Hot Topics Flashcards
What’s the latest RICS doc for PI requirements
UK professional indemnity insurance requirements version 9 April 2022
What was the main change in the version 9 2022 UK PI insurance requirements
There is no maximum uninsured excess for large companies with a turnover of over £10m
Whats the maximum uninsured excess for companies with a turnover of less than £10m
Greater of £10k or 2.5% of insured sum
What’s the futures report
Futures report was launched in 2015 and highlighted key trends in the property and construction industries
When was the futures report updated and what did it outline
2020
Construction is estimated to waste 95% of its data. RICS is setting up a hub to provide expertise on how it can be put to good use.
The amount of urban land has doubled since 2000 and the RICS encourages members to adopt a more sustainable approach
Developing courses on how to use drones
What’s the Levitt Report
RICS had to extend its overdraft facility due to inaccurate cashflow forecasting.
The levitt report was Commissioned by the RICS Following a treasury management audit in 2018
The conclusion of the report alluded to an internal power struggle due to its two board structure made up of management and executive board
Are you aware of some of the aims highlighted in the RICS business plan
As a result of the levitt report the RICS agree to:
Be more open and transparent with member and the public about how the institution is run
Developing more effective whistle blowing measures
Aims to prevent the need for outside funding
What steps would you take in the event of main contractor insolvency
Securing the site and any off site materials
Exercise any relevant clauses in the contract (I.e. notice to terminate)
Call in bonds that may be due
Explore step in rights
Prepare a notional final account
Prepare and issue a statement of valuation highlighting current progress
Make a schedule of works to complete
Ensure the works are insured
Undertake steps for re commencing the works
What guidance note would you refer to in case of main contractor insolvency
Termination of contract, corporate recovery and insolvency
What key challenges does the global economic recession present
Rising inflation rates result in the Bank of England increasing the base interest rate causing increase to borrowing costs
Increased energy and labour costs
More working from home reduces demand for office spaces which are now being converted to residential
What’s the affect of Russia/ Ukraine
Significant energy price increases due to reliance due to Europe’s high dependency on Russian gas and oil
It’s intensified an already turbulent market caused by brexit, covid, and rising energy prices.
Delay due to material shortage
What are come of the key materials you’ve seen subject to inflation as a result of Russia/ Ukraine and the increased energy prices
Steel
Bricks
Plastics
Ceramics
How has Brexit affected the industry
Less and more expensive labour due to the Supply of labour being more restricted
Less and more expensive material prices due to additional boarder checks and admin
What’s the latest RICS business plan
2021-2022
What does COP stand for
Conference of the Parties
What is COP (conference of the parties)
A yearly conference where member countries come together to discuss progress and put in place future initiatives to tackle climate change
How does COP relate to the Paris Agreement
At the 2015 COP 21 meeting in Paris the Paris Agreement was formed
What is the Paris Agreement
It’s aim is to strengthen global response to climate change by preventing global temperatures rising more than 2 degrees above above pre-industrial levels (targeting 1.5 degrees)
Please explain your understanding of what happened at COP27
Took place in Egypt in 2022.
Egypt highlighted the countries most effected by loss and damage of extreme weather
A new loss and damage fund was agreed where richer countries that have still not delivered on previously agreed targets will be required to provide 100billion per year to the countries most in need.
What did many leaders see as a failure with COP27 in 2022
Key targets such as ensuring carbon emissions peak before 2025 and the phase down of fossil fuels didn’t form part of the agreed text
What was the latest COP meeting and what year
COP27 in 2022
Are you aware of any impending changes to minimum energy efficiency standards
Yes the government has recently proposed changes to the EPC requirements for commercial and buy to let property due to take effect from 2025
What’s the current minimum required energy efficiency rating for domestic rental properties and what’s it excepted to increase to
Currently E
Proposed C from 2025
Explain your understanding of green mortgages
A mortgage that rewards someone for buying or owning an energy efficient home
What is ICMS 3
Stands for International Cost Management Standard which provides a framework for cost and carbon management in construction from concept to completion.
Who contributed to preparing ICMS 3 (international cost measurement standard)
RICS and 48 other global organisations
What’s meant by embodied carbon
Refers to the carbon emissions generated throughout the life cycle
It’s includes the carbon emissions release from the extraction of raw material, manufacturing, transportation, installation, maintenance and disposal of building materials.
Prior to working with a new client what pre appointment checks would you undertake
Ensure I’m competent to carry out the role
Check for conflicts of interest
Carry out anti money laundry checks
Ensure the firm has sufficient PI to cover the value of instruction
Formalise engagement in a written terms of engagement
When setting up a new practice what procedures would you put in place to ensure good client care was being provided
Processes for clear communication
Set up procedures for obtaining regular feedback
Report to client using agreed and consistently formatted documentation
As a firm owner, On receipt of a formal complaint for a client in writing what would you do
Arrange a call with the client to notify them you have received the complain and are working to rectify the issues
Issue the client a copy of my firms complaints handling procedure for reference
Report the complaints to a senior person in the firm or designated complaints handler
Notify my firms PI insurers
Arrange a feedback meeting with the client and address areas of concern
If I am unable to resolve the complaint it would need to be referred to the RICS.
