New and proposed legislation, December 2020 (UK construction focus)

Home
Knowledge
New and proposed legislation, December 2020 (UK construction focus)

New and proposed legislation, December 2020 (UK construction focus)

{E674A352-2C73-4635-AD79-B69B134109C6}

January 6, 2021

Our construction team's regular guide to new and proposed legislation that will affect the UK construction industry. Parts of this update were published in Construction Law magazine's "State of Play" table, number 255 on 1 December 2020.

Information contained in our COVID-19 articles and publications is correct at the time of print. This is, however, a constantly evolving situation across the globe and specific advice and guidance should be sought as required.

COVID-19
Tax
Building safety
House building
Planning
Local planning
Brexit
Procurement
Climate change
Infrastructure
Climate change – net zero targets
The environment
Modern Slavery

COVID-19
Economic recovery	On 16 October 2020, the government launched its Export Growth Plan setting out "measures to help businesses in England build back better". Measures include "additional financial support and expertise, some of which is targeted towards specific regions that are most in need", a £38 million Internationalisation Fund for small and medium-sized (SME) enterprises, new policies to help businesses grow overseas trade and 64 new International Trade Advisers to lend expertise to SMEs in the Northern Powerhouse, Midlands Engine and South West. On 14 October 2020, the G20 published its Updated G20 Action Plan to support the global economy through COVID-19 by "harnessing new opportunities through the digital economy and [the] potential for an environmentally sustainable and resilient recovery". Landmark commitments include: extending the Debt Service Suspension Initiative to June 2021 to help developing countries finance their COVID-19 response and recovery programmes, and supporting the World Bank Group’s initiatives to make available US$16 billion of fast track financing for developing countries’ access to COVID-19 tools, with the aim of supporting equitable and affordable access for all. Atkins' report, COVID-19 Impact and Recovery (18 August 2020) sets out responses received following a survey of 398 senior public and private sector decision-makers within infrastructure. The general consensus was that digital innovation will become "increasingly important" as a result of COVID-19. Senior decision-makers want the design, engineering and consultancy sector to provide the infrastructure sector with such digital innovations.
COVID-19 "Greener Regeneration Scheme" encourages local regeneration	The Construction Leadership Council (CLC) has developed the Greener Regeneration Scheme, (published 6 October 2020), showing how the government can "empower local authorities, and their development partners, to take the lead in the post-COVID revitalisation of towns and cities." CLC Co-Chair Andy Mitchell CBE states that COVID-19 presents the construction industry with "a chance for a gear-shift in how we deliver construction in the UK and the opportunity not only to build back better, but to build back greener." The proposal was endorsed by Local Authorities, LEPs and private sector developers. The report centres around the fact that a fresh approach is likely to accelerate construction jobs for the next three years and stimulate a local-led economic recovery plan, whilst delivering long-term benefits for communities.
The effects of COVID-19 on tax issues	HMRC has published Agent Update 80 (a bulletin to support tax agents and advisers) which contains an announcement (at page 18) that it seeks broad, not simply tax-related, views on the impact of COVID-19 on mid-sized construction businesses (MSB). MSBs are businesses with a UK turnover exceeding £10 million and/or at least 20 employees (but not those businesses whose affairs are handled by HMRC's Large Business Unit). HMRC wants to know how MSBs have been affected by the pandemic, technological changes made and changes to accommodate social distancing, the accessibility of HMRC guidance, whether MSBs' project financing has been affected and future prospects. To give your views, contact HMRC directly or use the MSB Construction Team mailbox (constructionmsb@hmrc.gov.uk) before 23 November 2020. Suggestions for more general support improvements for MSBs outside the construction sector are welcome too (see: HMRC: Get help with a tax issue as a mid-sized business).

Tax
New IR35 factsheet from HMRC	HMRC has published a factsheet: Important facts for contractors - off-payroll working rules (IR35) (27 October 2020) to support those affected by the changes to the off-payroll working rules effective from 6 April 2021. The government postponed (not cancelled) the introduction of the reforms to IR35 from April 2020 to 6 April 2021 to help businesses cope with the economic impact of COVID-19. It remains committed to introducing this policy to ensure that people working like employees, but through their own limited company, pay broadly the same tax as individuals who are employed directly.

