Barratt Corporate Social Responsibility Report 2004 About this report Contents

About this report 2 This report covers all aspects of the Group Chief Executive 3 Barratt Group’s Corporate Social Responsibility (CSR) activities. In About us 4

particular it addresses our social and Areas of Operation 5 environmental performance, the Awards, Recognition and Highlights 6 management of Occupational Health & Safety, our investment in the training CSR Policy Statement 7

and development of our workforce and Environmental Policy Statement 8 our engagement with our customers, Occupational Health & shareholders, suppliers, contractors Safety Policy Statement 9 and other stakeholders in the delivery CSR Objectives & Targets 10 & 11 of our CSR obligations. Key Performance Indicators 12 & 13

Details of our economic performance Environmental Aspects 14 are included within our Annual Report. Recovery & Revitalisation of Land for Urban Regeneration 15 This is our first report and it has been Waste Arising from Operations 16 the subject of an external assurance process. A verification statement is Employment & Diversity 17

included from our verifiers SEQM Ltd. Advance Housing Limited 18 & 19

Occupational Health & Safety 20 & 21

National Supplier Arrangements 22

Governance & Risk 23

Stakeholders 25

GRI Content Index 26 & 27

WWF Assessment Criteria 28

Case Studies 29 to 43

Verification 44

Feedback Form 46

Group Structure & Directory 47

2 This is nothing new for the Barratt Group. We have been active in urban and inner city regeneration schemes throughout the UK for close on 30 years, and certainly long before such schemes became fashionable. This report includes just a few case studies from across our areas of operation illustrating the breadth of experience and the commitment of our management and staff to the delivery of high quality housing and the creation of environments which in our view make our towns and cities finer places in which to live.

We believe we have learnt a lot from the process of preparing this first CSR report. We have reviewed, and have a better understanding of, the environmental and social impacts of our business. We are developing new management systems to improve our effectiveness and we are actively engaging with our customers, our staff, Group Chief Executive our suppliers and contractors to ensure that the commercial benefits of our CSR performance are embedded throughout our culture. The objectives and targets we have set for the year ahead show Welcome to this, our first Corporate Social there is still work to be done, but there is much Responsibility (CSR) Report, which summarises our we already do in terms of CSR performance that corporate, social and environmental activities to we are learning to communicate more effectively 30th June, 2004. In last year’s annual report and to our stakeholders. accounts we promised that the Group would produce a separate report on our CSR performance. The Board has approved a new CSR policy statement. The policy sets the parameters for the We believe that to be of value to our stakeholders development of our longer-term objectives, and the information contained in this report should be these are described in detail in the report. appropriate, reliable, and transparent. It identifies not only our strengths but those areas of our CSR A major benefit from the exercise has been the performance we have targeted for improvement. establishment of a team of senior personnel led The report is a factual summary of what we have by a member of our Executive Board to drive this been doing and what we plan to do in the future. initiative within the business.

It seeks to explain how we manage CSR within our The Company continues to embrace CSR and we business by providing products and services of the are actively working to integrate it as part of our highest standard to our customers and normal business operations. Many of the stakeholders. This enables us both to fulfil our activities outlined in this report will result in legal obligations and at the same time improve our direct commercial benefits such as reduced costs, overall performance and profitability. customer retention and staff development, all of which contribute positively to our overall business As a provider of housing across all markets, both performance. private and social, the improvement and development of sustainable local communities is at We are pleased with our achievements and look the heart of everything we do. We believe the forward to recording further successes as we commercial success of our business, and through pursue our programme in the 2004/2005 that the return to our shareholders, will best be financial year. If you have any comments about enhanced by the delivery of high quality homes on this report or suggestions for improvement, we safe, well managed sites where improvement to the would like to hear from you. I hope you enjoy environment, the availability of necessary social reading about our progress. amenities, infrastructure and transport links, are considered and addressed at each stage of development – feasibility, design, planning and construction. David Pretty Group Chief Executive 3 About us

Barratt has built homes We directly employ 4,399 people Perhaps more importantly, in the and with an annual turnover of over context of this report, are the factors and communities in towns £2.5 billion, our operations generate underpinning our achievements and and cities across Britain employment and commercial our determination to generate further for the last 46 years. opportunities for our numerous value for our shareholders from our supply and contracting partners and core business _ creating high quality In all, we have built the many specialist advisors on homes in sustainable communities. around 300,000 new whom we depend. We have a Here are just a few of the attributes homes for our customers network of 5 regions and 32 and values which help us to deliver housebuilding divisions strategically our CSR objectives: in places they choose to located in the communities in which live. they operate throughout the UK. • Vision to see the opportunities Our development operations span the For almost 30 years Barratt has been beyond the present state at the forefront of urban regeneration length and breadth of Britain and we • Commitment and determination to in the UK and over 80% of our are currently developing on over 400 make the vision reality sites, helping to meet housing developments utilise brownfield land; • Highly skilled management and demand in towns, cities and rural in the South East the figure rises to workforce with a track record of areas. over 95%. Putting that in perspective, this year alone, we have performance recycled over 700 acres of • Acceptance that solutions cannot brownfield land throughout Britain. be provided by us alone

Such work drives our unrivalled • Reliance on partnership, drawing organic growth, our profitability and together the skills of the public, the return generated for our private and voluntary sectors shareholders. In the last 10 years • Listening to and understanding our volumes have increased from the needs of our customers, of 6,000 to the current 14,000 homes local authorities, our housing a year and our profits by an average association partners and the of 20% a year. communities in which we work

