Part of the community no matter where you live | Redrow
Transcription
Part of the community no matter where you live | Redrow
A Sustainable Journey Welcome to Redrow’s first major report on sustainability When I returned to the business in 2009 it was clear that we needed to turn the Group around into one that was sustainable. This would be measured not only financially, but also in terms of design, customer satisfaction, developing our people and enhancing communities, whilst minimising our impact on the environment. This report documents where we started from, the major strides we have achieved to date and our principles going forward. Initially, we worked to establish a secure balance sheet and disciplined approach to investment in land. This has resulted in the net assets of the Group rising from £293.5m in June 2009 to £609m today and not only a return to profitability, but also pre-tax profits of £70m in the 2013 financial year. At the same time, we began work on a new range of houses, the Heritage Collection, which was launched in February 2010. The homes were designed based on the recommendation of focus groups held to establish exactly what our potential customers were looking for in a new home. They were also designed to be energy efficient, use sustainable materials and minimise waste. People are the lifeblood of any business and immediately on my return I re-opened a number of divisions and developments thus increasing employment straight away. In fact, our direct workforce has grown from 686 in June 2009 to 1,115 in June 2013. The performance and sustainability of the business is dependent upon the quality and ability of its people and their development to ensure ongoing succession. On my arrival in 2009, the business had taken on no trade apprentices for two years. In my first year back we recruited 50 apprentices and by autumn 2013 we will be employing a total of 82. In 2012 we introduced a new programme for office apprentices and now have 14 people all working towards a NVQ in Business Administration. Historically, Redrow was at the forefront of companies in the training of graduates and introduced a formal graduate training scheme as long ago as 1998. Under previous management, this programme had ceased in 2003. It was reintroduced in 2011 and has been particularly successful with five of the six graduates from that first year’s intake progressing to middle management positions earlier this year. The annual intake of graduates has now increased to 19 in the September 2013 intake. As a consequence we have quickly reached the stage where 15% of our employees are under the age of 25. We now have the base from which the future leaders of Redrow will grow. We also focus on care of the environment, both in terms of land and materials. In the last four years we have remediated 669 acres of contaminated land, including 146 acres delivered by Harrow Estates plc, and 71% of the land we have built on was brownfield. We have also provided 219 acres of public open space and a further 95 acres is in its design phase. As far as possible we source sustainable materials, reduce and recycle waste and protect ecology. Work on these areas is constant and undertaken in conjunction with the relevant outside agencies. Of particular note is our industry leading level of responsibly sourced timber, as recognised by WWF, which has now reached 99.53%. Our site waste recycling rate is also in excess of 93%. We spent £1.5m on ecology in 2013. Since 2009 customer recommendation rates have remained consistently higher than in previous years, rising to 94% today from 83% in 2008. We achieved the highest accolade of five-star builder status in the HBF customer satisfaction survey in 2011 which we have maintained since. Support of the communities we work within and those we help develop is also fundamental to our business. In the last year we have contributed over £40m to fund community infrastructure such as schools, roads, community buildings, sports centres and social housing. We have also built £45m of low cost affordable homes. Our vision for a sustainable business is to ensure that each year we improve in all aspects of sustainability. It is an ongoing process of continuous improvement that, over time, will transform the business, keep our customers satisfied and help to build local communities in a sustainable manner. We will use our annual Sustainability Report to keep all our stakeholders updated on progress. Steve Morgan Chairman 1 Redrow plc Sustainability Report 2013 Customers Customer satisfaction My Redrow Customer support 16 17 17 22 24 26 27 Governance & Performance 34 35 36 38 Environment Environment Forestry stewardship 28 Waste management 29 Carbon footprint 29 Brownfield development 31 Sensitivity to our neighbours 31 Biodiversity 32 Water consumption 32 Sustainable products and research 33 Governance & Performance Governance Award summary Our stakeholders Performance People People Training Health and safety Delivering quality Communicating our sustainability objectives Community Community Planning contributions 18 Public consultations 18 Wilton, Wiltshire 18 Compton Park, Wolverhampton 19 Employment 19 Transport 20 Community work 21 Customers 9 12 15 Design Our vision for a sustainable business is one of continuous improvement of all aspects of our business to ensure we keep our customers satisfied and help to build sustainable local communities. Design Performance Code for Sustainable Homes Lifetime Homes Overview Overview Introduction IFC Sustainability and our business 2 Where we operate 3 Our sustainable journey 4 2013 Highlights 5 Redrow Aspirations 2018 action plan 6 2 Redrow plc Sustainability Report 2013 Sustainability and our business Redrow is committed to building distinctive, quality homes in inclusive sustainable communities, blending efficient, innovative design with considered environmental and ecological initiatives, informed through dialogue with all our stakeholders. Redrow is focused on delivering results and continually improving five key areas: 1. A strong balance sheet 2. Successful leadership team 3. Pride in our developments 4. Responding to customer demands 5. Corporate sustainability and responsibility Read more about our business model and performance in our Annual Report g Our commitment to excellence is demonstrated by the numerous major awards we’ve won 2013 HBF Customer Satisfaction Survey Five-star rating for Redrow Homes 2013 In-house Research Awards for customer satisfaction Gold Award 2012 What House? Awards Silver award for Best Large Housebuilder Silver award for Best House for the Villas at The Walpole Collection 2012 Housebuilder Awards Best Marketing Initiative for ‘Share a Little Bit of Joy’ 2012 UK Property Awards Highly commended in Best Developer Website category for redrow.co.uk 2012 HBF Customer Satisfaction Survey Five-star rating for Redrow Homes 2012 In-house Research Awards for customer satisfaction Gold Award A full list of our awards over the past five years can be found on page 35 g 3 Redrow plc Sustainability Report 2013 Overview Where we operate Design Customers Community Chorley Ewloe Wakefield People Redrow is one of the UK’s leading housebuilders, aiming to be the developer of choice for customers, colleagues, landowners, suppliers, subcontractors and investors. Preston Brook Tamworth Northampton Bristol Basildon Camberley London WC2 Where we operate Governance & Performance Regional offices Environment Cardiff 4 Redrow plc Sustainability Report 2013 Our sustainable journey We track our performance against financial and non-financial measures. We believe that the non-financial measures have a key role to play as leading indicators of future performance. In 1974, Steve Morgan formed a company that has today become one of the UK’s leading national housebuilders. Redrow plc became a public company in May 1994 when it floated on the London Stock Exchange and is today a member of the FTSE 250. The Group operates in England and Wales and employs 1,115 people directly. It also provides employment for many more through its subcontractors and suppliers, for the most part locally to our sites. On Steve’s return to the business in March 2009, Redrow returned to its traditional values, building quality family homes with the introduction of the Heritage Collection. Redrow also set about refocusing on the wider aspects of socio-economic sustainability associated with successful delivery of a sustainable business and profitable growth. The culmination of this transformation has been the launch in July 2013 of Redrow’s five year sustainability targets under the banner Aspirations 2018. Setting quantifiable targets for the key elements of sustainability will ensure strong focus is maintained on these areas and progress is made on ensuring our sustainability. The Aspirations 2018 targets are detailed on pages 6 and 7. The launch of the Redrow Aspirations 2018 Action Plan sees an acceleration and renewed vigour with which we will target and deliver improvements in sustainability over the coming years. March 2009 Return of founder Steve Morgan February 2010 Launch of Heritage Collection of family homes February 2011 HBF five-star customer service award won for the first time February 2012 HBF five-star customer service award for second year running February 2013 HBF five-star customer service award for third year running March 2013 99.53% responsibly sourced timber products WWF FTN banding Category 3 – Category 5 Year ended June 2013 Over £40m committed to the communities where we build Four years ended June 2013 155 recruited apprentices July 2013 Redrow Aspirations 2018 Action Plan launched 5 Redrow plc Sustainability Report 2013 Overview 2013 Highlights Design £40m 8th 4th committed to the improvement of local communities consecutive ROSPA Gold Award consecutive ROSPA Gold Medal Customers £45m 82 2,687 Apprentices on site and in office Training days delivered Community of low cost affordable homes built People Credibly certified timber products employed** Customer satisfaction (Independent HBF New Homes Satisfaction Survey) Homes fitted with SMART meters 83 Waste diverted from landfill 93% * SAP – The Standard Assessment Procedure is the Government’s method of evaluating the energy performance of a home ** 100% licensed source, progressing to certification or credibly sourced as defined and independently audited by WWF Forestry Trade Network Average SAP (home energy performance rating*) Governance & Performance 94% Customers who would recommend Redrow to a friend 82% Environment 5-star 99.53% 6 Redrow plc Sustainability Report 2013 Redrow Aspirations 2018 action plan 2009 2013 2018 Design Public open space created (hectares) Heat loss from home % of homes incorporating renewable technologies Reduce water usage (litres/head/day) Homes including domestic recycling facilities Homes fitted with SMART meters Business Information Management (BIM) development c.40 43% better than 1970s not recorded 125 11% 0% 0 >60 Continual investment 66% better 53% better than 1970s than 1970s 75% 16% 80 105 75% 25% 100% 82% Level 3 Level 2 Customers Independent customer satisfaction HBF rating % of our customers recommending 89% 94% > 95% Community Monies committed to fund the improvement of local communities Community consultation events Considerate Constructors average score % of homes within 500m of public transport node c.