Tax

New IR35 factsheet from HMRC

HMRC has published a factsheet: Important facts for contractors - off-payroll working rules (IR35) (27 October 2020) to support those affected by the changes to the off-payroll working rules effective from 6 April 2021. The government postponed (not cancelled) the introduction of the reforms to IR35 from April 2020 to 6 April 2021 to help businesses cope with the economic impact of COVID-19. It remains committed to introducing this policy to ensure that people working like employees, but through their own limited company, pay broadly the same tax as individuals who are employed directly.

Building safety
Draft Building Safety Bill	The final, pre-legislative scrutiny session on the Draft Building Safety Bill 2019-2021 took place on 19 October 2020. Lord Greenhalgh, Minister for Building Safety, provided evidence on the draft Bill which will take forward reforms to the building and fire safety system.

House building
Using brownfield land	The Countryside Charity, CPRE, has published a new report, Recycling our land: the state of brownfield 2020 setting out its annual appraisal of England's available brownfield land and concluding that there is sufficient space to meet the government's target of building 300,000 new homes per year over the next five years. The charity reports that available brownfield sites could house 1.3 million new homes and that 500,000 of these plots have already been granted planning permission. The charity is therefore recommending a greater emphasis on putting brownfield land first to promote building on these available brownfield sites before developing greenfield land.
Affordable housing	The government response to the Housing, Communities and Local Government Committee's (HCLGC) report on the long-term delivery of social and affordable rented housing was published on 7 October 2020. The response addresses the HCLGC's 16 recommendations in turn, highlights the significance of Affordable Housing and references the government's further investment in Affordable Housing in the March budget and a new Affordable Homes Programme (which includes homes for Affordable and Social Rent). The response also refers to the launch of the Next Steps Accommodation Programme (NSAP) which provides financial support to local authorities to prevent people from returning to the streets. The response references government ambitions for planning reforms and the prioritised use of brownfield and other under-used land, to address the need for more homes.
Post-Occupancy Evaluation	The Royal Institute of British Architects (RIBA) published a report, Post-Occupancy Evaluation: an essential tool to improve the built environment on 7 October 2020, recommending that Post-Occupancy Evaluation (POE) be made standard practice to reduce the environmental impact and operational costs of buildings, while also improving user satisfaction. POE involves collecting data on a building's performance with respect to building and energy use, as well as overall satisfaction by the user. RIBA recommends a "top down" and "bottom up" approach, whereby the government makes POE a condition for publicly-funded projects, while construction professionals also promote the benefits of POE to their clients.
Phase 1B of the Green Homes Grant Local Authority Delivery scheme launched	The Department for Business, Energy & Industrial Strategy (BEIS) has launched guidance on Phase 1B of the Green Homes Grant Local Authority Delivery scheme (23 October 2020) (see Green Homes Grant Local Authority Delivery scheme, Phase 1B: entering a bid).The initial Phase 1A competition, launched in August 2020, allocated £76 million of funding to 57 Local Authority (LA) projects. Phase 1B sets out the detail for a second round of the LA competition and provides detailed guidance to bidding LAs, and other interested parties, on the eligibility and assessment criteria for Phase 1B.

