The credit crunch affecting the housebuilding sector appears to have struck an unlikely victim - the government's zero-carbon homes initiative. It was dealt a body blow when a further two bidders walked away from English Partnership's flagship carbon challenge project in Peterborough. Now the initial shortlist of six has fallen to three.
Homes on the site were to be built to code level six - the highest standard, and one that is rarely achieved in practice. But it is a goal the government is aspiring to, and one that it clearly wanted to see achieved across a multitude of new developments.
The credit crunch, though, has changed things almost overnight. Homebuyers are unlikely to want to part with additional cash just to have a greener home - and housebuilders are unlikely to be willing to spend extra time and money building houses they can't sell for a premium. While Part L revisions later this year will make code level four mandatory, it's unlikely anyone will want to go any further than that.
Yes, there are good environmental reasons for aiming for code level six homes, but with buyers and bankers already being ultra-cautious with cash, that sort of reasoning is soon forgotten.
Cash - and cashflow - are clearly king. And when times are tough, the things that people regard as 'nice to have' often face the axe. Training has borne the brunt in the past, but today, sustainability could be one of the easiest targets.
Striving to meet ever-higher green targets, paying more for greener products, working in a sustainable manner - all clearly have long-term benefits. But will all the work on green construction simply be forgotten when accounts start going into the red?
The Contract Journal Construction Industry Awards launch this week, and we're seeking entries from throughout the construction industry. Whatever size of contracting business you run, or whatever part of the sector you work in, there's a category to suit you. And we've made them quicker and easier to enter too, so visit www.cjawards.com for more details. Good luck.
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