£30m c.80 30.8 not measured £40m Continued investment in local communities >100 Increased engagement >35 34.25 90% c.80% People Trainees as percentage of workforce Training days delivered Graduate programme intake % of workforce under 25 Total workforce Health and Safety ROSPA award 0% 1,500 14% 2,687 0 19 <10% 686 15% 1,115 ROSPA Gold (fourth year) ROSPA Gold (eighth year) >18% Increase training per head Increase in line with growth Maintain/increase % Maintain headcount growth Progressive improvement 74% 3.6 tonnes CO2/unit not recorded not undertaken 91.79% >c.90% >c.90% 93% 2.3 tonnes CO2/unit 19.2m3/unit 80% 99.53% >c.90% >c.90% >95% 10% T/unit reduction Reduce m3/unit 100% 100% 95% 95% Environment Waste diverted from landfill Scope 1 and 2 carbon emissions Site water consumption Divisional office energy audits Responsibly sourced timber % of build materials locally sourced % of subcontracted labour employed locally Governance Commitment to full formal sustainability reporting SMART target setting Limited commitment Limited targets Continuous improvement Targets for all 'pillars' Inform policy/strategy Full commitment 7 Redrow plc Sustainability Report 2013 Overview Redrow Aspirations 18 actions Engage in post-occupancy customer surveys to gauge success of energy efficient design to inform future design Work with the Zero Carbon Hub to assure actual performance Develop BIM to full operational Level 3 Partner with car club organisations on all developments Encourage customers to lead healthier lifestyles through design Develop customer guidance on sustainable lifestyle Develop training in sustainable issues for sales staff Engage with service providers to ensure that all sites are within 500m of a transport node Work with development partners to establish effective community engagement in design Work with stakeholders to develop a value comparator for biodiversity Incorporate 'Building for Life 12' principles in our developments Develop policies to encourage local food production Maintain the level of apprentices employed as a percentage of the workforce Undertake staff satisfaction surveys Community Review how our customer survey data informs design and sales journey Customers Develop marketing to highlight benefits of sustainable design Design Continue research and development to employ emerging products and technology Improve heat loss performance through design Review training courses to ensure alignment with strategy and policies Re-establish divisional 'Greenteams' and improve communication with staff Continue focus on reducing risk to staff and customers and incidence of accidents Develop design and procurement to minimise waste and recognise true value of waste Encourage customers to achieve zero waste to landfill by incorporating waste segregation facilities Develop training in sustainable construction for site staff and subcontractors Partner with anaerobic digester operators for collection of food waste Re-base carbon footprint Monitor effectiveness of divisional energy strategy improvements advised by audits Develop data capture for Scope 3 emissions Commitment to: Corporate governance Tackle increased scope of sustainability criteria Management accountability Environmental and social sustainability Disclosure transparency – full and transparent reporting Governance & Performance Review and improve monitoring of site environmental performance Environment Review and maintain personal development plans People Maintain graduate and undergraduate annual induction Encourage staff to be more sustainable at home and at work 8 Redrow plc Sustainability Report 2013 Design A complete redesign of our products has been at the heart of Redrow’s renaissance since 2009. The exciting and unique designs we have created combine lessons learned in the past with proven design features to enable our customers to lead more sustainable lives. Good design is at the heart of sustainable development, creating a sense of place and promoting community spirit. Public open space created Heat loss from home 2009 levels 2013 achievement c.40 >60 hectares hectares Redrow Aspirations 2018 target Continued investment in creating public open space 43% 53% 66% better than 1970s better than 1970s better than 1970s Homes including domestic recycling facilities 11% 25% 75% Homes supplied with rainwater harvesting facilities Not recorded 35% 50% The Heritage Collection reflects details from the Arts and Crafts period, focusing on quality of design and materials to stand the test of time. Internally, modern styling and features are embraced, including open plan living with the kitchen at the hub of the home and featuring energy efficient design. Our homes achieve an average predicted Energy Efficiency Rating and Environmental impact (CO2) well within Band B* and services that meet the water consumption targets of 105 l/person/day, necessary to meet requirements for Level 4 of the Code for Sustainable Homes. * Government approved Energy Performance Certification In the years immediately prior to 2009, Redrow built houses, heavily influenced by Planning Policy Statement 3 (PPS3) and its predecessor Planning Policy Guidance Note 3 (PPG3). From a design perspective, these lacked the clear identity, character and appeal of the earlier Heritage range. Upon his return to the Company, one of Steve’s first actions was to listen to our customers and create a new housing range that would see Redrow getting back to its traditional roots of high quality family housing. As a consequence, the Heritage Collection combines traditional quality features with modern open plan interiors. The Henley house design from the Heritage Collection 9 Redrow plc Sustainability Report 2013 Overview Open Plan Living Report Last year we commissioned Madhouse Associates to undertake research into attitudes to open plan living. A number of factors have been demonstrated to contribute to this, including improved diet, medical care, sanitation, etc., and anthropometric historians have concluded that height is a kind of biological 'composite code', which indicates a society’s well‑being. Considering this marked increase over such a short period, many industries have been surprisingly slow to adapt their products accordingly. As a direct result of this research, we have increased ceiling heights in all our 2013 designs. Customers The Open Plan Living Report found that 10% of existing homeowners have spent more than £35,000 making alterations in the past decade, with half of those spending more than £50,000. A fifth of those who had already undertaken conversion work reported that damage to their homes caused in the process averaged £8,000. We also commissioned research regarding people’s height. The research identified that the average height of people in the industrialised nations has increased by 10 cm in the last 150 years. Design Their report concluded that people are finding new ways to use space more efficiently to have the homes they want. They are creating it in the course of home refurbishment works, making the kitchen the hub of the home with open plan kitchen‑diner areas. According to research commissioned by Lloyds TSB, the number of kitchen-diners has risen almost 50% in the past decade, with one in three homes now having this feature. A further fifth of those surveyed were planning to change their current homes to reflect this styling. People growing taller All the homes in the Redrow portfolio feature the open plan living our customers want. Community Performance Energy performance Our standard specification reduces heat loss by: 53% 172.8 1973 34% Redrow 2013 262.5 34% 172.8 compared to homes built in the early 2000s 2003 Redrow 2013 Governance & Performance To complement our insulation performance we specify high performance, energy efficient boilers. 53% compared to homes built in the 1970s These features are integral to the fabric of the house and are generally uneconomic or impractical to retrospectively fit to older homes, which means they will not be able to equal the benefits offered by a new home. Our current specification reduces heat loss for the average Redrow home by 53% compared to homes built in the 1970s and by 34% compared to homes built in the early part of the new millennium. 367.0 Environment Redrow demonstrated its forward thinking by leading the field and establishing a dedicated in‑house Research and Development department to better understand the issues being posed by climate change and sustainable development and to introduce innovative design features and processes into its business. People As well as meeting our customers’ expectations regarding the aesthetic aspects of our designs, we also focus on how we can help them to lead more sustainable lifestyles through the performance of their homes against sustainable criteria. Heat loss reduction 10 Redrow plc Sustainability Report 2013 Design continued Average dwelling heat loss by building element (Watts per metre Kelvin) 140 129.2 120 104.3 100 80 71.9 60 52.4 43.1 40 70.4 63.9 56.8 51.9 36.8 19.4 20 21.1 21.5 10.3 13.4 17.6 13.0 0 1973 2003 Redrow 2013 1973 Walls 2003 Redrow 2013 Ventilation 1973 2003 Redrow 2013 Windows Energy efficient lighting One of the biggest energy saving measures that can be made in a home is to employ energy efficient lighting systems. One compact fluorescent light bulb could save you on average around £2 a year, depending on usage, and for brighter bulbs, or those used for longer periods, this could be up to £9/year. An average life of around ten times a traditional bulb will also save around £50 over its lifetime. Savings from replacement of average halogen spotlights with an LED equivalent are even higher at around £4/year and fitting energy saving bulbs throughout a home could save you £35/year.* * Energy Savings Trust figures Our standard specification delivers 100% energy efficient lighting SAP rating The Government employs the Standard Assessment Procedure (SAP) to determine the energy performance of dwellings. Redrow’s average home scores 83, and all the homes we build deliver, as a minimum, the energy efficiency levels demanded to meet Code for Sustainable Homes Level 3. Energy efficient lighting 1973 2003 Redrow 2013 Roofs 100% energy efficient lighting 2003 Redrow 2013 1973 Doors SMART meters SMART electricity meters are now specified as standard in all our homes and last year 82% of our homes were constructed incorporating SMART meters. 