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“Modern methods of construction – what’s gone wrong?”: Collapse of Ilke Homes and L&G modular builders triggers UK Government inquiry grappling with industry’s future.
Following the collapse of UK modular builders Ilke Homes and Legal & General Modular Homes this year, the UK’s House of Lords’ built environment committee posed the question: “Modern methods of construction – what’s gone wrong?”
Carl Leaver, chairman of volumetric builder TopHat, gave testimony on October 24th. He conveyed that TopHat modular homes are as solid as conventional brick ones and gave insights into his competitors’ missteps.
In his testimony to the Committee, he disputed the prevailing belief that factory-manufactured volumetric homes are inferior to their traditionally constructed counterparts.
Whilst volumetric manufacturers have typically been hesitant to reveal the lifespan of their homes, Leaver made his position clear. On questioning regarding the design life and end-of-life recyclability of a TopHat home, he said: “Our homes are designed with a life of 60 years, which is exactly the same as traditional construction. “Actually, there is no difference between the lifecycle of our homes and the lifecycle of traditionally constructed homes.”
He added: “We almost need to dispel this kind of thinking that MMC is something that is wholly different from traditional building. All we are doing is industrialising a build process in exactly the same way as the Victorians industrialised brick making.” Moreover, he commented, “a hump of market acceptance that we’ve got to get over”. Just as Nissan transformed car manufacturing in the UK, TopHat’s aspiration is to bring about a sea change in home construction, he professed.
When Leaver was queried about the reservations by the National Fire Chiefs Council, which advocates for rigorous modular home testing, Leaver responded: “We test for fire in exactly the same way that anyone else does.”
Aside from his role at TopHat, Leaver also presides over the industry body, Make UK Modular.
Watch the October 24 UK Government MMC proceedings HERE.
Probed about the challenges faced by the MMC category one sector (the UK have types of MMC modular builders, download their explanation HERE), he articulated that the setbacks of Ilke and Legal & General Modular weren’t solely due to market dynamics.
“There were a number of strategic choices they made and operational issues that led to their demise. And the reason that it has happened in this relatively compacted period of time is because of the downturn.”
He highlighted several flawed decisions, such as opting for premium materials like cross-laminated timber and hot-rolled steel floors, and choosing to apply brick facades onsite. In contrast, TopHat’s unique brick cladding is affixed within the factory premises.
By electing to develop its properties, Ilke Homes assumed unpredictable groundwork-related challenges, he indicated. Emphasising the essence of modular housing success, Leaver stressed the importance of steady demand to ensure factory operations. He speculated that one or both of his struggling competitors might’ve slashed prices to maintain factory activity, disregarding the looming threat of sharp inflation.
“The single biggest barrier to success is inconsistent volume,” Leaver concluded.
Find UK Government inquiry HERE.
Read about TopHat’s new modular mega-factory HERE.
See: https://tophat.io/