Planning
Planning system survey	HCLGC invited members of the public to give their views on the planning system in England and the government's proposed reforms in an online survey (which ran to 12 November 2020). The survey asked respondents how they have previously used the planning system and for ways in which it could be improved in the future. The results will inform HCLGC’s inquiry into the planning system to ensure it better works for local communities.
The impact of neighbourhood planning	The Ministry of Housing, Communities & Local Government (MHCLG) has published an independent report on the impact of neighbourhood planning in England. Introduced by the Localism Act 2011, neighbourhood planning introduced new rights and powers to allow local communities to shape new development by coming together to prepare neighbourhood plans. The report provides findings on the independent research, carried out by the University of Reading between September 2019 and March 2020, that: whilst neighbourhood planning benefits local communities when used successfully, there are numerous issues with uptake; the overall process was burdensome; and long delays affected enthusiasm and encouragement levels across the board. To promote the long-term success of neighbourhood planning, the report suggested a number of potential improvements including greater funding, giving more power and support to local communities, offering more training and aligning neighbourhood plans with local plans.
Planning reform delayed	The Law Society has responded to the MHCLG consultation on its Planning for the future White Paper, stating "any successful reforms to the planning system must be accompanied by adequate funding and resourcing of local authorities". Whilst welcoming the idea of simplifying local plans, the Law Society believes reforming the entire system at once may lead to uncertainty, especially given the effects of Brexit and COVID-19.
Law Society and TCPA responses to the Planning White Paper	The Town and Country Planning Association (TCPA) published an initial analysis of the government's 2020 Planning for the Future White Paper. Acknowledging the need for change, the TCPA believes the proposed system will be less democratic with fewer opportunities for communities to participate in the consultation process. (The TCPA also published a community guide on how to respond to the Planning White Paper setting out what it hoped respondents would consider when reviewing the proposals. The deadline for submitting responses was 29 October 2020.)
Welsh compulsory purchase guidance and a consultation	As part of the Welsh government's COVID-19 recovery plan, new guidance on compulsory purchase powers under the Acquisition of Land Act 1981 has been published: Circular 003/2019: Compulsory Purchase in Wales and The Crichel Down Rules (Wales Version 2020). The guidance aims to assist local authorities and other public bodies in the effective handling of compulsory purchase orders. It advises acquiring authorities on the correct procedure to follow when exercising their compulsory purchase powers and the statutory and administrative requirements to ensure that orders are dealt with quickly and without any problems. Part 6 of the Circular, the "Crichel Down Rules", guides local authorities on how they can offer acquired land back to former owners or their successors. Key points concerning compensation arrangements are also covered in the guidance. The Welsh government has also announced a consultation, Reforms to the compulsory purchase process, which seeks views on its reforms to "modernise compulsory statutory purchase powers and procedures underpinned by primary legislation, and implement technical process improvements to streamline the compulsory purchase public inquiries and written representations procedures". The consultation closes on 19 January 2021.

Local planning
Health impact assessments	Public Health England (PHE) has published Health Impact Assessment in spatial planning: a guide for local authority public health and planning teams. The guide provides local planning authorities with practical information on how to incorporate a health impact assessment (HIA) into the local planning system. An HIA identifies how developments might impact on people's health and wellbeing (both positively and negatively) and looks to mitigate detrimental impacts where possible.
Collaboration called for between authorities on strategic planning	The County Councils Network (CCN) has highlighted a report on Planning Reforms and the Role of Strategic Planning authored by Catriona Riddell Associates. Noting that the government's proposed planning reforms remove district councils, county councils and neighbouring authorities' duty to co-operate on local plans, the report recommends that the leading parties closely collaborate on a long-term vision of growth in order to raise awareness of key planning arrangements. Importantly, parties should include focusing on long-term spatial, economic, environment and infrastructure priorities within a robust delivery framework. The report argues that this closer collaboration would reinvigorate strategic planning across the country.

Local planning

Health impact assessments

Public Health England (PHE) has published Health Impact Assessment in spatial planning: a guide for local authority public health and planning teams. The guide provides local planning authorities with practical information on how to incorporate a health impact assessment (HIA) into the local planning system. An HIA identifies how developments might impact on people's health and wellbeing (both positively and negatively) and looks to mitigate detrimental impacts where possible.

Collaboration called for between authorities on strategic planning

The County Councils Network (CCN) has highlighted a report on Planning Reforms and the Role of Strategic Planning authored by Catriona Riddell Associates. Noting that the government's proposed planning reforms remove district councils, county councils and neighbouring authorities' duty to co-operate on local plans, the report recommends that the leading parties closely collaborate on a long-term vision of growth in order to raise awareness of key planning arrangements. Importantly, parties should include focusing on long-term spatial, economic, environment and infrastructure priorities within a robust delivery framework. The report argues that this closer collaboration would reinvigorate strategic planning across the country.