'SMART' electricity meters electronically track and record a customer’s electric use. They bring benefits to the customer, the energy provider and the environment as a whole. For the customer, they provide detailed, real-time information about energy consumption, enabling simple changes to be made in the use of appliances or lifestyle, which can reduce energy bills. For the energy supplier they cut costs associated with manual reading and the real-time data assists in effective balancing of generation against demand, optimising resources and enabling dynamic pricing based on demand. Benefits to the environment include reducing the requirement for new generating capacity and reducing greenhouse gas emissions from generating activity and resulting from manual meter reading. We recognised these benefits early on and worked with one of the pioneers in the field, Eon, to trial SMART electricity and gas meters on sites in the West Midlands. SMART meters UK Average Redrow 83 Our standard specification features 2003 Redrow 2013 Floors SAP rating Very energy efficient – lower running costs 1973 5.3 51 Not energy efficient – higher running costs *UK average published by Dept of Energy and Climate Change “Great Britain’s housing energy fact file” SMART meters specified as standard 82% of homes constructed in the year fitted with SMART meters 11 Redrow plc Sustainability Report 2013 Overview Design Water consumption A key concern when considering the impact of development on the environment is to ensure that we use natural resources responsibly. Rain water harvesting This year 69% of our developments incorporated SUDS (Sustainable Urban Drainage System) or specialised surface water management schemes. In 2013, 986 of the homes we constructed were supplied with water butts. Recycling Sustainable urban drainage systems (SUDS) Recycling reduces pressure on raw material usage and saves energy and as we move away from landfill waste disposal, domestic recycling increases in importance. To assist our customers to conserve water supplies by harvesting rainfall, on selected sites we supply water butts or offer them as an optional choice through My Redrow. SUDS are designed to replicate natural drainage mechanisms that store and cleanse surface water and permit slow release back into the environment through natural percolation, evaporation and controlled discharge. We seek to combine engineered solutions with opportunities provided by individual sites to create features that not only serve Redrow works with local Government at individual development level to assist in delivering the benefits of their kerbside recycling and composting schemes by encouraging our customers to make use of them. People The damage caused by increasingly frequent flash flooding events following intense rainfall has been well publicised and has highlighted the need to design developments that incorporate measures to efficiently manage surface water drainage and reduce the impact of run-off on the surrounding area. Recycling domestic waste in the home is just as important as recycling construction waste in the fight against climate change. Community Go to page 17 Our development at Stamford Brook provides a perfect example of the benefits that can result. In the past the Brook had been 'canalised'. Working with the National Trust, we have restored it to a natural meandering course, with associated wetland area. This has not only assisted in managing surface water run-off, but has also enhanced biodiversity and provided our customers with an attractive natural environment that adds value to their homes. Customers We have taken this into consideration in the design of our homes and worked with Ideal Standard to develop a water saving version of the bath specified by us. Low flush cisterns, watersaver baths and flow restriction devices are standard across all our developments. Our specification is designed to meet the criterion for domestic water consumption required to meet Code for Sustainable Homes Level 4. to reduce flooding and pollution but also add to the quality of the environment for our customers. These include well considered open space and soft landscaping schemes, swales, ponds, basins, wetland areas and the use of porous hard surfacing where practicable. On many sites homes come equipped with waste recycling facilities. We also offer compost bins for garden waste. Environment Water consumption Rainwater harvesting Domestic recycling 105 l/p/day 986 homes 720 homes meeting Code Level 4 requirements supplied with butts (34.9% of total build) included domestic recycling facilities (25% of total build) Governance & Performance Standard domestic water specification 12 Redrow plc Sustainability Report 2013 Design continued Low carbon or renewable technology Building to the Code for Sustainable Homes Homes built to Code Level 3 698 homes 22 homes Homes built to Code Level 4 Code for Sustainable Homes The Code for Sustainable Homes was introduced in 2006 to provide a voluntary means of driving forward sustainable design and construction of new homes. The Code is a means for local authorities and other stakeholders to gauge sustainable development and has become embedded in planning conditions in many areas of England and is mandatory in Wales. This year we have delivered 698 homes to Code Level 3 standards and 22 homes to Code Level 4. The UK government has a legal commitment to ensure that 15% of the UK’s energy demand is delivered from renewable sources by 2020. Energy generated from renewable sources will contribute to the reduction of carbon emissions and help to ensure the UK’s energy security. Redrow adopts a strategy of 'Fabric First' design to reduce the levels of energy demanded in day to day living. We are able to do this effectively through our in‑house technical expertise and in particular our thermal bridge modelling ability. We are committed to supporting the Government’s policy and we are mindful that any renewable technology must perform in the long term. All renewable energy products we use are carefully selected to ensure that this is the case. Where renewable technologies are not fitted as part of the standard build, we offer our customers the option of purchasing our selected products through our online customer portal My Redrow, and to encourage our customers to consider installation where suitable, we have we have recently introduced a policy of fitting our show homes with photovoltaic panels (PV). Some of the specialised schemes being undertaken by our London division are able to benefit from more complex and innovative, managed renewable installations, an example of which is at Kingston-upon-Thames. Kingston developments Our two Kingston developments, Riverside and River Walk, are subject to the London Plan and the Core Strategy of the Royal Borough of Kingston-upon-Thames. As such they are required to meet the Code for Sustainable Homes Level 4 and achieve a 20% carbon saving through the use of renewable technology. To achieve this, a groundbreaking system is being installed in partnership with NHP (Kingston) Ltd and Cool Planet Technologies (a subsidiary of British Gas), centred on heat pumps which extract heat energy from the River Thames. Homes with renewable technologies Homes with renewable technologies 16% Homes without renewable technologies 84% 13 Redrow plc Sustainability Report 2013 Overview Kingston Riverside, Kingston-upon-Thames, Surrey In this development, 40% of the energy needs will be provided from renewable sources Design The chosen system will provide not only heating in the winter but also air cooling in the summer. Community A range of available technologies was considered and finally it was decided to extract heat energy from the water in the River Thames. At a depth of just 2 metres, the Thames water retains a temperature of 9 degrees C +/- 2 degrees year round, whatever the ambient air temperature may be externally. By passing the river water through ground source heat pumps, utilising a highly efficient heat exchanger, the Thames water would provide a permanent source of free energy that would in fact result not in 10% of required energy provided from renewable sources, but over 40%. Customers The chosen solution will comprise a 200kW biomass boiler in addition to improvements to the passive, mechanical and renewable design elements of the development which will constitute a 31% carbon saving. People Environment Renewable technology installations Solar photovoltaic panels (PV) 7% Solar thermal panels 45% Air source heat pumps 13% Biomass boilers 10% Governance & Performance Combined heat and power (CHP) 25% 14 Redrow plc Sustainability Report 2013 Design continued ‘Vision’, Devonport, Plymouth A mixed use neighbourhood consisting of 450 new homes, shops, offices and community facilities built with specific attention to achieving high eco standards which will be more cost effective to run and have a low impact on the environment 15 Redrow plc Sustainability Report 2013 Overview Public open space of green open space created in the year Secured by Design The provision of well‑designed open space areas is an essential element of a sustainable community. In 2013 alone, Redrow has created over 60 hectares of green open space for our customers and their local communities to enjoy. 347 homes delivered to Secured by Design principles (12% of total build) Community Open space defines the character of the neighbourhood by fulfilling a variety of roles. It provides opportunities for social interaction within the community, facilitates communication, enhances mental and physical well‑being by encouraging activity, as well as offering opportunities for ecological conservation and enhancement. Customers Public open space and public art Design >60 hectares Lifetime Homes Secured by Design This year we built 347 homes on developments incorporating Secured by Design principles. 213 homes People Secured by Design (SBD) was established in 1989 and is owned by the Association of Chief Police Officers (ACPO). It is an initiative to support the principles of designing to prevent crime through the layout of the development and by using quality security components and products. It aligns with the Government’s planning objectives of creating safe, secure, quality environments to live and work. delivered to Lifetime Homes Standards (7.5% of total build) Lifetime Homes We constructed 213 (7.5% of total build) homes built to these standards this year. Environment Homes designed to meet Lifetime Homes standards incorporate a number of design criteria to support the changing needs of individuals and families at different stages of life, focusing on. access, mobility and usability. Governance & Performance 16 Redrow plc Sustainability Report 2013 Customers Redrow is committed to delighting our customers with high standards of service. Following reviews of our customer service processes in 2010 we introduced improvements to our procedures, supported by additional training. Since then, our customer satisfaction levels have improved considerably. In 2013, the number of customers recommending Redrow as a result of their purchase experience increased to 94% from 89% in 2009. Customer satisfaction We aim to provide our customers with a home they are proud of, delivered with excellent customer service. 2009 levels HBF customer satisfaction rating Customers who would recommend Redrow to a friend 2013 achievement The latest results from the 2012 HBF New Home Satisfaction Survey show that for a second year running over 90% of new homebuyers are so delighted with the quality of their new homes, they would recommend Redrow to their friends. Redrow Aspirations 2018 target 4 star 5 star 5 star 89% 94% >95% From the survey results, audited and approved by the Statistical Services Centre, University of Reading, the HBF calculates star ratings for each participating builder. In the latest 2011/2012 survey Redrow again achieved a five-star rating, the highest accolade. We also commission our own customer satisfaction surveys monthly carried out on our behalf by an independent consultant. Their research shows that 94% of customers would recommend Redrow to a friend. Our customers’ input is important At Redrow, we listen to our customers’ comments and look to incorporate their suggestions into our designs and procedures to provide the homes with the features they desire, coupled with the high levels of service they should expect to receive. This year we have a number of examples of initiatives designed to meet these expectations. 