The LGA, in collaboration with NACF, hosted the Annual Construction Conference, a two-day virtual event.
The second day, held on 13 February 2025, featured sessions on Social Value, Highways and Modern Slavery in Construction and Sustainable procurement. The event was chaired by John Simons, Group Procurement Director at Scape.
Below is a summary of each session, followed by key questions addressed by the panel.
The Future of Social Value - Alison Ramsay, Social Value and Performance Manager, Scape joined by Mike Little, Head of Social Value, Morgan Sindall
Scape Group, a public sector organisation established in 2006 by six local authorities, provides efficient market routes for built environment services. Its frameworks cover construction, consultancy, civil engineering, and utilities, with regional construction focused on the Midlands and East Anglia, while others operate UK-wide.
The session explored the future of social value in construction contracts, assessing progress and future direction. Scape’s delivery partners use the Social Value TOM system to measure social value, tracking activities such as school engagement, training, apprenticeships, and local business support. Partnering with Social Value Portal, Scape produces an annual benchmarking report on social value in the built environment, identifying trends and industry progress.
An increasing range of social value measures suggests a growing focus on maximising public sector investment, improving reporting, and enhancing community engagement. Data indicates a further rise in social value delivery for 2024 projects, with local job and business support recognised as vital for reducing transport emissions and strengthening supply chains.
With rising environmental concerns, more projects are expected to report outcomes on sustainability, especially in regions aiming for net zero within 10–15 years. However, these forecasts do not account for the impact of the Procurement Act 2023. While the Act does not explicitly mention social value, it prioritises public benefit, transparency, and fair competition, benefiting SMEs and encouraging sustainable practices. It promotes timely payments, supplier diversity, and environmental accountability, supporting innovation and long-term industry resilience.
Morgan Sindall’s vision is to become the most sought-after and sustainable business in its industry. Its purpose is to create inspiring places that enhance the communities in which it operates—places where people live, learn, work, play, care, and protect. This vision and purpose are reflected in its core values: prioritising the customer, acting responsibly, consistently achieving results, attracting talented individuals, challenging the status quo, and embracing a decentralised philosophy.
As a national company structured into regional businesses, Morgan Sindall upholds a shared vision, values, and purpose across all regions. However, regional leaders are granted the flexibility to tailor their approach to best serve customers and meet the specific needs of local people and businesses. This regional expertise and connection to local resources enable a deeper understanding of and response to community needs.
The company encourages its staff to engage in meaningful conversations with customers, recognising that numbers, facts, and figures alone do not capture the full picture. There is an increasing focus on considering the well-being of both the workforce and the communities in which the company operates. Morgan Sindall is exploring ways to track, measure, and understand these factors to enhance overall impact.
More broadly, the industry is shifting towards addressing the implications of the low-carbon transition. Questions arise regarding the future of skilled workers in industries such as steel production and blast furnaces—how they will be supported and reskilled to ensure they are not left behind as the transition to a low-carbon society progresses. This concept forms the essence of the transition.
Making a difference through highways - Lucy Cox, Framework Manager Medium Schemes and Professional Services, Midlands Highway Alliance Plus
The Midlands Highways Alliance Plus (MHA) was formed in 2020 as a self-funding partnership committed to driving excellence in the delivery of highways projects through collaborative working with its member authorities. It was established through the merger of the Midlands Highways Alliance, the Midlands Service Improvement Groups, and the West Midlands Highways Alliance. Currently, MHA has approximately 35 member authorities and generates savings through collaborative procurement of frameworks.
MHA offers free shared and online training opportunities for its members and also hosts in-person training sessions, including the New Engineering Contract (NEC) Project Manager Accreditation course.
The organisation operates a medium schemes framework, its primary construction framework, valued at approximately £1 billion, which commenced in 2022. Additionally, its professional services framework was launched in 2023. A key benefit of these frameworks is the rigorous procurement process that all suppliers undergo in compliance with public procurement regulations.
MHA places significant emphasis on its thematic working groups, which include a digital working group, a carbon steering group, and a social value working group. The primary focus is on the social value working group, which has been embedded within MHA since 2007. The organisation is now implementing a more aligned approach across both frameworks to enhance future operations. While social value has previously been measured through various means, the new process aims to be more strategically structured.
The social value framework encompasses employability initiatives, young adult workshops, and school engagement. It is designed to offer clients, suppliers, and contractors flexible options for project-specific delivery while also providing a comprehensive view of long-term outcomes, aligning with the principles outlined in the Procurement Act. One of the key ways social value is measured, particularly within the medium schemes framework, is through the Employment Skills Plan, which is a mandatory requirement for all contractors on every project.
A notable example of MHA’s work is the Wolverhampton City Centre Public Realm Scheme. The project's objective was to create a safer and more accessible city centre by realigning roads and increasing pedestrianised routes. The established metrics were utilised to assess the project's performance, with a strong emphasis on working alongside the local authority to achieve social value outcomes that would benefit the Wolverhampton community.
Carbon Reduction in construction - Mike Raven, Principal Project manager, East Riding of Yorkshire Council
East Riding of Yorkshire Council is one of the largest industry authorities in the country, covering approximately 930 square miles. It is primarily rural, although it includes several market towns. A significant proportion of its funding, particularly in construction, is spent outside the county boundaries. The region has an ageing population, as younger residents often leave to attend university or seek more affordable housing, while older individuals tend to move in for retirement, increasing pressure on health and social care services.
