The Week That Was - 28 November 2025
Welcome to The Week That Was, a round-up of key events in the construction sector over the last seven days.
New contract model launched for nuclear fusion schemes
A new contract model for nuclear fusion construction projects, developed by Fusion for Energy and King’s College London, is based on the FAC-1 framework alliance contract from the NEC suite. It unites consultants, contractors, and suppliers under a collaborative agreement, with the design phase delivered via a “pure alliance” model—partners agree not to pursue legal action against each other. The construction phase allows for traditional or bespoke contracts, drawing on lessons from the ITER Tokamak project, the contract promotes early supply chain involvement and meaningful SME participation, giving smaller firms a voice throughout project delivery. This approach is expected to enhance collaboration, innovation, and risk-sharing in future UK fusion schemes, such as the STEP facility, and may set a precedent for more inclusive contracting in major infrastructure projects.
The full article can be found here [may require subscription]
Octavius deal pushes RSK deeper into infrastructure sector
RSK Group, a major environmental and engineering services conglomerate, has acquired civils contractor Octavius from Sullivan Street Partners, further strengthening its position in the UK infrastructure sector. Octavius, ranked 61st in the CN100 table, specialises in transport infrastructure and reported a turnover of £276.7 million and a pre-tax profit of £4.7 million for the year ending 31 March 2025, with an average monthly workforce of 684. RSK’s chief executive, Alan Ryder, described the acquisition as a “pivotal step” in expanding RSK’s presence in safety-critical infrastructure delivery, particularly transport and water, which now represents 14% of RSK’s revenue and is its fastest-growing segment. Octavius’s chief executive, John Dowsett, will remain in post, ensuring continuity. The deal is expected to accelerate RSK’s growth and expertise in delivering complex infrastructure projects across the UK.
The full article can be found here [may require subscription]
Welsh Government announces plans to modernise the construction industry
In November 2025, the Welsh Government announced two major strategies for the construction sector: the Built Environment Mission Statement and the Digital Action Plan for Construction. The Mission Statement sets out a strategic vision for a resilient, innovative, and socially responsible industry, aiming to unify the sector around efficiency, productivity, profitability, innovation, safety, and sustainability. Key objectives include strengthening local supply chains, promoting best-practice payment behaviour, supporting modern construction methods, reducing waste, advancing net-zero goals, and improving building safety. The Digital Action Plan targets increased digital adoption, outlining priorities to boost productivity, project delivery, and future-ready skills. Proposed initiatives include funding client-awareness campaigns, piloting emerging technologies, and developing digital twins for public sector assets. Both strategies emphasise transparency, collaboration, and improved access to upcoming public sector contracts, with a focus on overcoming barriers to digital skills and adoption across the sector.
The full article can be read here [may require subscription]
Equans cites Grenfell evidence in £2.73m cladding claim against manufacturer Arconic
Equans has initiated a £2.73m High Court claim against the French manufacturer, Arconic, alleging the manufacturer knowingly supplied unsafe Reynobond 55 polyethylene (PE) aluminium composite cladding for three council high-rise blocks in north London refurbished between 2011 and 2012, which was later installed on Grenfell Tower and identified in the Grenfell Inquiry as the "primary cause" of the deadly fire in 2017.
In support of its claim, Equans has relied on evidence disclosed during the Grenfell Tower Inquiry including Arconic's internal emails, test results and marketing documents which demonstrate that Arconic was aware of the serious fire risks before the disaster.
The claim is brought under section 149 of the Building Safety Act 2022 (which applies to manufacturers of inherently defective cladding products).
Read the full article here.
Modular build Merit enters administration
Offsite construction specialist Merit has entered administration, resulting in the loss of the majority of its 340 jobs. Joint administrators from Interpath were appointed to Merit Health Limited, Merit Holdings Limited, and the wider Merit Group Services in mid-November 2025.
Based in Cramlington, Northumberland, Merit delivered modular projects across healthcare, life sciences, education, battery technology, and aerospace sectors. The company faced severe cashflow pressures following contractual disputes, project delays, and an unexpected winding up petition, which stalled new contracts and ongoing work.
Despite efforts to refinance or sell the business, directors opted for administration after failing to secure a solvent solution. The collapse has halted major projects, including a £33m hospital in Berwick, and is expected to impact creditors and the wider supply chain.
Read the full article here.
With thanks to Tess Turner, Holly Bentley and Aleksander Polaszek
Disclaimer: The information in this publication is for guidance purposes only and does not constitute legal advice. We attempt to ensure that the content is current as at the date of publication, but we do not guarantee that it remains up to date. You should seek legal or other professional advice before acting or relying on any of the content.
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