5 star rating by independent HBF New Home Satisfaction Survey 94% of customers would recommend Redrow to a friend 17 Redrow plc Sustainability Report 2013 Overview My Redrow Design During 2013, having listened to our customers, we launched My Redrow, a fully interactive tool aimed at making the housebuying process as personal and as straightforward as possible. My Redrow brings housebuilding up to speed with other retail sectors in its approach and has been named as a finalist in the customer engagement category at the 2013 Peer Awards for Excellence. My Redrow key features Customers •Customers can view or change their details and access their favourite properties •A real-time calendar allows them to make an appointment at their chosen development at a time that suits them best Community •Once reserved, customers can go online in their own time to make their selections, choose optional upgrades and check build stage •All this can be done from the comfort of their own home without the need for them to make specific journeys to the development People An example can be found at: •www.redrow.co.uk/jennetts Governance & Performance To help our customers maximise the benefits of sustainable living and the opportunities made available within their new communities, we produce development specific guides which provide information about local services such as public transport timetables and locations, recycling centres, etc. Environment Customer support 18 Redrow plc Sustainability Report 2013 Community One of our main sustainability goals is to achieve positive engagement with the communities in which we work. This is achieved by involving the local community in design decisions through comprehensive consultation and engagement, and providing local employment opportunities. We also make substantial financial contributions to local communities, which in 2013 totalled £40m. Support of the communities we work within and those we help develop is fundamental to our business. 2009 levels 2013 achievement Community consultation events c.80 >100 Considerate Constructors average score 30.8 34.25 Monies committed to fund the improvement of local communities c.£30m £40m Redrow Aspirations 2018 target Increased engagement >35 Continued investment in local communities Planning contributions The contributions we make to the local communities provide valuable enhancements to local resources and infrastructure. These can take the form of a financial contribution, physical infrastructure, and management plans specific to elements of the development. In the last year Redrow committed £40m across all our divisions of financial contributions, to the delivery of affordable homes, education, transport improvements and community facilities. In addition we constructed £45m of low cost affordable homes for our local communities. Public consultations Our commitment to engaging with the local community at the design stage was demonstrated in the year by our involvement in over 100 separate community consultations with respect to our development proposals. Two particular examples of work with the community are our partnerships at Wilton, Wiltshire, and Compton, Wolverhampton. Wilton, Wiltshire At Wilton, we are breaking new ground by partnering with the Wilton Community Land Trust and OurEnterprise to shape a development proposal that suits specialised local needs. The site is a former MOD barracks in an area that is heavily associated with the military, so as well as dealing with the usual aspects of sustainable development we will also be addressing the specific care and employment needs of the community. To help us work together we are establishing a new partnership organisation whose role will be to co‑ordinate the work of the three partners to achieve an award winning, sustainable development of the former barracks site and to deliver lasting community benefits from the development of the Erskine Barracks site (social, environmental and economic) through the Wilton Community Land Trust. Public consultation event at Wilton, Wiltshire 19 Redrow plc Sustainability Report 2013 Overview The development will deliver: As a result of the Compton Park development: •Up to 350 residential dwellings •The University of Wolverhampton will re-invest the receipt from the sale of its land in a new multi-million pound science facility on its city centre campus which will be a base for the National Centre for Brain Tumour Research •A Community Enterprise Hub, comprising community workspace, café and multi‑use hall (17,500 sq.ft) •Neighbourhood food store – 4,200 sq.ft •Three employment units •A veterans’ 60 bed care home •Veterans’ extra care houses •40 retirement apartments Redrow Homes is part of a unique collaboration to take advantage of an opportunity presented by the University of Wolverhampton vacating its Compton Park campus. The £50 million investment is providing wide ranging benefits for the Wolverhampton community. The scheme will also create 150 jobs directly in construction and an additional 250 jobs in the supply chain. 14 of our ongoing sites provide some element of commercial development and associated local employment opportunities. Of those nine include live/work units. Examples are provided by our developments at Vision, Devonport, where completed units in Zone B, together with future Zones E and G, are anticipated to provide over 300 local jobs and at Willowbrook, Devizes where 1,552sq.m. of commercial space is being provided and Lytham Quays, which features 2,396 sq.m. of commercial space. Affordable homes investment £45 million Community The project involves a re-modelled school, a new single-site football academy and new executive housing at Compton Park, with re-investment by the university in a science facility on its city centre campus and the gifting of the indoor arena at Aldersley Leisure Village to the Wolves Community Trust. Major areas of open space and the majority of trees will be retained. Employment Customers Compton Park, Wolverhampton •Wolves FC will donate its £1m Indoor Academy Arena at Aldersley Leisure Village to Wolves Community Trust, which will assist the independent charity in positively impacting thousands of young, disadvantaged and disabled people across Wolverhampton. Design •Eight community workshop units with 16 veterans’ 4,200 extra care flats over • St Edmund’s Catholic School will relocate onto part of the former university campus instead of refurbishing the existing school buildings as had been originally proposed. This will deliver significantly enhanced teaching facilities, chapel and sports hall. People •Wolverhampton Wanderers FC will build a Category 1 Academy involving a teaching facility, including a new indoor pitch and improve existing pitches on the vacated St Edmund's site, adjoining their existing training ground. This will create a world class facility. The new Academy facilities will also be available for St Edmund's Catholic School, St Peter's Collegiate School, Wolverhampton Girls' High School and Wolverhampton College. Environment Governance & Performance The re-modelled school at Compton Park, Wolverhampton 20 Redrow plc Sustainability Report 2013 Community continued Transport Proximity of homes to public transport nodes: 97% of homes within 1,000m of public transport node (2009: 80%) c.80% of homes within 500m of public transport node 82% of homes within 1,000m of local amenities Encouraging our customers to walk, cycle and use public transport, rather than using their cars, is environmentally friendly, makes a significant reduction to the production of greenhouse gases, reduces the impact of traffic in the neighbourhood, and is conducive to a healthy lifestyle. 97% of our homes this year were located within 1,000m of a public transport node (bus, train or tram stop) and our layouts are carefully planned to incorporate footpaths and cycleways to help our customers to maximise use of the public transport network. 82% of our homes were also within 1,000m of local amenities such as shops, cash point, post office, school or community centre. 1,460 homes were constructed with access to a cycleway. 26 sites (27%) involved travel plans or other transport initiatives. Typically, these plans include discounts for local cycle stores, car sharing schemes, discounted public transport tickets, cycle parking and personalised journey planning specific to the development. Development of electrically powered cars has accelerated in the last few years to the point where they are now much closer to being a viable alternative to normally powered vehicles, particularly for urban use. At our Scholars Gate scheme in Wakefield, 22 homes are being provided with electric car recharging facilities. Car clubs For some customers a car club arrangement may offer an acceptable, alternative means of car use without the associated costs of insurance, tax, servicing, etc. or the practicalities of parking and cleaning. Central Park tram station near Moston, Manchester We have taken this into consideration at our site at Branwell Park, Leeds, where a car club facility is being provided in partnership with the City Car Club. Customers will have access to a choice of new vans and cars at anytime for 365 days of the year without any of the encumbrances associated with ownership. The vehicles will be parked in designated spaces and may be booked for as little as half an hour or as long as is required. Booking is convenient, either online or by phone and members are provided with a smart enabled membership card which is used instead of a key. For a small car, hire can be as little as £1.33/hour for a 24 hour period including discounts, with mileage charged at 13p/mile which includes the cost of the fuel! Book Jump in Enter PIN Drive away 21 Redrow plc Sustainability Report 2013 For our graduate and undergraduate programmes we use community-based projects to provide the training element for teamwork and leadership skills. 