Brexit
CLC guidance	The Brexit working group of the CLC has published a Movement of Goods and Materials Guide (26 October 2020) giving advice and information on the post Implementation Period (IP) position. The guide provides an overview of the new customs regime and covers the movement of goods and materials into Great Britain, between Great Britain and Northern Ireland, and between Northern Ireland and the Republic of Ireland. It is broken down into various sections for businesses including: Customs Regime – Importing Goods and Materials; Trade in Goods and Materials between Great Britain and Northern Ireland; Trade in Goods and Materials between Northern Ireland and the Republic of Ireland; Tariffs and Tariff-Rate Quotas – The UK Global Tariff; Standards and Alignment; Preparedness of Border and Emergency Planning; Shortage Materials and Stockpiling; and a list of Useful Resources.
Construction products – labelling	The CLC has published a Conformity Marking of Construction Guide which explains that there will be three different product marks that manufacturers, and others in the supply chain, may need to apply from 1 January 2021: The EU’s marking for product conformity (CE marking); The United Kingdom Conformity Assessed mark (UKCA mark); and The United Kingdom Northern Ireland mark (UK(NI) mark), which is additional to the CE marking in some instances. The rules governing these marks will depend on where the product is intended to be used. The current position (effective until 31 December 2020) is set out in EU Construction Products Regulation and CE marking, including UK product contact point for construction products, which explains how to place CE marking on products, how to identify UK requirements relating to construction products and how to apply to be a UK Notified Body or Technical Assessment Body. In September 2020, the MHCLG published guidance providing practical information for placing construction products on the "GB" market (which includes England, Wales and Scotland, but not Northern Ireland) from 31 December 2020. The guidance, Construction Products Regulation from 1 January 2021, explains what the legislation will say (but note that the legislation is awaiting Parliamentary approval and is still subject to change). Guidance on goods placed on the Northern Irish market will follow. Businesses should therefore prepare for the end of recognition of the CE mark in GB and affix the UK marking using a UK-recognised "approved body" by 1 January 2022. Some CE-marked goods may continue to be available in the UK market until 1 January 2022. Frequently asked questions are available in the guidance here. To find out if you will need to use the new UKCA marking and how to use it, see the guidance issued by BEIS on Using the UKCA mark from 1 January 2021. Additional guidance on placing these goods on the market can be found here: placing manufactured goods on the market in Great Britain. Similar provision has been made for Ireland/Northern Ireland to provide an enforcement regime under the EU Construction Products Regulation to replace the Construction Products Regulations 2013 (S.I. 2013/1387). The EU will decide on how UK products will be marketed in Europe after the IP ends. The European Commission is consulting on the Construction Products Regulation to improve how the EU construction products market functions. That consultation closes on 25 December 2020.
Changes for the timber trade	From 1 January 2021, the UK will implement the European Timber Regulation (EUTR) and FLEGT into UK domestic law as the UK Timber Regulations and FLEGT. The requirements under the UK Regulations remain the same as under EUTR. The UK government has confirmed that, following IP completion day, due diligence checks will take place on timber flowing from: Great Britain to Northern Ireland; and the European Union to Great Britain and vice versa. Timber traders must provide information to the Office for Product Safety and Standards, their timber suppliers, and timber purchasers (by way of evidence such as an invoice), and related records must be kept for five years. Enforcement of timber due diligence rules will not change. However, failure to comply with the timber regulations and enforcement ranges from warning letters, through to court cases, to an unlimited fine and up to two years in prison.
ACE guidance on navigating business post Brexit	On 21 October 2020, The Association for Consultancy and Engineering (ACE) published two Brexit Briefings to help ACE members navigate business post Brexit. One provides guidance about data protection and GDPR; the other, movement of people. The ACE is clear that these briefings are "working reference documents" providing ACE members with "links to additional online guidance and tangible action points". ACE will be publishing a third briefing which provides guidance on the "movement of goods and materials" in due course.