What’s a duty of care
A duty of care is to ensure that another party does not suffer harm or loss as a result of a breach of contractual obligations or tort of negligence
What’s the difference between a client and customer
Customers are an individual who is purchasing goods and services as a one time transaction
Clients are usually longer term customers.
What are the 6 principals of the bribery act
Proportionality - procedures to prevent must be proportionate to the bribery risks
Top level commitment - commitment to prevent bribery
Risk assessment - asses exposure to potentially risks of bribery
Due diligence - carry out check on individuals who will perform services on behalf of the organisation
Communication - ensure prevention measures a clearly communicated
Monitoring and Review - organisation should monitor and review procedures designed to prevent bribery
What are the 4 main offences under the bribery act
Offering a bribe
Accepting a bribe
Bribing a public official
Failure by a commercial organisation to prevent bribery
What is the whole life carbon assessment and what does it allow professional to do.
It provides consistent and accurate carbon measurement for all buildings and infrastructure throughout their life cycle.
It allows professionals to make decisions to limit the whole life carbon impact of buildings and infrastructure
What three carbons does the WLCA 2nd edition measure
Embodied
Operational
User carbon emissions
What is the main update in the 2nd editions of the WLCA
It now covers all buildings and infrastructure thought the built environment life cycle
The WLCA 2nd edition encourages long term thinking through what principals
Reuse
Recycling
Redevelopment
As per the WLCA what are the stages in the life cycle of a built asset
Production
Construction
Operation
End of Life
Beyond Asset life
What actions are assessed during end of life as per WLCA
Deconstruction
Waste processing
Disposal
What actions are assessed beyond asset life as per Whole life carbon assessment
Potential for:
Reuse
Recycling
Energy recovery
What actions are assessed during operation as per WLCA
Use
Maintenance
Repair
Renewal
What actions are assessed during construction as per WLCA
Transportation
Assembly
Installation
What actions are assessed during production as per WLCA
Raw material extraction
Manufacturing
Transportation
When was the Whole life carbon assessment for the build environment 2nd edition released and when does it become effective
September 2023
July 2024
As a member, how would you deal with a complaint
Our complaint handling procedure complies with the RICS Complaints Handling Professional Standard and forms 2 stages
Stage 1:
The complain is raised with a board director and the provide an initial response within 7 days.
The full response is provided in 21 days.
Stage 2:
If the response is not satisfactory referred to the ombudsman service.
What’s an ombudsman
Someone who is appointed to look into complaints about companies and organisations
When and where is the next COP
Dubai
November/ December 2023
Does embodied carbon include operational carbon emissions (i.e emissions as a result of operating the building
No
Where would you look to obtain guidance on how to deal with the effects of BREXIT
RICS Guidance notes on brexit
Who attends the COP
The countries that signed the United Nations framework convention on climate change
What is the RICS guidance on grenfell
Cladding for surveyors guidance note
What is ACM cladding
Aluminium composite material
Two skins of aluminium bonded to either side of a lightweight core of materials
What materials have been banned following grenfell
Combustible materials on buildings above 18m or 7 storeys
What needs to be undertaken if an existing building has combustible cladding
Council needs to remediate and replace
What does EWS1 stand for
External wall system fire review cert
What’s the purpose of an EWS1
Provides a way of mortgage lenders to assess the external wall safety of buildings over 18m
What are the potential penalties for bribery
Prison up to 10 years
Fine (unlimited)
Cons of BIM
Requires Training and staff
Expensive modelling software
Incompatibility with partners who don’t use it
Pros of BIM
Clash detection allows you to see potential problems before the physical error is done
Improved collaboration
Enhanced visualisation of the project
Better control of costs
What should RICS members do in relation to bribery and corruption
Not offer or accept anything that constitutes as a bribe
Ensure they have adequate knowledge
Report any activity they are aware of which breaches bribery and corruption laws
What’s meant by carbon neutral
To have a balance between the carbon emitted and the carbon absorbed by natural environment (forest, ocean)
What sustainable initiatives are you aware of that are implemented by the RICS
SKA rating - encourage green codes of practice for commercial properties
Value the planet campaign - committed to forming a climate change expert panel to implements the UN’s sustainable goals
What do you do to promote sustainability
Print only when necessary
Recycle
Travel to sites via public transport instead of driving
What’s the current Bank of England base interest rate
5.25%
What’s the current Bank of England base interest rate
5.25%
Who does the bribery act apply to
All UK companies (including if they are working in another country)
Under the bribery act, under what circumstances is a facilitation payment permitted
Olof you are under duress I.e. there is a real risk of danger to life or health
What’s the current minimum EPC rating for landlords
E but changing to C in 2025
What’s the range of EPC ratings
A - G
Who undertakes EPC ratings
An accredited energy assessor
