Modular frameworks create a monumental opportunity for UK public sector construction

The NHS Shared Business Services (NHS SBS) framework agreement, Modular Buildings 3, allows public sector organisations to access a verified list of modular construction suppliers quickly and easily. A far-reaching framework spanning healthcare, education and housing, it further cements modular’s place as a necessary and critical enabler of public sector infrastructure projects.

Modular, or offsite, construction helps organisations meet infrastructure and sustainability goals, offering speed, safety, flexibility and value for money, while still delivering on performance and compliance. In particular, sectors that require fast delivery, such as education and healthcare, benefit from opting for modular solutions when planning construction projects. While the framework reinforces the benefits of modular for the healthcare sector in particular, to further realise its full potential, greater awareness around offsite construction methods across all public sector infrastructure should be prioritised. In particular, this should focus on removing external barriers, for instance procurement hold ups, a lack of pipeline visibility and the ongoing skills gap in order to support sector delivery.

The NHS SBS framework is a positive step towards addressing some of these issues, speed, in particular. By offering clients rapid access to a list of pre-qualified suppliers with proven expertise, procurement bottlenecks will be eased, the tendering process will be simplified, and projects will be streamlined from initial tender through to design and delivery. The framework ensures necessary due diligence and credit checks are complete at an early stage and validates the expertise of every supplier on the list, saving contracting authorities the administration of researching for themselves. With competitive tenders across all sectors being known for having often laborious steps and process, any attempts to streamline the process is a positive step.

Sustainability is also a key push. With many public sector organisations struggling to meet decarbonisation and Net Zero goals, continuing to raise awareness around the role modular can play is boosting compliance and sustainability, is vital. Enabling the smoother adoption of modular solutions for public sector projects will have an inherent knock-on positive effect in raising environmental credentials across the sector as a whole. In particular, the circularity afforded by rental solutions, where modules can be repurposed time and time and again, not only makes them sustainable, but also offers organisations flexibility, as the modules can be continuously redeployed in order to meet changing needs.

The framework has been designed to cater to a range of project needs, encompassing permanent, semi-permanent and temporary modular solutions. This distinction impacts funding and financing approaches, which is where rental options for supporting infrastructure can come in useful. Particularly beneficial for NHS Trust, leasing models for modular buildings, allow Operational Expenditure (OpEx) budgets to be capitalised on through monthly payments, which reduce upfront costs and contribute towards the cost effectiveness of modular building projects. Better utilisation of OpEx budgets also allows precious Capital Expenditure to be diverted to other projects, such as wider estate repairs or sustainability improvements.

While the framework itself will support the further adoption of offsite solutions by making them an easier choice, manufacturers and suppliers have a duty to better promote the benefits too. Case studies play a vital role in reinforcing green credentials, as well as the widespread sharing of sustainability performance data so that modular becomes synonymous with environmentally conscious construction.

Terminology is also crucial in reframing the wider view of modular construction. Even the term Modern Methods of Construction (MMC) can be misleading. MMC has actually been around for over 70 years, with proven success, so it’s not as new as the word ‘modern’ would imply. Adopting a wider use of an alternative term, such as ‘industrialised construction’, or encouraging the wider use of ‘offsite’ in common construction conversation, could help to reduce misunderstanding. Combined with strategic client partnerships a small change in terminology could go a long way in amplifying the role of MMC.

Although the framework’s creation is a huge milestone for MMC, suppliers still face some challenges, particularly around visibility. They don’t always see a project’s full pipeline and are often one step removed from crucial decision making, so remaining agile and being able to scale projects accordingly is key. Bringing modular suppliers and manufacturers into the project planning process at the earliest possible stage will allow for smoother delivery and provide opportunities for public sector bodies to better harness expertise, potentially highlighting creative solutions which may not have been considered at the start.

While the delivery of modular projects is of course crucial, the sector suffers from similar issues around the skills gap and an ageing workforce as construction more widely. Addressing these requires consistent advocacy and investment in training and upskilling, particularly around apprenticeships. Investing in people must be a continual and focused strategy. From regular engagement with local colleges and other education providers, to prioritising the development of top-tier apprenticeship schemes and upskilling programmes, the sector must remain focused on producing the next generation of modular experts to support an ever-increasing awareness of offsite solutions.

For organisations looking to maximise the benefits of the new framework, early engagement is key, as well as collaboration, communication and alignment across procurement teams, suppliers and end users. This will ensure solutions that don’t just cater for the technical specifications, but for their final applications too. On top of this, continued government support through funding and regulatory certainty will prove essential to the framework’s success moving forward.

Sian Lewis

The NHS SBS Modular Buildings 3 framework continues to successfully allow public sector organisations to more easily access modular solutions, placing it at the heart of critical infrastructure projects and offering opportunities to speed up delivery. While some challenges remain for both the modular and wider construction industry, this intensified focus is welcome and a positive step forward, particularly for the UK’s vital healthcare sector.

Article submitted by, Sian Lewis, the Business Development Manager of offsite manufacturer, Premier Modular.

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