27 (three teams of nine) Redrow apprentices have taken part in the Brathay Apprenticeship Challenge 2013. The Brathay Apprentice Challenge is a nationwide competition, now in its second year, to search for the apprentice team of the year, supported by the National Apprenticeship Service and run by the Brathay Trust. During the six month period of the 2013 Challenge, the 90 participating teams undertook 60 community projects, ranging from renovating derelict community spaces to holding CV drop in clinics for local youngsters. They also raised over £35,000 for local, regional and national charities. Despite extreme weather conditions on the day our Redrow Homes Northern team redesigned a garden for Alder Hey Children’s Hospital. The unit at the hospital deals with children with mental illness, giving much needed support and respite care for parents. The task was to give the courtyard within the hospital a makeover, but without a budget. The undergraduates had to find a way to design and implement the work free of charge. They asked subcontractors to get involved and sourced the materials themselves, such as planters and new gravel. Bev Collins, MacMillan cancer support manager, said: 'The project undertaken by the Redrow undergraduates was amazing. The garden "makeover" is stunning and I can’t believe what they managed to undertake in such a short time. I felt like I was in an episode of Ground Force! Our patients and families will be able to enjoy the garden on completion of the build being done by Macmillan, and it is lovely for us to offer them nice things while they are going through treatment. The garden team was so cheerful throughout and made the time to chat to patients and hospital staff to explain what they were doing and why. They are a credit to Redrow, and I am sure both their employers and parents are proud of them. I certainly am.' Karen Jones, Human Resources Director for Redrow, said: 'Our team of undergraduates has demonstrated a solid commitment to helping a vital charity with this project. They had to draw on many of the skills they have learnt during our training scheme, such as time management, communication and team working, particularly as they are all based in different locations up and down the country. It’s also honed their negotiation skills as they have been dealing with a variety of contractors and suppliers. We are thrilled the project has been such a success and the experience will stand our graduates in good stead as they look to continue their future careers. We are also delighted to support the vital work of Delamere Cancer Centre at Halton Hospital.' People Five graduate trainees from Redrow recently spent three days refurbishing accommodation at Cardiff’s University Hospital for the LATCH Welsh Children’s Cancer Charity. The team included Jordan Van Laun, Daniel Modashia, Joe Underwood, Leigh Fitzpatrick, Luke Matthews, Rebecca Don, Tom Wade and Harrison Young. Community The Redrow South West team carried out structural and aesthetic improvements to a shed at St Nicholas School, Chippenham, to enable its use as additional classroom or play space. St Nicholas School is a specialist school for cognition and learning and is supported by Redrow’s South West Division. A team of green‑fingered undergraduates put their budding skills to the test when they lent a helping hand to revitalise the courtyard at Delamere Cancer Centre in Cheshire. Customers The Challenge is an opportunity to develop leadership and team working skills and serves to emphasise the immense contribution apprentices make to their companies. Delamere Cancer Centre, Cheshire Design Brathay Apprentice Challenge Overview Community work Undergraduate students are paid a salary for the period they are with Redrow, and the placements are available in a number of departments including construction, sales, marketing, commercial, engineering and design. Charitable community support Redrow encourages staff to take part in fundraising activities for local charities and other good causes and all our divisions are actively engaged in this work in the communities local to our sites and divisional offices. Environment The Northern team’s community project in the Brathay Apprenticeship Challenge was to create a sensory garden at Alder Hey Children’s Hospital In the year Redrow donated £630,000 to charities and worthy causes with further amounts donated by The Redrow Foundation and Redrow staff. Governance & Performance 22 Redrow plc Sustainability Report 2013 People The performance of any business is entirely dependent on the qualities and abilities of its people. Redrow recognises the need to attract talented young staff, to provide opportunities for career development at all levels and to encourage succession planning. The value of this commitment is recognised within the business and, as a consequence, a high percentage of our staff are long term employees. People are the lifeblood of any business. The performance and sustainability of the business is dependent upon the quality and ability of its people and they need to develop to ensure ongoing succession. 2009 levels 2013 achievement Redrow Aspirations 2018 target Trainees as percentage of workforce 0 14% >18% Graduate programme intake 0 in line 19 Increase with growth % of workforce under 25 Total workforce <10% 686 15% 1,115 Undergraduates at the Delamere Cancer Centre, Cheshire where they carried out a garden makeover Maintain/ increase % Maintain headcount growth Training Apprentices Prior to 2009, in common with our competitors, we were forced to cut back heavily on trainee programmes. However, during the recession we managed to keep all our trade apprentices employed to enable them to achieve their qualification. In the early 2000s Redrow took on around 12 apprentices per annum. This reduced to six in 2007 and was zero for the next two years. On Steve Morgan’s return we revitalised the scheme, taking on 50 trade apprentices in 2010. We introduced Apprenticeship Co‑ordinators in the divisions, entered into a partnership with CITB to act as our provider and introduced regional and national awards for top performing apprentices. We have also introduced the role of 'Trainee Site Assistant' to provide successful apprentices with a route into management. In June 2013, we promoted three apprentices into this role. The same route is also used to provide semi‑skilled employees with a path into management and again, in June this year, two labourers and two forklift operators were promoted into this role. Among the new recruits is Jack Moore, a carpentry and joinery apprentice, who became Redrow’s 250th apprentice in the last ten years. Increasing the number of options that were open to the latest recruits, Redrow introduced two new trades this year, groundworks and maintenance operations, adding to the apprenticeships in carpentry and joinery, plumbing, brickwork and electrical offered historically. The Redrow apprenticeship programme combines ‘on‑the‑job’ paid work and an NVQ completed over three years. Apprentices are placed with an experienced and trusted subcontractor, where they can learn the skills required in their chosen trade while working on Redrow developments and also attending college one day a week. Candidates are asked to take and pass the CITB Skills Learning Exercise (SLE) in order to be considered for an apprenticeship. The SLE tests applicants on their understanding of practical information they are likely to require on a building site, such as measurements and drawings, etc. In 2012, we introduced a new programme based on our successful site-based apprentice scheme for office apprentices. To date 14 youngsters have joined us in this role. 23 Redrow plc Sustainability Report 2013 Overview Management development Undergraduate trainees Undergraduate trainees were also introduced in 2010. To date 28 students have undertaken their 'year out' working with us. Our newest programme due to launch this autumn will see an intake of eight technical trainees, who will undertake day release courses to complete their qualification whilst learning on the job. At 30 June 2013 1,115 compared with 686 in June 2009 These and other training initiatives contributed to Redrow being included in Building magazine’s list of top employers in 2011. CSCS (Construction Skills Certification Scheme) We have played a leading role in this initiative and currently 99.9% of our workforce are certified. We have also been careful to ensure employees hold the highest level of card available to them and as a measure of this our green card (i.e. unskilled) percentage is 21.6 % compared with an industry average of 26.7%. Internal promotions Redrow has a clear commitment to career development for its workforce. During the year there were 49 internal promotions. Apprentices 250 apprentices employed in ten years Governance & Performance Workforce numbers We have introduced a Management Development Programme to improve the calibre of management throughout the business. The modular programme is accredited by the Institute of Leadership and Management. To date over 40 Redrow managers have successfully completed the programme and a further 51 are progressing through it. Environment Training@Redrow As well as providing excellent opportunities for development of appropriate skills through external courses, we have an established, dedicated company Training Centre in Tamworth, managed by the Human Resources department. Here a specialist team of qualified trainers deliver training programmes to both new and experienced staff at every level. Accredited training People Technical trainees New recruitment methods and specialist training provision means we can also now offer a successful selling career to sales people from other industries. We recruited 79 sales consultants in 2012–13 and over a third were new to the housebuilding sector, with backgrounds including cabin crew and various branches of retail from high street to automotive and the travel sector. Community Again, since Steve’s return, the programme has been reintroduced with six recruited in each of 2011 and 2012 and 19 in 2013. The quality of training has also been improved – all graduate trainees have an MD as mentor and have the opportunity to undertake projects on behalf of the Main Board. The intensive nature of the programme has paid off with five of the 2011 cohort moving into middle management positions earlier this year. These training programmes ensure that we maintain continual improvement in all disciplines, to meet the increasingly complex demands of the industry. Customers Graduate trainees Redrow was amongst the foremost companies within our sector to introduce opportunities and formal training for graduate trainees from 1998. However, this programme was suspended between 2003 and 2010. Design To date over 40 Redrow managers have successfully completed our Management Development Programme and a further 51 are progressing through it 24 Redrow plc Sustainability Report 2013 People continued Health and safety Redrow continues to show its high commitment to health and safety, which has been recognised by the award of a fourth straight Gold Medal Award and eighth consecutive Gold Award from the Royal Society for the Prevention of Accidents (RoSPA). Once again this reflects the enormous effort undertaken by everyone within the business, together with our subcontractors. This has led to continuing success in the creation of a positive health and safety culture progressively improving health and safety standards. RoSPA Award Redrow’s Health and Safety Director Dave Ford receiving the Gold Medal award from RoSPA David Rawlins, awards manager at the Royal Society for the Prevention of Accidents (RoSPA), a safety charity with a 96‑year history, said: 'The RoSPA Awards programme provides well‑deserved recognition for the winners and spurs on other organisations to raise their standards of accident and ill health prevention. We congratulate Redrow Homes on its success and encourage it, and all our other winners, to remain committed to safety and health, an approach that is well recognised to be good for workers and the bottom line.' Health and safety in the community The Redrow dedicated Health and Safety team engages with local communities by completing safety talks where our developments are located within close proximity to schools. It is key that children are made aware of the potential dangers associated with our activities in a fun and interactive manner, whilst still understanding the importance of health and safety. The use of the Redrow Health and Safety mascot 'Buster Bear' has helped