Procurement
MOD procurement process guidance	On 29 October 2020, the Ministry of Defence (MOD) published guidance on its procurement process and on finding defence opportunities for those wanting to become defence suppliers. Its current, free of charge platform, the Defence Contracts Online (DCO) portal, contains all direct tender and contract opportunities above £10,000. In addition, the MOD also uses the government's Contracts Finder portal to advertise government departments and other public bodies' sourcing opportunities. Contract opportunities that fall within the remit of the EU Public Procurement Regulations thresholds are also advertised in the Official Journal of the European Union (OJEU). The development of a new platform, the Defence Sourcing Portal (DSP) which will replace the DCO, is currently underway and is due to launch in March 2021. All suppliers will be required to register on the DSP in order to access future supply opportunities and registration will be available from January 2021. The guidance note confirms that the MOD's principles on procurement include "non-discrimination (on ground of nationality), equal treatment (of all suppliers), transparency (act in a fair and non-discriminatory manner) [and] mutual recognition [of equivalent documents and standards]". As a public sector organisation, the MOD is held accountable for its procurement decisions in a manner that the private sector is not. It is therefore imperative that it is able to uphold its objective tender selection criteria and the principles outlined above. Note that, as a result of leaving the EU, the UK government is amending current UK legislation governing public procurement to safeguard against possible shortcomings arising from departing the EU Procurement Regulations that have previously driven UK law for public sector procurements. For example: The draft Public Procurement (Amendment etc.) (EU Exit) Regulations 2020 will revoke and replace the Public Procurement (Amendment etc.) (EU Exit) (No. 2) Regulations 2019 (SI 2019/623). See also the draft explanatory note accompanying the regulations; and The draft Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2020 (DSPCAR 2020) will amend the Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019 (SI 2019/697) (DSPCAR 2019) and the Defence and Security Public Contracts Regulations 2011 (SI 2011/1848) (DSPCAR 2011).

Procurement

MOD procurement process guidance

On 29 October 2020, the Ministry of Defence (MOD) published guidance on its procurement process and on finding defence opportunities for those wanting to become defence suppliers. Its current, free of charge platform, the Defence Contracts Online (DCO) portal, contains all direct tender and contract opportunities above £10,000. In addition, the MOD also uses the government's Contracts Finder portal to advertise government departments and other public bodies' sourcing opportunities. Contract opportunities that fall within the remit of the EU Public Procurement Regulations thresholds are also advertised in the Official Journal of the European Union (OJEU). The development of a new platform, the Defence Sourcing Portal (DSP) which will replace the DCO, is currently underway and is due to launch in March 2021. All suppliers will be required to register on the DSP in order to access future supply opportunities and registration will be available from January 2021.

The guidance note confirms that the MOD's principles on procurement include "non-discrimination (on ground of nationality), equal treatment (of all suppliers), transparency (act in a fair and non-discriminatory manner) [and] mutual recognition [of equivalent documents and standards]".

As a public sector organisation, the MOD is held accountable for its procurement decisions in a manner that the private sector is not. It is therefore imperative that it is able to uphold its objective tender selection criteria and the principles outlined above. Note that, as a result of leaving the EU, the UK government is amending current UK legislation governing public procurement to safeguard against possible shortcomings arising from departing the EU Procurement Regulations that have previously driven UK law for public sector procurements. For example:

The draft Public Procurement (Amendment etc.) (EU Exit) Regulations 2020 will revoke and replace the Public Procurement (Amendment etc.) (EU Exit) (No. 2) Regulations 2019 (SI 2019/623). See also the draft explanatory note accompanying the regulations; and
The draft Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2020 (DSPCAR 2020) will amend the Defence and Security Public Contracts (Amendment) (EU Exit) Regulations 2019 (SI 2019/697) (DSPCAR 2019) and the Defence and Security Public Contracts Regulations 2011 (SI 2011/1848) (DSPCAR 2011).

