Whitehall鈥檚 first chief construction adviser says public spending cuts would wreck the green agenda

The ability of the construction industry to develop low-carbon technologies will be undermined if the next government cuts public spending on building projects, the new chief construction adviser has warned.

Paul Morrell, the former senior partner of Davis Langdon, was speaking after being confirmed in the role on Monday. He beat off competition from seven shortlisted candidates to secure the 拢120,000 a year post.

Morrell鈥檚 task will be to act as a liaison between the industry and government, to advise Whitehall on formulating policy and to help the industry to carry it out.

He stressed that it was 鈥渘ot his role to direct policy鈥�, but added that he believed the government was fully aware of the importance of public investment on its other goals, such as sustainability. 鈥淭he UK鈥檚 ability to respond to things like the carbon agenda will go if firms don鈥檛 have the fuel of turnover. It would surprise me if there was anyone sitting in the Treasury now saying how can we cut this spending, without realising the dramatic impact it would have.鈥�

Morrell, who was giving his first full interview since taking up the post, predicted he would devote 鈥渕ore like seven days a week鈥� to the role, rather than the three he is paid for. He said: 鈥淢y position鈥檚 quite clear: I want to do a productive job. The day anyone thinks I鈥檓 not, I鈥檒l be out of the door. I鈥檓 not doing it for a living.鈥�

I want to do a productive job. The day anyone thinks I鈥檓 not, I鈥檒l be out of the door

Morrell said his 鈥渋mmediate priority鈥� would be working out how construction could help the UK meet its carbon reduction commitments. He said: 鈥淐arbon is a huge challenge, and I don鈥檛 think any of us have come together yet on that front. We鈥檙e going to need to start counting carbon as rigorously as we count money, and accepting that a building is not of value if the pound signs look okay, but the carbon count does not.鈥�

He said that the opportunities for the building industry in the area were 鈥渆normous鈥�. He said: 鈥淪aying that buildings generate 40% of carbon can make them sound like Godzilla creatures stalking the earth and doing bad things to us. The reality is that that鈥檚 the case because the home or workplace is often where we are when we鈥檙e expending energy. But it means the potential for the industry to contribute to the reduction target is enormous.鈥�

The problem, he said, was that the industry as a whole still needed to be pointed in the direction of these opportunities. 鈥淭he biggest problem so far is that the market isn鈥檛 responding. It wouldn鈥檛 be profound to say you needed to use a combination of market regulation and fiscal incentive.鈥�

One of Morrell鈥檚 first jobs as construction adviser will be to chair the Construction Innovation and Growth team, which is focused on the industry鈥檚 contribution to the carbon cutting agenda. This is expected to have its first meeting next month. He said he hoped the taskforce would produce a 鈥渞oadmap鈥� by next March.

Morrell said his other priority was to extract more value for money for the taxpayer from construction projects. He said:

If the government wants smarter answers from the industry, it has to ask smarter questions

鈥淚t has to be right to get more out of every pound. So there needs to be a continuing improvement agenda.鈥�

He said he would direct this through the Office of Government Commerce鈥檚 construction strategy board (formerly the public sector construction clients forum), which he will chair. He identified government leadership, waste in procurement and productive working environments as areas for improvement.

He said: 鈥淲hat I want to encourage [from government] is that if you want smarter answers from the industry, you have to ask smarter questions.鈥�

However, Morrell warned the industry that if it wanted the government to listen to it 鈥渢here鈥檚 no use going to it with a begging bowl. It will only work if the industry says, 鈥楪ive me this, and I will do this for you鈥欌��.

He also underlined that the sector needed to speak with a 鈥渟ingle voice鈥� if it were to influence policy, and said that the RICS鈥� decision to pull out of the Construction Industry Council, if it proves permanent, would be 鈥渁 massive shame鈥�. He contrasted that with the recent consolidation of lobbying power in the CBI鈥檚 construction council.

He said: 鈥淚 will ask them not to do it. The path that has access to government is that which comes forward clearly and cohesively. I can鈥檛 remember how many organisations there are in the CIC, but the government, and certainly me personally, can鈥檛 listen to all of them individually.鈥�

What the industry thinks

Paul Morrell OBE, FRIBA, FRICS, former senior partner in Davis Langdon, former deputy chair of Cabe, founder member of the British Council for Offices, board member of the Royal Shakespeare Company, sailing, opera and contemporary dance enthusiast, is facing what looks like his toughest job yet: acting as the link between the fragmented, fractious world of Whitehall and the equally fragmented and fractious world of construction鈥檚 trade and lobbying bodies. But what does that actually involve? Here鈥檚 what his peers in the industry think he should concentrate on.
Matt Bell, director of campaigns and education at Cabe

One top priority must be public sector client skills. Without a plan to address this challenge, the rising quality of public building is at risk.
Rosemary Beales, national director of CECA 

We hope the appointment of Mr Morrell will provide momentum toward long-term planning for investment in infrastructure.
Keith Clarke, chairman of the Construction Industry Council

This is a tremendous appointment and it comes at a crucial time. We鈥檙e facing multiple challenges in the transition to a low-carbon economy and the engineering and construction sectors must play a fundamental role. It鈥檚 therefore vital we have a roadmap for success.
John McDonough, chairman of the CBI Construction Council

We look forward to working with the adviser on the government鈥檚 infrastructure investment programme in relation to the UK economy, the sustainability and carbon reduction targets, and training and employment.

The CCA How the role will work

Morrell will be paid 拢120,000 a year for a three-day-a-week role, although he expects to be working 鈥渕ore like seven鈥�. He will work for two government bodies, the Department for Business, Innovation and Skills (BIS) and the Treasury. He will report directly to the director-general of the BIS and to Nigel Smith, the head of the Office of Government Commerce team in the Treasury.

For administrative reasons, Morrell will be technically employed by the Construction Industry Council, but will be on secondment to government for the full duration of his employment. His initial appointment is for two years.

The post was created as the result of an all-party report by MPs, and it is understood that the Conservatives have privately given assurance that they have no plans to scrap the role if they come to power in the next election.

Morrell has resigned from his role as a consultant to Davis Langdon to avoid conflicts of interest.

Postscript

Go to for a video interview with Paul Morrell.

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