Peel Ports Group calls for smarter construction materials

Peel Ports Group is calling for a smarter approach to how construction materials enter and move around the UK.

The UK's second largest port operator is making the call ahead of Prime Minister Andy Burnham's first Budget, which it says is an opportunity to help the construction sector regain momentum.

The new government has set out what Burnham has called the biggest council housebuilding programme since the post-war period.
Back in June, it committed almost £10bn to build 70,000 new council and social homes in the first phase, as part of a wider pledge to deliver 1.5 million homes in this parliament.

However, the Housing Secretary Angela Rayner told the BBC this month that ‘headwinds’ mean there is a ‘slim chance’ of meeting this.
As well as this housing ambition there is a significant pipeline of infrastructure projects, including Sizewell C, the Lower Thames Crossing, the building of East Anglia reservoirs and the Heathrow Airport expansion, alongside vital road infrastructure and improvement work.

However, figures from the Office for National Statistics show construction output fell across April, May and June this year, with new orders down 11.8% quarter-on-quarter. 

Separate analysis from Glenigan found project starts down 11% quarter-on-quarter and 29% year-on-year, with housing starts alone down 25% quarter-on-quarter. 

David Huck, Chief Operating Officer at Peel Ports Group, said:

Despite being tasked with an ambitious pipeline of projects, the construction industry is seemingly struggling to overcome a combination of hurdles, from higher material costs to skills shortages, and the government has acknowledged even its own ambitions may not be achievable.

We believe an obvious place to start is with how vital construction materials get into and move around the country. A more considered, sustainable and better-coordinated approach could open up growth right across the country, and that's why we're partnering with like-minded businesses through our Sustainable Construction Partners.

Peel Ports Group's Sustainable Construction Partner collaboration programme seeks to enable port-centric hubs to deliver lower cost, carbon and congestion impact.

It brings the four organisations together at dedicated deep-water consolidation hubs, including the Port of London Medway and Port of East Anglia. The hubs are already supporting the delivery of Sizewell C, the Lower Thames Crossing and other major projects across the south east.

This work follows the four companies' collaboration on a wider research project into the UK's construction supply chain. It assesses where the biggest barriers to efficiency and resilience lie across the industry. Full findings will be published in early 2027.

Paul Roos, Ecocem’s Managing Director for North-West Europe said:

The UK has a major programme of housing and infrastructure to deliver, and we already have proven low-carbon cement technologies that can help deliver it with significantly less CO₂.

Ecocem has more than 25 years’ experience supplying low-carbon cement, including to some of the UK and Europe’s largest infrastructure projects. Our technologies integrate with existing cement manufacturing, concrete production and construction processes, delivering the performance the industry needs with significantly lower carbon. The priority now is to ensure these solutions are deployed rapidly and at scale.

Martin Johansen, Managing Director at Mibau Stema Group, said:

As one of Europe's leading aggregates suppliers, we know that a resilient supply chain matters just as much as the materials themselves. Our fleet of self-discharging vessels already moves large volumes of aggregates through deep-water terminals across the North Sea and Baltic, taking pressure off the road network and keeping major projects on schedule.

Working alongside Peel Ports and our fellow Sustainable Construction Partners, we want to bring that same model to the UK, consolidating materials at coastal hubs so housing and infrastructure projects get what they require without adding to congestion, cost or emissions.