Hot Topics Flashcards
How has RICS given their view on Brexit?
Issued position statements stating the following:
- Encouragement of growth and diversity of construction workforce is required.
- Loss of EU funding streams could have impact on project directory. New funding mechanism required.
- Additional administrative work and checks are slowing down materials and labour supply.
- Material cost increases, such as steel, cement, plasterboard, plastic and labour.
Name some materials that have experienced price rises?
Steel, cement, plasterboard, plastic and labour.
What impacts has Brexit had on the construction industry?
- Movement of personnel restricted, leading to labour cost increases and reduction in labour availability.
- Movement of materials require additional checks and administrative work, leading to cost increases.
- Loss of EU funding streams.
- Encouraged use of British labour and materials.
What is COP?
Conference of the Parties. UN Climate Change Conference, most recent was COP27.
What is the Paris Agreement?
At the COP21 meeting, the Paris Agreement was formed. The parties agreed to pursue efforts to prevent temperatures rises more than 1.5C above pre-industrial levels to avoid the most dangerous impacts of global warming.
What RICS guidance was released following Grenfell?
Cladding for Surveyors 1st Edition March 2021 to support surveyors working on multi storey and occupancy residential buildings.
Removes need for external wall system checks on buildings of four storeys or below unless its ACM or other metal composite materials.
What is ACM cladding? How is it formed?
Aluminium composite material.
Two skins of aluminium bonded to either side of a lightweight core of polyethylene or a mineral core.
What is the significance of ACM cladding in relation to Grenfell?
ACM cladding was thought to contain combustible materials that contributed towards the spread of fire across the external
elevation of the building. The UK government has now banned the use of combustible materials on high rise homes from 29th November 2018, so they are not permitted on external walls of new buildings above 18m and local authorities need to undertake remediation works to replace dangerous ACM cladding on existing buildings.
What is an EWS1? When is it applicable?
External Wall System Fire Review Certificate. It is a re-mortgaging valuation tool where mortgage lenders can assess the external wall safety of buildings over 18m in height.
Applicable when a multi-storey residential property is brought, sold or re-mortgaged.
Why was the Fire Safety Act 2021 introduced? What buildings does it apply to?
First Safety Act was introduced in March 2020 and holds significant legal obligations of organisations deemed to be responsible persons. An update to the Fire Safety Order 2005.
Main focus is the amendment of the Fire Safety Order to clarify that it will apply to the structure and external walls as well as anything attached to external walls such as doors, windows and cladding. It forces owners, landlords and managing agents of multi-occupied residential buildings to take precautions to identify any dangerous cladding on those buildings and remediate any dangerous materials. Applies to all multi occupied residential buildings.
Identify the main offences of the bribery act?
Making a bribe, receiving a bribe, bribery of a foreign public official, failure of a corporate entity to prevent bribery on its behalf.
What are the Bribery Act six principles of prevention that companies should put in place?
- Proportionate Procedures.
- Top Level Commitment.
- Risk Assessments.
- Due Diligence.
- Communication.
- Monitoring and Review.
What is the Levitt Report and why was it commissioned?
Report commissioned by the RICS following a Treasury management audit in 2018. Prior to the Audit the RICS had to extend its overdraft facility by circa £3m due to inaccurate cashflow forecasting.
The treasury management audit offered a ‘no assurance verdict’ on RICS internal financial control procedures and following this the Levitt report was commissioned as an independent review. The conclusion of the Levitt report illuded to an internal power struggle due to its two board structure made up of a Management Board and Executive Board.
What were the Levitt report recommendations?
The RICS Governing Council are to have more oversight over internal dealings of the RICS.
The RICS Governing Council are to be briefed by the Management Board as opposed to a single CEO.
The RICS Governing Council are to oversee executive management bonuses.
The report called for greater transparency as the CEO could have involved the management board in order to rectify the treasury issues.
No evidence of improper or illegal conduct was discovered.
What does the RICS Covid 19 Recovery Business Plan incorporate?
Levitt recommendations
- more transparency with members and public about operations, decision making and finances.
- Developing effective whistleblowing arrangements.
- Reviewing arrangements for senior executive reward.
Immediate Financial Priorities
-Utilise any surplus cash to pay back furlough monies received through the government scheme.
- Reduce RICS need to access external financial support.
- Reduce any funding deficit in the closed Final Salary Pension Scheme.
