A strategic review of the offsite construction sector in Scotland.

The offsite construction sector covers a wide spectrum of companies and supply chains across Scotland. This study primarily involved a review of the offsite construction sector for homes and buildings. The following key points have been extracted for this summary report: A significant proportion of companies interviewed have entered the offsite sector during the last 12 years. The current value of manufacturing undertaken by this sector (from the companies interviewed) is £125 to 130 million. Within the next five years the offsite manufacturing sector is anticipated to grow (without additional manufacturing facilities) to £220 to 240 million. Exports via direct supply, license and joint ventures are anticipated to grow, from less than £5 million (current), to over £50 million. If the market demand was to increase, even without additional new premises, this would lead to an increase in 500+ jobs in the offsite manufacturing sector. The majority of offsite construction currently supplied is for the private and public housing market. The output from offsite construction in 2011/12 due to the economic downturn is currently 6,000 houses / apartments. If market demand was to increase, with no additional new manufacturing premises and by increasing shift patterns within current facilities, there is an annual offsite output from Scottish offsite manufacturing facilities of 16,500 houses/ apartments. 25% of the current market is for the non-domestic market. A number of drivers and opportunities were identified by the companies interviewed. Three future key government incentives to support the growth of offsite sector in Scotland would be: recognition in the public procurement process of the positive impact that offsite construction provides in better quality, reduced waste, less emissions from site vehicles and transport and less remedial works. Inclusion of offsite construction within the Section 7 (Sustainability) of the Buildings Standards (Scotland). Establishment of an offsite training academy which would support skills training for offsite to deliver sector growth, quality and building performance.