{"id":93080,"date":"2021-05-06T12:48:00","date_gmt":"2021-05-06T11:48:00","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=93080"},"modified":"2021-05-06T12:48:00","modified_gmt":"2021-05-06T11:48:00","slug":"pre-manufactured-value-calculations","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/pre-manufactured-value-calculations\/93080\/","title":{"rendered":"It\u2019s boom time for MMC \u2013 time to get involved"},"content":{"rendered":"<h2>John Skivington, group director of <a href=\"https:\/\/www.lhc.gov.uk\/\" target=\"_blank\" rel=\"noopener noreferrer\">LHC<\/a>, takes a look at the government\u2019s use of pre-manufactured value calculations for MMC projects<\/h2>\n<p>You will have read a lot about <a href=\"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/mmc-insight\/89574\/\" target=\"_blank\" rel=\"noopener noreferrer\">modern methods of construction<\/a> (MMC). You may have even investigated where you can incorporate it into your plans. But if you haven\u2019t introduced it to any of your projects yet, now\u2019s the time, thanks to a significant development in Government policy.<\/p>\n<p>As part of the Affordable Homes Programme, Homes England is currently seeking applications for strategic partnerships for the delivery of up to 130,000 homes. One of the requirements for successful bids is that 25% of projects must be delivered using MMC.<\/p>\n<p>Elsewhere, the government is also in the process of launching an MMC task force, with \u00a310m seed funding and a remit to accelerate the use of MMC, while <a href=\"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/construction-productivity-mmc\/89945\/\" target=\"_blank\" rel=\"noopener noreferrer\">Homes England is running a research project<\/a> to test the performance of different types of MMC over the long term. MHCLG has also recently closed a consultation on the New Homes Bonus, that proposes to apply a premium for MMC.<\/p>\n<h3>Government use of PMV calculations<\/h3>\n<p>All of this points to a big push for developers and housing providers to be using modular, panelised and other <a href=\"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/mmc-social-housing-2\/84445\/\" target=\"_blank\" rel=\"noopener noreferrer\">MMC solutions<\/a>, as the economic, social and environmental benefits become more widely realised.<\/p>\n<p>However, the most interesting development has been the government\u2019s use of pre-manufactured value (PMV) calculations as part of the Affordable Homes Programme. This is a weighted calculation that rewards the proportion of a home that has been constructed offsite, measured as a percentage of the total.<\/p>\n<p>Under the programme, a building will only pass the MMC test if it has a PMV of 55% or more.<\/p>\n<p>The government\u2019s adoption of PMV for the programme is interesting. It gives a clear framework for measuring progress, and I suspect we will start to see its usage across more policy development in the future, perhaps akin to the way we see energy efficiency goals defined using EPC bandings.<\/p>\n<p>It\u2019s therefore vital that housing providers start to get to grips with MMC and PMV now.<\/p>\n<h3>PMV is not hard to achieve<\/h3>\n<p>At LHC we know from experience that a PMV of 55% is not hard to achieve. As mentioned, use of MMC is already growing across the country, and through our <a href=\"http:\/\/www.lhc.gov.uk\/frameworks\/construction-extension-and-refurbishment\/offsite-construction-of-new-homes-nh2\/\" target=\"_blank\" rel=\"noopener noreferrer\">Offsite Construction of New Homes (NH2)<\/a> and <a href=\"https:\/\/www.lhc.gov.uk\/frameworks\/consultancy\/offsite-project-integrator-opi1\/\" target=\"_blank\" rel=\"noopener noreferrer\">Offsite Project Integrator (OPI1)<\/a> frameworks we\u2019ve already been helping housing providers to deliver projects that would achieve up to 80% and more.<\/p>\n<p>The key is to start with structural systems, such as timber frame, steel frame, SIPS and panellised systems, or full-blown volumetric \u2018pods\u2019, and build up from there with a range of offsite-manufactured components. These solutions provide by far the highest PMV (<a href=\"https:\/\/mmc.lhc.gov.uk\/wp-content\/uploads\/2020\/01\/MMC.pdf\" target=\"_blank\" rel=\"noopener noreferrer\">take a look here to find out more about the different categories of MMC<\/a>) and our NH2 framework gives access to suppliers that are experts in all of these options. The suppliers are also SMEs, helping to meet another of the Affordable Homes Programme requirements.<\/p>\n<p>To find out more, visit <a href=\"http:\/\/www.lhc.gov.uk\/frameworks\/construction-extension-and-refurbishment\/offsite-construction-of-new-homes-nh2\/\" target=\"_blank\" rel=\"noopener noreferrer\">www.lhc.gov.uk\/frameworks\/construction-extension-and-refurbishment\/offsite-construction-of-new-homes-nh2\/<\/a><\/p>\n<div class=\"mk-custom-module-container\">\n<\/div>","protected":false},"excerpt":{"rendered":"<p>John Skivington, group director of LHC, takes a look at the government\u2019s use of pre-manufactured value calculations for MMC projects.<\/p>\n","protected":false},"author":16,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[942],"tags":[997,276,572,916,627,696,973],"stakeholder_rel_tag":[172469],"contributor_rel_tag":[],"class_list":{"0":"post-93080","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-mmc-news","7":"tag-development","8":"tag-government","9":"tag-housebuilding","10":"tag-modern-methods-of-construction","11":"tag-modular-construction","12":"tag-offsite-construction","13":"tag-sh-lhc","14":"stakeholder_rel_tag-lhc-procurement-group-limited"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.9 (Yoast SEO v26.9) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>It\u2019s boom time for MMC \u2013 time to get involved<\/title>\n<meta name=\"description\" content=\"John Skivington, group director of LHC, takes a look at the government\u2019s use of pre-manufactured value calculations for MMC projects\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/pre-manufactured-value-calculations\/93080\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"It\u2019s boom time for MMC \u2013 time to get involved\" \/>\n<meta property=\"og:description\" content=\"John Skivington, group director of LHC, takes a look at the government\u2019s use of pre-manufactured value calculations for MMC projects\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.pbctoday.co.uk\/news\/mmc-news\/pre-manufactured-value-calculations\/93080\/\" \/>\n<meta property=\"og:site_name\" content=\"Planning, Building &amp; 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