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One voice for construction sector

10 July 2008

Following discussions with the major construction companies, the CBI has agreed to set up a Construction Council to represent contractors, house builders, civil engineers, component and product manufacturers, designers and support services headed by Carillion's John McDonough.

This new CBI Construction Council will be chaired by John McDonough, chief executive of Carillion plc and vice chairman of the CBI's Public Services Strategy Boardwill. It begins its work in September

Commenting on the move, the CBI's director-general, Richard Lambert said: "The UK construction industry consists of over 250,000 firms, employing 2.1 million people in a wide variety of roles, and accounts for almost 9 per cent of GDP. Until now, this important industry has not had the single unified voice it deserves.
The Construction Council will work closely with the major trade bodies to strengthen their efforts to represent the construction industry and ensure its concerns are clearly heard."

McDonough, who will lead the work of the new Council, added: "These are challenging times for the construction industry. While many companies continue to enjoy good markets in the UK and overseas, others, particularly those with exposure to the UK residential market, are facing challenging times. Setting up the new Construction Council is, therefore, particularly timely. The Council's new strategic role at the heart of the CBI will enable the whole sector to benefit from the CBI's unrivaled access at the highest levels in Whitehall, Westminster and Brussels."

The Construction Council will be considering a broad range of issues including the economy, energy, land use planning , procurement, climate change and skills.

McDonough has a strong background in the FM and is credited in developing Carillions service related activities. IHe joined Johnson Controls Inc in 1991 as UK MD of its Automotive Systems Group (ASG). After spells as firstly Vice President European operations and then Vice President Asia, Pacific for ASG, in 1999 John was appointed Vice President - Integrated Facilities Management (Europe, Middle East and Africa). John was responsible for delivering world-class service quality and value added integrated facilities management to global, pan European and national blue chip companies.

Since joining Carillion John has accelerated its strategy of developing its service-related business of private finance, infrastructure management and integrated facilties management while continuing to develop its well established construction activities on a selective basis. Carillion has now been transformed from being primarily a construction business to one that generates around half its revenue and some two thirds of its profit from service-related business. This transformation has created a strong platform for growth. In the last 3 years, Carillion has acquired Mowlem Plc and Alfred McAlpine Plc, almost trebling its annual revenue to £5.6 billion.

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