Climate change
The implications for UK defence and security	The MOD has published a report, A changing climate: exploring the implications of climate change for UK defence and security, detailing its findings from its recent research and ongoing development of its climate change strategy. The report aims to develop a framework to assist decision-makers in understanding the implications of climate change for the MOD’s activities and to provide a strategy for risk mitigation and adaptation in response to the implications of climate change. The report recommends: leveraging resources across government, civil society, emergency services and industry to coordinate on climate change-related issues; developing tools that enable the MOD to develop policy in response to climate change; providing leadership on climate change issues at strategic, operational and tactical levels; assessing the resilience of Defence Estate infrastructure relative to the future operating environment; increasing the capacity and resilience of equipment relative to the future operating environment; and leveraging research and innovation to mitigate risk.

Climate change

The implications for UK defence and security

The MOD has published a report, A changing climate: exploring the implications of climate change for UK defence and security, detailing its findings from its recent research and ongoing development of its climate change strategy. The report aims to develop a framework to assist decision-makers in understanding the implications of climate change for the MOD’s activities and to provide a strategy for risk mitigation and adaptation in response to the implications of climate change. The report recommends: leveraging resources across government, civil society, emergency services and industry to coordinate on climate change-related issues; developing tools that enable the MOD to develop policy in response to climate change; providing leadership on climate change issues at strategic, operational and tactical levels; assessing the resilience of Defence Estate infrastructure relative to the future operating environment; increasing the capacity and resilience of equipment relative to the future operating environment; and leveraging research and innovation to mitigate risk.

Infrastructure
Transport and infrastructure skills strategy	The Department for Transport has released a progress report on the Transport infrastructure skills strategy (TISS): four years of progress. The TISS recommends the establishment of the Strategic Transport Apprenticeship Taskforce (STAT) to operate across sectors to develop talent and encourage diversity. The progress report sets out key work areas for the future, including the provision of apprenticeships and traineeships, increased diversity and protection against unemployment caused by COVID-19. The National Infrastructure Commission has published its final report of the Next Steps for Cities Programme. The report, Principles for effective urban infrastructure, highlights lessons learnt from good practice on developing local infrastructure strategies, provides guidance on effective local infrastructure strategy for local authorities, and sets out key principles for implementation, case studies and examples to demonstrate how local authorities can raise required funds.

Infrastructure

Transport and infrastructure skills strategy

The Department for Transport has released a progress report on the Transport infrastructure skills strategy (TISS): four years of progress. The TISS recommends the establishment of the Strategic Transport Apprenticeship Taskforce (STAT) to operate across sectors to develop talent and encourage diversity. The progress report sets out key work areas for the future, including the provision of apprenticeships and traineeships, increased diversity and protection against unemployment caused by COVID-19.

The National Infrastructure Commission has published its final report of the Next Steps for Cities Programme. The report, Principles for effective urban infrastructure, highlights lessons learnt from good practice on developing local infrastructure strategies, provides guidance on effective local infrastructure strategy for local authorities, and sets out key principles for implementation, case studies and examples to demonstrate how local authorities can raise required funds.

Climate change – net zero targets
Government response to the Committee on Climate Change’s 2020 annual Progress Report to Parliament	BEIS has published the Government’s response to the Committee on Climate Change’s 2020 progress report to Parliament (15 October 2020). It assesses progress made in reducing UK emissions over the past year and the impact of government policies. The report sets out commitments from the government to build a better and greener economy following the outbreak of COVID-19 and to accelerate infrastructure in order to deliver on net zero targets and deliver jobs. It confirms the government's aim to publish a comprehensive Net Zero Strategy in the lead-up to the 26th UN Climate Change Conference of the Parties (COP26), setting out the government’s vision for transitioning to a net zero economy. The government acknowledges the Committee on Climate Change's clear message that further action is required in embedding a climate change strategy across government policy. In the sector-specific section, the government notes its progress in reducing emissions across the key sectors identified in the Clean Growth Strategy.
How reforming the Green Book could help achieve net-zero	The Institute of Civil Engineers (ICE) opened a consultationon 15 October 2020 seeking expert views on how they can reform the Green Book to best aid policymakers and respond to the need to lower carbon emissions. More specifically, it asks if the Green Book’s Five Case Model should be expanded to six, to respond to the urgent 2050 net-zero target given infrastructure's key role in accelerating the UK economy and creating better outcomes for society and the environment. The consultation closed on 9 November 2020.