Greenhouse gas emissions, primarily carbon, have continued to rise compared to 1990 levels. Even in recent years, annual comparisons indicate that these figures are not decreasing on a global scale. Within East Riding, there are significant challenges related to flooding and coastal erosion, with some coastal areas losing up to three metres of land per year. Despite substantial efforts by engineers to implement flood alleviation schemes, large parts of East Riding remain at risk of flooding. It is estimated that approximately 40% of emissions originate from the construction sector.
Research conducted by YORhub in collaboration with Leeds Beckett University identified key drivers for reducing carbon emissions in construction. The findings highlighted carbon literacy as the most effective measure for improving carbon performance. Other influential factors include motivation and incentives, such as bonus payments for achieving or exceeding carbon targets—an approach that, while potentially challenging, has proven effective. Procurement and integration also play a role, with suppliers being encouraged to sign up to the Carbon Reduction Code. Cost and profitability were found to be the least significant factor.
The Carbon Reduction Code, developed by the Cambridge Centre for Smart Infrastructure and Construction, aligns with key industry publications such as the Construction Playbook. It requires organisations across the industry to take responsibility for carbon accounting. Further commissioned research examined contractor behaviour and identified various key performance indicators (KPIs) for contractors to measure their performance. The research suggests that by tracking these KPIs, contractors can naturally improve their practices.
The evolving landscape of modern slavery risks in construction – Emma-Jane Allen, Lead Consultant, Modern Slavery & Sustainable Procurement, Action Sustainability
Emma - Jane Allen leads the Supply Chain Sustainability School’s Built Environment Against Slavery Group, the UK’s largest anti-slavery collaboration in the built environment sector.
Modern slavery involves the illegal exploitation of people through coercion, deception, or control, leaving victims trapped and unable to escape. An estimated 50 million people worldwide are enslaved, with 28 million in forced labour—an estimated 18% of whom are linked to construction. Vulnerable workers, particularly migrants with limited English, are at high risk, often unaware of their rights and easily deceived about wages, contracts, and employment conditions.
According to a survey by Achilles, 36 per cent of site workers in construction lack written terms of employment, and 35 per cent of companies fail to conduct right-to-work checks, increasing the risk of exploitation. A common myth is that modern slavery only affects illegal migrants, but vulnerability—not nationality—is what exploiters target. Low-paid, low-skilled roles in areas such as waste management, demolition, facilities management, and groundworks are all considered high risk, as is use of agency / temporary labour. Significant risks also exist in international material supply chains (steel, copper, electronics, timber, etc.),
A tsunami of global due diligence legislation will impact our international supply chains. The German Supply Chain Due Diligence Act, for example, imposes fines of up to 2 per cent of global turnover for failing to address slavery risks, impacting UK-based businesses operating internationally. Ethical responsibility aside, if there are victims of slavery working on our sites then this poses serious health and safety risks.
Combatting modern slavery requires more than compliance. Due diligence efforts—codes of conduct, audits, and supplier commitments—are essential but not foolproof. Organisations must focus on education, reporting mechanisms, and proactive interventions. Free resources, including those from the Supply Chain Sustainability School and the Local Government Association, offer guidance and support LGA modern slavery assurance guidance – construction
Q & As
Q. Are we seeing evidence now, a decade or so on, that social value is leaving a legacy?
A. To measure this, data needs to be captured—but while there is a strong desire for measurement, there is little agreement on which method to use. Without consistent reporting, it’s difficult to provide evidence. However, there is often resistance to quantifying social impact, particularly when it involves monetisation.
We can see clear examples of social value in certain areas, but assigning a single figure is challenging without a standardised approach. The impact on one individual can extend to their family, community, and overall well-being, making it difficult to quantify. Moving forward, we can highlight individual cases of social value being delivered, which are likely mirrored across the country. However, providing a single definitive value remains impossible due to the varied ways it is measured and recorded.
Q. Do you think the changes in the Procurement Act, particularly the focus on pre-market engagement, will help your organisation deliver greater and more targeted social value that addresses the specific needs of local communities?
A. We advocate for early contractor involvement because it allows for meaningful discussions with local authorities to understand their needs and explore how we can support them. The Procurement Act reinforces this approach, and I believe it will have a significant impact.
However, it’s equally important for local authorities to have a clear understanding of what they expect from contractors and consultants. Engaging in these conversations early—even before contracts are in place—can be highly beneficial. It provides insight into market trends, helping contractors and consultants align their investments with local priorities, while also giving local authorities a realistic view of what can be delivered.
Q. Do you believe there is more we can do to enhance carbon literacy training, ensuring people not only understand carbon itself but also the available tools to address carbon-related challenges?
A. The key issue is the breadth of learning. While organisations often have a dedicated carbon or environmental champion with strong knowledge, this expertise is not always effectively shared across the wider team. The goal isn’t for everyone to become a carbon expert, but to raise awareness of practical considerations—such as which low-carbon technologies to prioritise. Many organisations show interest, but beyond the key individuals, overall awareness can be limited.
Q. Are our current auditing practices sufficient? Do they provide comprehensive data to identify and address modern slavery and exploitation hotspots?
A. Audits are a significant topic of discussion. There is a concern that organisations may over-rely on audits, expecting them to provide comprehensive solutions, whereas audits typically capture conditions at a specific moment in time. Therefore, while audits can be useful tools, they can never provide assurance and may not always reveal underlying issues within the sector.