Parliamentary News Release

049/2003

Thursday 21 August 2003

CORPORATE BODY ISSUES AUGUST UPDATE ON HOLYROOD

The Presiding Officer today wrote to the Finance Committee with the latest information about the Holyrood Project. The letter represents the second of the Scottish Parliamentary Corporate Body’s monthly reports as agreed with the Finance Committee in June 2003.

His letter confirms:

• Final completion is now July 2004. This represents an extension in the programme from the end of November 2003, principally caused by a delay to one critical and complex area.
  
• Successful completion of negotiations to finalise the cap on fees for all five principal consultants has resulted in a reduction of £4.6m in the estimated cost of the building.
  
• This £4.6m saving, as announced today and agreed by all consultants, secures cost certainty in this area as fees are now capped to the end of the project. There will be no fees on additional construction costs from now until completion.
  
• There will be cost implications arising from this report and it is anticipated these will be detailed in the September update.

Programme information

The outstanding information from the July report is now available:

• MSP office accommodation and Queensberry House - unaffected and remains end of November
  
• Towers 1 and 2 - end of January
  
• Towers 3 and 4 - end of February
  
• The Debating Chamber, Press Tower and Canongate Building - end of March
  
• Lightwell and public stair area behind the Chamber - early July 2004 including a period of 22 weeks for follow-on work after completion of the glazing components.
  
• Final handover of completed complex - July 2004
  
• External landscaping - end of August 2004

Why the delay in programme?

At the time of the last monthly report, the two most complex parts of the site where programme information was still outstanding were the glazed public stair to the rear of the Chamber and the adjacent lightwell.

Further information on this area is now available and the latest programme has been amended to reflect the difficulties being faced with the north lightwell and elements of those buildings which interface with it.

• Meeting the blast criteria is resulting in major problems for fixing of windows. Bolt holes have had to be re-drilled, which is time-intensive and this has required the removal of some cladding elements.
  
• The windows for these areas are being produced by Drawn Metal. Initially, it was estimated that 24 windows per week would be fitted. Under the latest proposals, this figure is down to 12 windows due to the construction implications of the additional blast proofing requirements.
  
• The delays to the Tower windows has the greatest impact since scaffolding was required to resolve the issues, there was a knock-on effect to works around the Chamber, as it prevented Mero – the specialist glazing contractor - having access to the same lightwell area.
  
• The design, manufacture and installation of the blast doors for the building have also generated difficulties. Each door is individually made and now requires substantial fixings and frames which had not been incorporated in the original design.

Further details can be found in the Technical Annexe (pdf).

Fees

Since the July report, negotiations to finalise the cap on fees have been successfully concluded. Following hard work from everyone involved, the Parliament’s five principal consultants (EMBT-RMJM; RMJM Services; Ove Arup; DLE and Bovis Lend Lease) have now agreed to convert their percentage fees to a “once and for all” lump sum at an agreed level.

The Presiding Officer today wrote to the Finance Committee with the latest information about the Holyrood Project. The letter represents the second of the Scottish Parliamentary Corporate Body’s monthly reports as agreed with the Finance Committee in June 2003.

Impact on costs

On cost, the Presiding Officer’s letter sets out that:

• As a result of the fee negotiations, the bottom line of the project budget contained in this report has reduced from £373.9m to £369.3m from June to August
  
• £3.2m identified as risk in the last report is now identified as committed construction costs, largely associated with delays on site and blast-related difficulties in some areas.
  
• There will be cost implications arising from this report and it is anticipated these will be detailed in the September update.

Migration to the building

The reported delay presents the Parliament with a number of issues if migration to Holyrood is to be postponed until Summer 2004 recess.

Starting business at Holyrood remains a top priority and the implications of this are now being examined as a matter of urgency by officials.

The basement and Towers 1 and 2 will be available for Parliament staff to gain access for familiarisation, training and systems testing in January, with Towers 3 and 4 following in February.

The Parliament’s Presiding Officer, George Reid, said:

“ The total immediate saving associated with the comprehensive cap is £4.6m.

“For the first time in the project there has been a real cut in cost. But it is to be regretted this comes simultaneously with an increase in time which will have financial implications.

“My guiding principles remain transparency, a commitment to the public purse and access to a building of quality at the earliest possible opportunity.”

• Link to the Presiding Officer’s Letter to the Finance Committee
• Link to Annex to letter (pdf)
• Technical Annex (pdf)

For further information the media contact is:

Sally Coyne: 0131 348 6269
email: sally.coyne@scottish.parliament.uk
Please note images as contained in the technical annexe will be made available to picture desks.

For public information enquiries, contact: 0131 34 85000

For general enquiries, contact: 0845 278 1999 (local call rate)
email: sp.info@scottish.parliament.uk
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