Climate change – net zero targets

Government response to the Committee on Climate Change’s 2020 annual Progress Report to Parliament

BEIS has published the Government’s response to the Committee on Climate Change’s 2020 progress report to Parliament (15 October 2020). It assesses progress made in reducing UK emissions over the past year and the impact of government policies. The report sets out commitments from the government to build a better and greener economy following the outbreak of COVID-19 and to accelerate infrastructure in order to deliver on net zero targets and deliver jobs. It confirms the government's aim to publish a comprehensive Net Zero Strategy in the lead-up to the 26th UN Climate Change Conference of the Parties (COP26), setting out the government’s vision for transitioning to a net zero economy. The government acknowledges the Committee on Climate Change's clear message that further action is required in embedding a climate change strategy across government policy. In the sector-specific section, the government notes its progress in reducing emissions across the key sectors identified in the Clean Growth Strategy.

How reforming the Green Book could help achieve net-zero

The Institute of Civil Engineers (ICE) opened a consultationon 15 October 2020 seeking expert views on how they can reform the Green Book to best aid policymakers and respond to the need to lower carbon emissions. More specifically, it asks if the Green Book’s Five Case Model should be expanded to six, to respond to the urgent 2050 net-zero target given infrastructure's key role in accelerating the UK economy and creating better outcomes for society and the environment. The consultation closed on 9 November 2020.

The environment
NCC's Final Response to the government's 25 Year Environment Plan Progress Report	The Department for Environment, Food and Rural Affairs (DEFR) has published the Final response to the second 25 Year Environment Plan (25 YEP) Progress Report (26 October 2020) which sets out the National Capital Committee (NCC)'s alternative natural capital asset-based framework for assessing progress against the 25 YEP as first explained in the NCC's interim report of July 2020. The report "shows how to apply this framework to independently scrutinise progress, laying the foundation for the Office for Environmental Protection to undertake this role from 2021". The NCC’s overall assessment of progress against the 25 YEP, across seven natural assets, highlights that "the government is not on course to achieve its objective to improve the environment within a generation". None of the seven natural assets are rated as improving, and a number of assets, namely freshwater, biota, soils and land, are assessed overall as declining. The next generation will, as a consequence, "inherit a poorer set of natural assets". The NCC has made several recommendations specific to the seven natural assets. It also recommends that the Treasury should ensure proper funding of the baseline assessment at the next Spending Review and a robust development of a natural capital baseline. Additionally, the NCC advises the expansion of the Office for Environmental Protection’s remit in the Environment Bill to require the government to consider and respond to its advice on Environmental Improvement Plans and targets.
Creating the Nature Recovery Network	Defra and Natural England have published a policy paper on the Nature Recovery Network (NRN) (21 October 2020) which sets out how they will work with partners to create a national NRN, what the NRN will achieve, the roles of the delivery partnership and management group, and how to become a partner. The NRN is a major commitment in the government's 25 YEP and will assist in dealing with the challenges of biodiversity loss, climate change and wellbeing.
Energy performance in the EU Net zero	On 14 October 2020, the European Commission published A Renovation Wave for Europe, greening our buildings, creating jobs, improving lives. Acknowledging that most of Europe's existing buildings are not energy-efficient and that COVID-19 has highlighted the importance of buildings as a focal point for our daily lives, the report focuses on renovation as a "unique opportunity to rethink, redesign and modernise our buildings to make them fit for a greener and digital society and sustain economic recovery". The report sets out a strategy to trigger a Renovation Wave initiative to double Europe’s renovation rate in the next 10 years and contribute to making the continent carbon neutral by 2050. It includes: updating energy performance certificates; extending energy audit requirements; making mandatory minimum energy performance standards for existing buildings; and extending building renovation requirements for the public sector. The expectation is that the strategy will double the annual energy renovation rate of residential and non-residential buildings by 2030. (See also Renovation Wave: doubling the renovation rate to cut emissions, boost recovery and reduce energy poverty.)