achieve this with over 1,000 children attending the various school talks completed over the last year throughout the country. Health and Safety 8th consecutive ROSPA Gold Award 4th consecutive ROSPA Gold Medal As well as school talks, Charlotte Weston, a member of the Health and Safety team, has been appointed as Construction Ambassador within the North Wales area and has already completed three events in North Wales, aimed at bringing more women and young people into the construction sector. Safety Groups UK Redrow continues to support local health and safety groups across the country. Safety Groups UK is a UK registered charity and the co‑ordinating body for the network of local safety groups throughout the country. Safety Groups UK is committed to raising awareness of workplace health and safety issues through working with sponsors to reach out to small firms and help change behaviour. Redrow is proud to be associated with Safety Groups UK and is an active member of the following local safety groups: •North West Wales Health and Safety Group •Merseyside and Cheshire Construction Safety Group •North Wales Working Well Together Group •The West & North Yorkshire Construction Safety Association 25 Redrow plc Sustainability Report 2013 Overview The HBF provides full support to the Home Builders Health and Safety Forum, and in 2012 fully supported the revitalising of the forum’s health and safety charter to drive further improvement in the performance of the sector. The charter was first developed in 2004 in response to concerns raised by Government in respect of injuries in the construction industry and the new charter builds on the tremendous amount of work that has been done by the forum members since its original launch. Community Redrow’s Health and Safety mascot Buster Bear along with Redrow staff visit St John the Baptist Primary School, Penymynydd Customers The Health and Safety Charter is backed by an annual action plan looking at key areas of improvement and the forum meets on a quarterly basis to review issues and challenges affecting the industry. Design Home Builders Federation (HBF) Redrow is an active member of the Home Builders Federation (HBF) Health and Safety Forum. HBF members are committed to ensuring that all aspects of health and safety are a priority not only on all their sites but in their offices as well. People Environment Governance & Performance 26 Redrow plc Sustainability Report 2013 People continued Delivering quality Site managers the pride of Redrow Two of our Site Managers were named the best in their regions in the large builder category at the 2012 National House-Building Council (NHBC) Pride in the Job awards: Matt Knight of Redrow Midlands in the West Midlands region and Syd James of Redrow South Wales in the Wales region. This is a fantastic accomplishment for both Site Managers and testament to the high quality of their work. Syd James then went on to be named the top site manager in the UK at the industry’s most prestigious awards ceremony, the National House‑Building Council’s annual Pride in the Job awards. Syd, from Cardiff, won the NHBC Supreme Champion Award 2012 for the Large Builder category, fighting off stiff competition from around 13,000 entrants across the nation. The win recognises Syd’s outstanding achievements in building new houses of exceptional quality at his Glynderwen Meadows development in Oakdale, Gwent. This award is the latest in a line of achievements for Syd, who has been winning NHBC awards since he started his career with Redrow seven years ago. He won an NHBC Seal of Excellence, presented to the UK’s top 100 site managers, three times in his first three years in the industry. He also won the NHBC’s Regional Award for Wales in both 2011 and 2012, going on to beat eight other regional winners from across the country to take home the 2012 Supreme Champion award. NHBC national winner Syd James (centre) receiving his award This year, a total of 12 of our Site Managers were awarded NHBC Pride in the Job Quality awards. Full list of winners: Redrow Homes (South East) Tom Riley, Davington Park, Faversham Redrow Homes (Lancashire) Shaun Phoenix, Lytham Quays, Lytham Redrow Homes (Midlands) Matt Knight, Oakwood Grange, Great Wyrley Vince Price, Mill Hill, Bingham Redrow Homes (South Wales) Mark Symonds, Coed Y Felin, New Inn, Torfaen Barrie Jones, Mary Twill Grove, Langland John Harris, Woodland Meadow, Llanharan Syd James, Glynderwen Meadows, Oakdale, Caerphilly Rob Summers, Cwm Calon, Ystrad Mynach Redrow Homes (South West) Joel Anderson, The Fairways, Newton Abbot Les Fryer, Aurora Spring, Bristol Ian Stiles, Steeple Chase, Calne 27 Redrow plc Sustainability Report 2013 Its main objectives are to: •minimise waste; •reduce carbon emissions; and •save money. It contains green facts and tips, highlights actions individuals can take and provides links to useful information. Design Effective communication of our sustainability objectives, strategies and performance to our staff is of prime importance, so the suite of environmental and climate change policies that underpin our strategies are available through our sustainability microsite within the Redrow plc website and our intranet. Overview Communicating our sustainability objectives We have also developed Redrow’s 'Green Light', an intranet-based magazine, which aims to support staff in being more sustainable at work and offers ideas for more sustainable lifestyles at home. Customers Intranet based staff magazine to encourage our employees to be more sustainable at work and home Community People Environment Governance & Performance 28 Redrow plc Sustainability Report 2013 Environment We understand the part that we must play in minimising our impact on the environment and in combating climate change. We ensure that we work with suppliers and subcontractors who share our ethos so we can work together towards meeting these challenges. Forestry stewardship At Redrow we focus on care of the environment, both in terms of land and materials. 2009 levels Waste diverted from landfill Scope 1 and 2 carbon emissions Redrow Aspirations 2018 target 2013 achievement 74% 93% >95% 3.6 2.3 10% tonnes CO2/unit Our membership of the World Wildlife Fund Forestry Trade Network (WWF FTN) requires us to monitor the sourcing of timber products incorporated within our homes and to continually strive to reduce timber from unaccredited sources. In 2009, 91.79% of timber used on our sites was classified within the WWF banding Category 3 'Licensed Source' to Category 5 'Credibly Certified'. In 2012, our continued engagement with FTN has seen this achievement rise to 99.53% (externally audited by FTN). The challenges and priorities we have agreed with our WWF FTN partners for 2013 are as follows: tonnes CO2/unit tonnes CO2/ unit reduction Responsibly sourced timber 91.79% 99.53% 100% % of build materials locally sourced >c.90% >c.90% 95% •Continue to work with members of the supply chain to ensure current purchasing policy is adhered to and procurement levels are maintained. % of subcontract labour employed locally >c.90% >c.90% 95% •Review high risk products, namely plywood to investigate how Redrow can eradicate the issue for the future purchases in order to address timber procured with no information on origin. Challenges •Introduction of new subcontractors/suppliers in maintaining Redrow’s aims and targets. Priorities •Ongoing review and development of processes, specification and procedures in order to tighten procurement namely plywood purchases. •In conjunction with TFN, maintain communication with roof truss industry to promote the benefits of FSC certification on TR26 in order to meet the demand. •Monitor supplier sustainability performance. % site waste diverted from landfill Usage of timber (GFTN categories) 99.53% 99.3% 99.53% 93% 92% 93% 2012 2013 74% 91.79% 2009 2011 2012 2009 29 Redrow plc Sustainability Report 2013 Overview Waste management Site waste generated tonnes/100 sq.m. 8.21 In 2009, our average monthly recycling rate was in excess of 74%. We have continued to work with our waste management factors to decrease wastage and increase diversion from landfill and for the 2013 financial year our total recycling rate was 93.23%, excluding our specialist central London schemes at One Commercial Street, Amberley Waterfront, Holland Park, Connaught Place and Kingston Riverside. Redrow has voluntarily submitted carbon footprint data to the Carbon Disclosure Project (CDP) annually, since 2006. For the financial year ending June 2012 our Scope 1 and 2 emissions per legal completion decreased by 30% to 6,611 tonnes CO2e. This result is aided by one off savings resulting from the disposal of the Scottish division at the end of 2011. •Continued energy efficiencies in divisional offices and sales and marketing suites, in particular, conversion to low energy lighting. Improvements were identified through divisional office energy audits completed earlier in the year. •Progressive improvement of the company car fleet performance. •Managed reduction in work in progress on site. Industry average London Commercial Street Total tonnage 465.8 tonnes start date 24 August 2012 Recycled/diverted 85.3% This equates to 1.6 tonnes/100 sq.m. Scope 1 and Scope 2 Carbon Emissions tonnes per annum (DEFRA definitions) Scope 1 Scope 2 8,000 6,000 4,000 2,000 0 2009 2010 2011 Community However, irrespective of the organisational change, other savings amounting to around 10% were made through: Redrow Customers Carbon footprint 8.21 Design This equates to 8.21 tonnes of waste/100 sq.m. (2012: 8.7 tonnes/ 100 sq.m.) of developed floor area against an industry average environmental performance indicator (EPI) of 19.2 m3/100 sq.m., which equates to just under 12 tonnes/100 sq.m. of developed floor area. 12 Cars The average CO2 emissions for 2012–2013 car fleet is 115g Co2e/km with eight cars on the list which rate Band B (101–110g CO2e/km) which include hybrid drive train technology. People The Redrow company car fleet list is continually revised to ensure that choices are available for staff which combine practicality with reduced environmental impact. The average UK CO2 emissions rating is 149 g/km (grams of carbon dioxide per kilometre driven). Environment Considerate Constructors Scheme Registered sites are monitored against a Code of Considerate Practice and scored. This year 33 of our sites were registered with the scheme and one of these, Davington Park, achieved 'Exceptional Practice' standard. Considerate Constructors Scheme registered 33 sites with an average score out of 50 of 34.25* * a score of 25 indicates ‘compliance’ Governance & Performance The Considerate Constructors Scheme (CCS) was established by the construction industry to encourage best practice beyond statutory requirements with respect to how our site activities impact the general public, the workforce and the environment. 