Benefit of using ‘hub’ leads to 78% surge in construction projects

The value of projects under construction delivered through the Scotland-wide hub programme has leapt 78% in the past six months.

Latest statistics published on Monday 15 June 2015 by the Scottish Futures Trust (SFT) which manages the hub programme, shows the value of community buildings being built by the five hub companies (hubCos) for public sector organisations has risen from £342m at the start of 2015 to £610m by June 2015.

This construction is supporting over 7,300 jobs across various industry sectors and illustrates how hub has quickly become the public sector’s development and delivery partner of choice to build or refurbish local, community-based projects.

An overview of the number of projects under construction and their sectors is listed below:

David MacDonald, hub Programme Director at SFT, explained: “The hub programme is an innovative approach to develop and deliver best-value community facilities which provides public bodies with a quick and efficient way of getting their projects into construction.

“The benefit of using hub as the preferred delivery partner is reflected in the huge increase in projects under construction.  With 78% of hub construction contracts being awarded to SMEs, many thousands of local jobs are being protected.

“We see this momentum continuing as there’s well over £900m of community projects still in the early stages of development which are due to start on site in the next 12 to 24 months through our ever-growing pipeline of work.”

Mike Burrows, Director or Fleming Buildings Limited, based in Lenzie, Glasgow said: “Being an SME, the opportunities available through hubCo has given long-term security to our existing workforce and has enabled us invest in apprenticeships and provide new employment opportunities.

“At the same time, it has given us a platform to deliver community benefits through collaborating with the local schools & colleges.”

John Moore, Construction Director for Border Construction, stated:  “As an SME based in the Scottish Borders, we’re proud to be part of these hub projects. Our involvement in a joint venture with hub’s Tier 1 Contractor, Morrison Construction, is helping sustain local employment and local spend, which benefits the communities we work and live in.”

Gary Bushnell, Chief Executive, hub East Central Scotland, said: “We have made considerable progress in delivering value for money infrastructure projects for communities across the region.  In the last year, we have more than doubled the number of projects that have reached financial close to 15 and have a total of 42 projects, valued at over £500 million, in various stages of development

“Our team continues to work closely with participant organisations to ensure that every project is delivered to the highest quality, meeting the needs of the community and achieving best value.”