information)(Brief Article)
April 9, 2003... Consortia featuring Balfour Beatty, Mowlem, Peterhouse and Amec have signed framework deals with Network Rail to continue the upgrade of power supply on the southern England rail network. The frameworks for Inner London, Kent, Sussex and...

Unsuccessful bidders get second chance with BAA.(construction contract industry)(Brief Article)
April 9, 2003... Contractors will be given a second chance to team up with BAA through its multi-million pound frameworks, according to group construction director Richard Petrie. He said BAA will be approaching unsuccessful bidders from its second...

Mansell pulls plug on maintenance.(in construction industry)(Brief Article)
April 9, 2003... Mansell has pulled out of the maintenance market where losses of pound sterling2.5m last year pulled the group's pre-tax profit back to pound sterling8m. Chief executive Philip Cleaver said: "It was a bad market and it was difficult to get good...

[pounds sterling]9m fund to get workers qualified.(from Learning and Skills Council and Construction Industry Training Board)(Brief Article)
April 9, 2003... Construction employers are being urged to "get in quick" to take advantage of a new initiative designed to increase the number of qualified workers in the industry. Launched by the Construction Industry Training Board (CITB) and the...

Robertson fined [pounds sterling]20k for site death.(Robertson Group fined money)(Brief Article)
April 9, 2003... Elgin-based Robertson Group has been fined pound sterling20,000 after a worker died on one of its sites in July 2002. The firm admitted breaching health and safety legislation following the death of James Weir, 38, in an accident during...

SED to show off Kubota's sub-5t excavator range.(agricultural equipment range)(Brief Article)
April 9, 2003... Kubota's complete range of sub-5t, zero tail swing mini excavators will be on show at SED 2003 later this month. The first two U-3 series models were launched last autumn and will be complemented at the show with the 990kg U10-3, the 2.2t...

ProCure 21 cuts DTCs.(UK health care construction industry contracts)(Brief Article)
April 9, 2003... A pound sterling600m plan to deliver a host of Diagnostic and Treatment Centres (DTCs) under the NHS Estates ProCure 21 programme has been slashed by two-thirds. ProCure 21 is now expected to provide about 10 rather than the proposed 30 DTC...

Manchester LIFT prefers ExcelCare consortium.(ExcelCare Ltd. wins construction contract)(Brief Article)
April 9, 2003... Equion's consortium ExcelCare has won preferred bidder status on the lucrative pound sterling90m Manchester, Salford and Trafford NHS LIFT in a neck-and-neck race with Jarvis Health. The Manchester LIFT scheme is hoping to reach financial...

In brief.(Eric Wright, Pochin, and Chorus Group construction contracts)(Brief Article)
April 9, 2003... Eric Wright wins pound sterling7m framework deal Eric Wright Civil Engineering has won a pound sterling7m framework contract to reconstruct the 19th century retaining walls in the Saddleworth area of north east Oldham. The client is Oldham...

Time is tight for Crossrail.(Crossrail Ltd. contract deals )(Brief Article)
April 9, 2003... Time is running out for Crossrail to be included in the next parliamentary session, following the delay of the decision on the scheme's final route options. Ian Rathbone, media manager for Cross London Rail Links (CLRL), told CJ: "We are...