Modern Slavery
Local Authority Pathway pilots	On 29 October 2020, the Home Office published a report, Evaluation of the modern slavery Local Authority Pathway pilot which took place across the following local authorities: Birmingham; Derby; Croydon; Leeds; Nottingham; and Redbridge. This report aimed to identify best practice in supporting victims when transitioning from the support provided by the National Referral Mechanism (NRM) and help victims best utilise services provided by the local authority. The Home Office's recommendations are based on the victims' needs and the relevant local authority infrastructure. On 19 October 2020, the government published the UK Annual Report on Modern Slavery 2020, detailing the measures taken to combat modern slavery over the past year under the headings: pursue, prevent, protect victim identification and support, the international response to modern slavery, and upstream prevention. The report highlighted an increase in active investigations, convictions and campaigns to improve awareness of human trafficking showing that modern slavery is high on the government list of priorities. The government plans to increase the obligation to report on human trafficking in the public sector, recognising that companies can facilitate modern slavery without even realising and reporting helps to prevent this. However, the timescale has not yet been made clear. On 15 October 2020, Ambassador Neil Bush delivered a speech at the Organisation for Security and Co-Operation in Europe (OSCE) Permanent Council on human trafficking and the recent Alliance conference. He highlighted the increased number in modern slavery convictions (50% more than last year) as more victims come forward. However, he appreciates that there is more to be done to ensure prosecution and conviction for human trafficking offences. He then touched upon different areas that will be used over the next year to secure more human trafficking convictions and stop this practice, such as supporting victims, ethical sourcing, tackling misuse of technology, and encouraging OSCE states to sign up to the Modern Slavery Call to Action.

Modern Slavery

Local Authority Pathway pilots

On 29 October 2020, the Home Office published a report, Evaluation of the modern slavery Local Authority Pathway pilot which took place across the following local authorities: Birmingham; Derby; Croydon; Leeds; Nottingham; and Redbridge. This report aimed to identify best practice in supporting victims when transitioning from the support provided by the National Referral Mechanism (NRM) and help victims best utilise services provided by the local authority. The Home Office's recommendations are based on the victims' needs and the relevant local authority infrastructure.

On 19 October 2020, the government published the UK Annual Report on Modern Slavery 2020, detailing the measures taken to combat modern slavery over the past year under the headings: pursue, prevent, protect victim identification and support, the international response to modern slavery, and upstream prevention. The report highlighted an increase in active investigations, convictions and campaigns to improve awareness of human trafficking showing that modern slavery is high on the government list of priorities. The government plans to increase the obligation to report on human trafficking in the public sector, recognising that companies can facilitate modern slavery without even realising and reporting helps to prevent this. However, the timescale has not yet been made clear.

On 15 October 2020, Ambassador Neil Bush delivered a speech at the Organisation for Security and Co-Operation in Europe (OSCE) Permanent Council on human trafficking and the recent Alliance conference. He highlighted the increased number in modern slavery convictions (50% more than last year) as more victims come forward. However, he appreciates that there is more to be done to ensure prosecution and conviction for human trafficking offences. He then touched upon different areas that will be used over the next year to secure more human trafficking convictions and stop this practice, such as supporting victims, ethical sourcing, tackling misuse of technology, and encouraging OSCE states to sign up to the Modern Slavery Call to Action.

To access the original version of this update as published in Construction Law magazine's "State of Play" table, number 255 on 1 December 2020, click here. You can subscribe to Construction Law's newsletter here.