Construction industry to take Green Deal campaign to Government

The Construction4Growth (C4G) campaign has urged the Government to refocus on its flagship Green Deal energy efficiency programme, which will allow property owners to install energy efficiency measures at no up-front cost. C4G said that "immediate investment" in the scheme was needed to create jobs and restore growth to the construction industry, which has recently experienced its steepest decline in orders since 2009.

"There are currently 26 million UK homes in need of upgrade and repair to make them energy-efficient decent places to live in," said Judy Lowe of CITB-Construction Skills, which has organised the campaign. "For every job created by an infrastructure project, an additional two are generated within the repair and maintenance sector - and this is the immediate solution required for growth. That's why the C4G campaign is supporting Government in delivering its promises and lobbying for investment in repair and maintenance now to support the economy."

The C4G campaign, which launched this week, has the support of 900 construction industry figures. It has also been backed by professional bodies from across the industry including the UK Contractors Group (UKCG), the Federation of Master Builders, the National Federation of Builders, the National Specialist Contractors' Council, the Civil Engineering Contractors Association, the Home Builders Federation and the CBI.

According to figures released by CITB-Construction Skills, 45,000 jobs were lost across the industry in 2012 while 160,000 construction workers are currently claiming Job Seekers' Allowance at an annual cost of nearly £1 billion to the Treasury. The group warned that without action, a further 82,000 construction jobs could be lost over the next five years.

"It is no surprise that a massive 10% fall in construction output in the first part of 2012 coincided with the economy's return to recession," Lowe said. "The C4G campaign is our recognition that there is nothing to be gained by accepting decline and stagnation as the norm. The construction solutions are out there and we are going to make sure that we grab every opportunity available."

Lowe said that the Green Deal had the potential to provide "the biggest opportunities" to businesses. Part of C4G's work would be to ensure that the industry was ready to meet demand, she said.

"There is an urgent need for the Green Deal to go ahead as quickly as possible, as it will not only help support the beleaguered construction industry by creating jobs and help prevent further sharp declines in construction output, but help the UK with its commitment to cutting carbon emissions," said construction expert Graham Robinson of Pinsent Masons, the law firm behind Out-Law.com.

Under the Green Deal, property owners will be able to install energy efficiency measures such as insulation or double glazing at no up-front cost, with the repayments met through subsequent energy bills. It will be introduced to householders from October this year; however, in April, the Government admitted that the launch for the non-domestic sector would be delayed to ensure that industry concerns about the "complex" scheme were fully addressed.

Environmental law expert Linda Fletcher of Pinsent Masons, the law firm behind Out-Law.com, warned previously that businesses could "lose interest" as a result of the two-stage introduction process, despite Government claims that the scheme will lead to £14bn worth of private sector investment and support 60,000 jobs over the next decade. Although properties will be able to undergo assessments to consider their suitability for the scheme from the 1 October launch date, the first loans to fund improvements will not be made available until January 2013.

Lowe said that C4G hoped to meet with Chancellor of the Exchequer George Osborne and business ministers later this year. The group already has the support of Prime Minister David Cameron, who acknowledged the "major contribution" that the construction industry has to make to economic recovery.

"The construction industry has faced huge challenges over recent years and I welcome the initiative it is taking through the Construction4Growth campaign to work with the government to kickstart the industry and return it to growth," he said.