30 Redrow plc Sustainability Report 2013 Environment continued Pallet recovery – overview 2012 Next Generation benchmark ranking 11,836 10th 9th 8th 4,414 Good pallets Scrap pallets 2007 Pallet repatriation Building upon our first calendar year’s engagement with Scot Elm’s Pallet Repatriation Scheme in 2011, we increased recovery by over 98% to recover 16,250 pallets in 2012. Government policy We have been particularly active at all senior management levels this year, dealing with a significant number of English and Welsh Government consultations concerning various aspects of sustainability policy and engaging with external organisations such as the Zero Carbon Hub and NHBC to tackle the technical challenges posed by the demands of sustainable construction. Our senior staff are involved in the current work being undertaken by the Zero Carbon Hub on the designed performance of new homes compared to their as-built performance (DvAB). This work is looking at every aspect of the delivery process, from planning and design through to construction and verification, to identify potential areas of weakness that can be improved to ensure that the homes we build meet their intended performance levels. 2011 2012 We have also worked to assist both English and Welsh administrations to understand the challenges posed and the cumulative effect of their intended policies on the industry. In England this has included Part L of the Building Regulations, Carbon Compliance, Allowable Solutions and biodiversity offsetting. Procurement One of our key supply chain principles is that we work with suppliers who can service sites from local depots. In so doing, as well as reducing carbon emissions resulting from transport of materials, we are supporting the employment of people in the local community. We extend this concept to our facing brick supply partners too by identifying suitable brick ranges from plants located close to sites wherever possible. For example, Ibstock Brick’s Laybrook works near Pulborough in West Sussex provides bricks for our developments in the south-east. In addition, we were one of the first major housebuilders to sign up to the Prompt Payment Code, a Government Department for Business Innovation & Skills’ initiative to encourage and promote best practice between organisations and their suppliers. T he toner cartridge recycling scheme operated at St David’s Park by Parks Manager Terry O’Neil has contributed to raising £25,964 for chosen charities in the year 31 Redrow plc Sustainability Report 2013 Sensitivity to our neighbours Harrow Estates won the award for Best Public Participation at The Brownfield Briefing Awards 2012. We are always mindful to minimise nuisance and disruption to our neighbours when we are developing sites. Our Holland Park development in London provides an excellent example of the measures we take to reduce the impact of our operations on the surrounding area. 205 Holland Park Avenue is a mixed use scheme of five linked pavilions, rising from four to ten stories, designed by renowned architect, Allford Hall Monaghan Morris, comprising 41 private residential apartments, nine affordable homes and 8,500 sq.ft. of artist studios situated on the ground floor level. The project was described as 'an outstanding case study' by the panel of expert judges and the award was accepted by Mark Nicholls of Harrow Estates, Steve Edgar of Vertase FLI and Mark Smith of Atkins. Redevelopment has involved demolition of an existing six storey office block which was surrounded on three sides by residential property. This was clearly a sensitive area and to ensure that noise, dust and debris were effectively contained, the existing building was scaffolded and wrapped. Then plant was craned onto the roof and demolition carefully undertaken from the top down, using peckers and crunchers. The award recognises Harrow Estates’ ability to effectively engage with local communities surrounding highly contaminated sites and work with those communities throughout the remediation process to provide information and comfort to allay fears and concerns associated with necessary remediation works. Community Sensitivity to our neighbours Customers For the Hauxton Project a consultative forum and multi-agency group was set up to include Harrow and the remediation team, the parish council and local authority, the Environment Agency and health providers such as the local NHS trust and the Health Protection Agency. Design The award recognises the significant efforts in community engagement and media management formally recognised as best in class by the leading group of their peers and experts in brownfield remediation and restoration. The award was received for the work during the Hauxton Project, near Cambridge, and is shared with our remediation partners Atkins and Vertase FLI. Overview Brownfield development Demolition work in progress at Holland Park Avenue development, London People Environment Governance & Performance 32 Redrow plc Sustainability Report 2013 Environment continued Biodiversity 44% of our current sites feature biodiversity plans and associated ecological conservation strategies. Loss of biodiversity – the richness and diversity of flora and fauna, together with their habitats – is recognised as being one of the world’s most serious and urgent challenges. Intensive farming, introduction of alien invasive species and pollution are all factors which play a part, but Redrow also recognises that poorly designed urban development can adversely affect habitats and the organisms dependent on them. We work together with local authorities and our specialist ecological consultants to enhance biodiversity value within our developments and look forward with interest to the outcomes from the DEFRA work on biodiversity offsetting, to which we have contributed this year. Brownfield Briefing awards L–R: Mark Nicholls (Harrow Estates), Steve Edgar (VertaseFLI) and Mark Smith (Atkins) accepting the Best Public Participation award Water consumption Last year we set ourselves the target of establishing a formal reporting procedure to capture data on our water consumption, both on site and in our divisional offices. Legal completions on brownfield land Liverpool John Moores University ( LJMU) – Exemplar Homes Project Brownfield sites 60% It has become clear that by far the biggest issue for the Government to tackle with regard to energy demand and carbon emissions from UK housing lies with the aged stock rather than new build homes. The lack of success of the Government’s Green Deal is particularly concerning in this respect, but Redrow is working with academia to seek practical solutions to the challenges. Non-brownfield sites 40% Measured water consumption Site water consumption Having succeeded in this important first step, we can measure water consumption against output on site and against headcount in our offices and measure the impact of the usage reduction measures we introduce. Office water consumption LJMU and Redrow are partnering in a construction project involving the construction of three terraced homes: one to be constructed using typical 1930s solid wall design and construction, a second to be constructed employing typical 1970s design features and finally one constructed to current design standards. The older style properties will be completed with the typical modifications representative of today’s housing stock. The basic objectives are: •to create an on-campus teaching aid. Construction will be recorded for future use and access provided during and after the build itself. Elements of construction will be left open or visible to afford access to students; 54,351m3 4,460m3 •to enable ongoing research into key focus areas driven by regulation change i.e. enhancing insulation performance of older properties; integration of renewables into newer properties; and •to experiment with intelligent sensor arrays under development at the university. 19.2m3/unit 8.54m3/ head/annum Note: London office data excluded as water consumption is included in overall office rental. The project will be delivered by our North West Division and is due to commence shortly. 33 Redrow plc Sustainability Report 2013 Design One strand of our core strategy to deliver quality, sustainable communities is our undertaking to work with subcontractors and suppliers who comply with our environmental policies. This means we are also happy to work with manufacturers and academic institutions developing innovative ideas, materials and components which enhance performance of our new homes and reduce the impact of construction on the environment. Overview Sustainable products and research Roofspace solutions The system incorporates eco-friendly materials, as the timber used comes from FSC certified sources and the polyurethane foam insulation (PUR) is CFC and HFC free with an ozone depletion potential of zero. Community Using this high insulation roofing system brings a number of benefits to Redrow and our customers. From a health and safety perspective, the design of the system simplifies scaffolding, the amount of time spent working at height and reduces the susceptibility of wind damage to gables during construction. At the same time, employing this system provides the customer with highly insulated living space in what would have been the attic. Customers Our Lancashire division is trialling the award winning insulated panel, 'room in roof' product from Roofspace Solutions, part of the Avonside Group. People Environment Governance & Performance The delivery, erection and completion of the award winning insulation panels from Roofspace Solutions, currently trialling on a Redrow Lancashire development 34 Redrow plc Sustainability Report 2013 Governance & Performance Governance Our approach to sustainability As one of the UK’s leading housebuilders we are committed to being a responsible developer, employer and company that makes a positive contribution to the communities in which we operate. Sustainability Committee Redrow has a Sustainability Committee chaired by Alan Jackson. Its responsibilities include developing and monitoring the Board’s approach to sustainability and addressing the impact of Redrow’s operations on the environment and communities affected by its activities. Main Board Chairman’s Statement Sustainability is a core value of our business. Whilst it is embedded in our operations, we consider it important to have oversight of this key aspect of our business to ensure we continue to improve our performance. This is achieved through the Sustainability Committee, which has three permanent members and meets three times per year. This report documents our achievements in the 2013 financial year, of which we are rightly proud, and our forward targets. Unlike prior years, we have this year set five year targets with the introduction of our Redrow 2018 Aspirations for Sustainability. I look forward to Redrow continuing to make good progress towards these targets over the coming years. Alan Jackson Chairman of the Sustainability Committee Non-Executive Deputy Chairman and Senior Independent Director Sustainability Committee Alan Jackson Chairman of the Sustainability Committee Nigel Smith Research and Sustainability Director Karen Jones Human Resources Director 35 Redrow plc Sustainability Report 2013 Overview Major awards won by Redrow from 2009 to 2013 inclusive National awards 2013 HBF Customer Satisfaction Survey 2011 What House? Awards 2013 In-house Research Awards for customer satisfaction 2011 Housebuilder Awards for innovation and excellence Best Marketing Initiative for ‘Our Pride ~ Your Joy’ Shortlisted for Large Housebuilder of the Year category 2012 What House? Awards 2011 Building Good Employer Guide 2010 What House? Awards Silver award for Best House for the Villas of The Walpole Collection, London 2011 Construction Marketing Awards 2009 What