Government rescues Constructionline

BUSINESS CATEGORIES   ·   January 10, 2009

According to this article published by HVCA magazine by Arlene Martin, the Government is working with multiple construction industry organisations to address the industry’s collective condemnation of Constructionline, the pre-qualification scheme set up to reduce the costly bureaucracy created by the existence of numerous public sector and quasi-public sector accreditation bodies.

The move was revealed in the Department for Business, Enterprise and Regulatory Reform (BERR)’s response to the Business and Enterprise Committee’s recommendation that Constructionline be made to work as either planned or abandoned.

The construction industry has long complained that since many public sector clients use their own bespoke pre-qualification procedures, some firms can end up registering with as many as four different schemes and paying up to £8,000 in the process.

It also maintains that because Constructionline does not verify technical proficiency, it has failed to set an industry-recognised standard.

In its response BERR said the new Constructionline contract, re-awarded this year to Capita, should result in a doubling of the numbers of buyers and suppliers using the scheme, “encouraged by incentives in the contract which allow the contractor to reduce overhead expenses as membership and usage by buyers grow”.

BERR said it was now working with Constructionline, the Office of Government Commerce, the Health and Safety Executive and the Equality and Human Rights Commission and others to “ensure proper alignment across the board, to provide an effective standard”.

In addition, an extract from BERR’s response read: “As part of the Government’s work to simplify industry pre-qualification schemes, the HSE is working with the Safety Schemes in Procurement towards achieving mutual recognition of the Stage 1 of the Construction (Design and Management) 2007 Regulations’ core critiera.”

Rod Pettigrew, HVCA deputy chief executive, said: “We are pleased to see that the Government has taken on the board the issues of pre-qualification schemes, and it is excellent news that BERR is working to ensure there is better alignment of core criteria.”

However, Mr Pettigrew rejected the assertion that the Government should cap the amount specialist contractors paid to register with other accreditation systems while widespread take-up of Constructionline by public sector clients took place.

“It would be unrealistic to expect the Government to cap the fees for other pre-qualifications schemes,” he countered. “BERR has taken the right approach, one which will lead to reduced costs and administrative burdens.

“The Government is working to develop a scheme which says that if you qualify under Constructionline then you should also qualify under other pre-qualification schemes, such as Achilles. It’s not perfect but it’s getting there.”

Gareth Kings, Construction-line operations director, said: “We recognise contractor frustration when faced with the completion of multiple pre-qualification questionnaires, and are working to address this.

“Considerable progress has been made in the past year. Constructionline is now used by 70 per cent of local authorities, 40 per cent of NHS Trusts, plus over 20 per cent of all housing associations, as well as private sector clients, contractors and consultants.

“Constructionline’s core objective is to reduce duplication and we continually promote the benefits of Constructionline amongst private and public sector organisations.

Constructionline works with trade organisations, client groups and best practice bodies to promote understanding and co-operation. We are also working with [see above] to ensure our core criteria is representative of the developing needs of the market.”