House? Awards Five-star rating for Redrow Homes Silver award for Best Large Housebuilder 2012 Housebuilder Awards Best Marketing Initiative for ‘Share a Little Bit of Joy’ Highly commended in Best Developer Website category for redrow.co.uk 2012 HBF Customer Satisfaction Survey Five-star rating for Redrow Homes 2012 In-house Research Awards for customer satisfaction Runner Up in Best Use of Advertising for ‘Our Pride ~ Your Joy’ Best Marketing Initiative for Redrow.TV Redrow won ‘silver’ in category Best Large Housebuilder Redrow won ‘bronze’ in category Best Large Housebuilder 2011 UK Property Awards Redrow.TV ‘highly commended’ in Best Developer Website category Customers 2012 UK Property Awards Redrow successfully included in list of 61 best construction related companies to work for. 2010 Housebuilder Awards for innovation and excellence Design Gold Award Gold award for Best Large Housebuilder 2011 PROPS Awards Entrepreneur of Year title to Redrow Chairman Steve Morgan 2011 HBF Customer Satisfaction Survey Five-star rating for Redrow Homes Gold Award 2013 Sunday Times British Home Awards Build Quality Award for Best Large Development – Glynderwen Meadows, Oakdale 2013 Evening Standard New Homes Awards Highly commended for Best Small Development for The Walpole Collection, London 2013 UK Property Awards Highly Commended Awards presented as follows: Residential High-Rise Development (UK) – Kingston Riverside, London Best Development (Multiple Units) – Farnborough Central, Hampshire, The Villas @ Lytham Quays, Lancashire, Mary Twill Grove, Swansea, Great Park, Rubery Best Single Unit Property – The Highgrove, Sheffield National and regional winner Best Large Development – Branwell Gardens, Guiseley Regional winner Best Large Development – Heathfields, Taunton 2013 New Homes Garden Awards Silver Gilt for Linley House show home at Stretton Green, Cheshire Silver for The Balmoral and Henley show homes at Heritage Park, Penymynydd, in Best Show Home Garden category Five-star award in Best Development category for Ringinglow Gardens, Sheffield 2012 North Wales LABC Building Excellence Awards Winner of Best Volume Housebuilder award for Heathlands, Buckley 2011 North West Finance Director of the Year Awards Redrow’s FD Barbara Richmond named Best Finance Director of a Listed Company 2011 New Homes Garden Awards Silver Gilt for The Balmoral at Hollies Farm, Hartford in Best Garden – Family Home category; Silver for The Cheltenham at The Bowery, Cheswick, in Best Show Home Garden category 2011 The Marketing Society Northern Awards Construction & Property category award for ‘Our Pride ~ Your Joy’ campaign 2011 UK Property Awards Five-star county level Best Development awards for The Bowery at Cheswick 2011 North Wales Local Authority Building Control (LABC) Awards County and Regional prize in Best Volume Housebuilder category for Pentre Bach, Wrexham 2011 Liverpool Daily Post Business Awards Redrow Chairman Steve Morgan named as the Liverpool Daily Post’s DLA Piper Business Person of the Year 2011 RIBA Award for Architecture Barking Central 2010 Concept for Living Northern Design Awards Best Conversion for Arcon Village, Horwich 2010 Building for Life Awards Building for Life award to Barking Central 2010 Housing Design Awards Best Project award for Barking Central 2009 Daily Mail UK Property Awards Five-star award for Best West Midlands Apartment to Hemisphere, Edgbaston 2009 What House? Awards Redrow Homes (South Wales) won ‘bronze’ in category Best Joint Venture scheme with Melin Homes for affordable housing at Croesonnen Court, Abergavenny 2009 LABC West Midlands Building Excellence Awards Best Apartments Award for Hemisphere, Edgbaston. 2009 LABC North Wales Building Excellence Awards Volume Housebuilder Award from Wrexham County Borough Council for Ty Newydd, Wrexham. 2009 LABC North West Building Excellence Awards Region’s Best Residential Conversion Award for Arcon Village, Horwich. Governance & Performance Silver for The Highgrove show home at Mary Twill Grove, Swansea 2012 UK Property Awards Barking Central Overall Joint Winner and Place Making – Built Winner Environment 2013 Premier Guarantee Excellence Awards ‘Best Volume Developer’ award in the Flintshire region for Northop Park, ‘Best Volume Developer’ award in the Wrexham region for Ty Newydd, ‘Best Volume Developer’ award for all regions for Northop Park, Flintshire 2011 New London Awards 2011 People Best Overall High-Rise Residential Development in the UK, as well as winning a five-star award in this category for One Commercial Street, London 2013 North Wales LABC Building Excellence Awards Community Regional and development specific awards 36 Redrow plc Sustainability Report 2013 Governance & Performance continued Our stakeholders Who are our stakeholders? There are many stakeholder groups working with our business and we engage with them in different ways. The table opposite demonstrates the type of stakeholders we have and how we engage with them to ensure excellent communication and understanding. Financial institutions •Banks, shareholders, bondsmen, insurers, investors Government, regulatory organisations •UK Government and local authorities, Welsh Government, Building Regulation Advisory Committee for Wales Industry bodies, trade associations •HBF (Home Builders Federation), Zero Carbon Hub, NHBC (National House-Building Council), MMA (Modern Masonry Alliance), CBI (Confederation of British Industry) Suppliers and subcontractors Academia •Universities – Nottingham University, Liverpool John Moores University Land owners •Individuals, land agents, National Trust, HCA (Homes and Communities Agency), Ministry of Defence, health authorities Statutory authorities and service companies •Utility companies, public transport companies Customers Employees Landlords – housing associations Local communities •Community land trusts, public, management companies Charities Competitors 37 Redrow plc Sustainability Report 2013 Overview How do we engage? Design Comprehensive and regular engagement with financial institutions on a one‑to‑one basis. Continuous dialogue at all levels of Government and associated regulatory bodies on all aspects of policy, including climate change and sustainability. Working with local authorities with a proactive, partnership approach at specific development level. Participation in Government consultations. Customers Redrow maintains active senior Redrow representation within key organisations covering all aspects of our business. We adopt a positive partnership approach with all our suppliers and subcontractors to continually improve our working relationships and to assist in developing innovative products. Community We maintain dialogue with academic institutions to assist in development of new products and processes to meet the challenges posed by sustainability requirements. We work to build mutually beneficial relationships and solutions to unlock development sites. People We seek proactive engagement with utility and other service companies to deliver well designed services to our customers which optimise natural resources and reduce carbon emissions. Our comprehensive customer service charter and quality management processes are informed by extensive, independently produced customer surveys covering aspects of our design as well as satisfaction. We communicate information and news to all our employees though the Redroweb intranet system, regular newsletters and via email. Environment Annual appraisals are held with all staff in a two way dialogue, which seeks to assist in career development and continued performance improvement. An extensive suite of internal training courses is provided in house at our bespoke training facility, Training@Redrow which also supports graduate, undergraduate and apprentice training programmes. We work closely with local authorities and registered social housing providers to deliver affordable housing tailored to meet the needs of the community. We engage with charities, community care bodies and community support organisations on a national and local scale and encourage our staff to actively engage in charitable works. We work with our competitors to deliver successful, sustainable communities through consortium development and actively work together through trade organisations to seek solutions to the challenges of sustainable development. Governance & Performance We aim to work with communities to ensure local needs influence the shape and form of our developments. We maintain close communication with management companies to ensure a legacy of quality in our developments. 38 Redrow plc Sustainability Report 2013 Governance & Performance continued Performance Summary of our performance statistics Design Energy Homes with 100% low energy lighting Average SAP Homes fitted with renewable technologies Homes fitted with renewable technologies of which: •Photovoltaics •Solar thermal •Heat pumps •Biomass •Combined heat and power Homes fitted with SMART meters 100% 83 16% 7% 45% 13% 10% 25% 82% Code for sustainable homes Level 3 Level 4 25% 1% Homes built to Lifetime Homes Standard Homes built to Secured by Design 7.5% 12% Timber Credibly certified timber (WWF GFTN verified) People Trainees in workforce Employees under the age of 25 Training days delivered Staff CSCS carding NHBC Pride in the Job Awards Health and safety ROSPA awards Environment Water Home installation designed to 105l/p/d Rainwater harvesting provided Water consumption – divisional offices Water consumption – site 99.53% 14% 15% 2,687 99% 12 awards 8th consecutive Gold Award 4th consecutive Gold Medal 100% 35% 8.54m3/h/annum 19.2m3/unit Waste Homes provided with domestic recycling facilities Site waste diversion rate Expressed as tonnes/100 sq.m. developed floor area Pallet recovery – number recovered 25% 93% 8.21 16,250 Brownfield development Legal completions from brownfield developments c.60% 39 Redrow plc Sustainability Report 2013 Overview Sites featuring biodiversity plans 44% Design Environment continued Biodiversity Carbon emissions Scope 1 emissions tonnes CO2e Scope 2 emissions Car fleet emissions Community Transport Sites featuring travel plans Developments within 1,000m of public transport node Homes within 500m of public transport node Homes within 100m of amenities Sites registered Average score 27% 97% c.80% 82% 33 34.25 Community Considerate Constructors 115gco2/km Customers Average fleet emissions gCO2/km 4,519 2,092 Public open space >60ha Sites with commercial development/employment Monies committed to fund the improvement of local communities Public consultation events Charitable contributions 14 £40m >100 £630k People Area of POS provided Customers Customer satisfaction HBF rating Customers recommending 94% Environment Governance & Performance Redrow’s commitment to environmental issues is reflected in this Annual Report which has been printed on Cocoon Silk 50%, an FSC® certified paper. consultancy, design and production by @WeAre_DP This document was printed by Park Communication, who are ISO 9001 accredited. Vegetable based inks have been used and 99% of all dry waste associated with this production is diverted from landfill. Park Communication is a CarbonNeutral® printer. Redrow plc Redrow House, St David’s Park, Flintshire CH5 3RX Telephone: 01244 520044 Facsimile: 01244 520720 Email: [email protected] Redrow plc Sustainability Report 2013