• Outstanding designs, quality of construction, service to customers, value and choice

4 The Firs at Bexley Grange, Dartford - a recycled hospital site Areas of Operation

Northern Region

Regional office: Divisional Offices: Newcastle upon Tyne • Ellon • Edinburgh Northern Region consists of • Leeds 6 divisions with offices in: • Newcastle upon Tyne • Falkirk • York

Central Region

Regional office: Divisional Offices: Manchester • Ellesmere Port • Nottingham • Manchester Central Region consists of • Northampton 6 divisions with offices in: • Sheffield • Halesowen

West Region

Regional office: Divisional Offices: Bristol • Bristol • Exeter • Maidenhead West Region consists of • Coventry 6 divisions with offices in: • Cardiff • Southampton

Southern Region

Regional office: Divisional Offices: Brentford • Stratford • Chelmsford • Watford Southern Region consists of • Wallington 6 divisions with offices in: • Guildford • Brentford

KingsOak Region Divisional Offices: Regional offices: • Milton Keynes Halesowen • Coventry Maidenhead • Bristol • Halesowen • Hemel Hempstead KingsOak Region consists of • Southampton 8 divisions with offices in: • West Byfleet • Maidenhead 5 Awards, Recognition and Highlights

Award 2003/04 2002/03 2001/02

Gold: Gold: Gold: Best Luxury Development: Best Luxury Development: St Leonard’s Best Large Housebuilder Hill, Windsor The Grange, Oxshott Best Brownfield Development: Best Starter Home: The Coleridge Park, Hertford 3 Bronze Heights, Stratford, London

1 Silver Best Brownfield Development: Barrier Point, London E16 Annual awards organised by 1 Bronze ‘What House?’ magazine 1 Silver 1 Bronze

17 Awards: 12 Awards: 20 Awards: Special Award: Special Awards: Ashford; Bolton; Bradford; Bridge of Weir; Dorking; Efail Isaf; Park Farm, Frampton Cotterell, Wildfowl & Pierhead Lock, Isle of Dogs - Farnborough; Goffs Oak; Hull; Wetlands Trust Award English Partnership Award Newcastle; Northampton; Ottershaw; Regional Award: and also the Wildfowl Porthcawl; Purley; Rotherhithe; Southern: Summerfields, Stanway & Wetlands Trust Award Tonbridge; Wapping; Warrington; The Wirral; Woking Other Awards: Regional Awards: Annual awards organised by the Basingstoke; Beckenham; Bushey; Croxley London: Pierhead Lock, Isle of Dogs New Homes Marketing Board in Green; Chester-le-Street; Glasgow; Haywards Scotland: Castle Park, Bothwell partnership with the Daily Mail and the Heath; Kensington; Pinner; Southend; Southern: Park View, Southampton main sponsor Hanson Stonehaven; Sutton-in-Craven; Wakefield; Westminster; York Other Awards: Berkhamstead; Ellesmere Port; London EC4; Isle of Dogs; Poppleton; Virginia Water; Winchmore Hill, London N21

Major Housebuilder of Major Housebuilder of Major Housebuilder of the Year the Year the Year (Finalist) (Finalist) Annual awards organised by Winner ‘Building’ magazine

5 Regional Awards Supreme National Winner – 1 Regional Award 12 Seal of Excellence Awards Keith May 9 Seal of Excellence Awards 35 Quality Awards 1 Regional Award 26 Quality Awards 6 Seal of Excellence Awards Annual awards organised by the 30 Quality Awards National House Building Council

Pebble Beach, Barry Dettingen Park, Camberley, Barrier Point, London E16 Selected • Your New Home Awards Surrey • Evening Standard Awards Winner - Best Exterior Design Best Development of the Year Award-winning • Your New Home Awards • What House? Awards Best Development for Family • Mercedes Benz International Projects Bronze - Best Apartment Living – Runner-up Property Awards Best UK Development Thames Walk, Thamesmead Prince Regents Gate, London NW1 • What House? Awards • Sustainable New Homes Best Apartment – Bronze Awards • What House? Awards Best Interior Layout – Bronze Best Partnership Development – Silver Achieved Sustainability • National Homebuilder Design Standard Royal Courts, Sunderland Awards Best Development of the Year – Commendation; Best (Organised by HBF in partnership 21st Century Living Awards • Apartment – Commendation with WWF) Overall Winner Best Apartment – Winner Maypole Green, Harlow • National Homebuilder Design Awards 6 Best New House in England - Commendation CSR Policy Statement

Barratt is a major housebuilder employees, provision for staff operating throughout the UK. We advancement, as well as the provide new homes for all market protection of the Occupational sectors, including social housing for Health and Safety of the public and rent and shared ownership. of our employees and contractors.

We are committed to legal We are actively seeking to engage our compliance in all our activities and customers and other stakeholders, strive for continuous improvement in especially our staff, contractors and all areas of our business. We have national supply partners, who are adopted appropriate measures to central to the success of our CSR help us to monitor and improve that activity. performance, as demonstrated in our Our site managers won 5 top NHBC Regional Awards for quality workmanship - annual Corporate Social Copies of this CSR policy statement more than any other housebuilder Responsibility (CSR) report. may be obtained from our website and from published reports. We At every stage of development, from invite your comments as a feasibility assessment, to the design, stakeholder and hope that they will construction and occupation of the assist us in keeping our annual homes we build, Barratt considers policy review up to date. the economic, environmental and social issues relevant to the project. In the creation of sustainable David Pretty development we seek to promote best practice in the acquisition of materials, in design standards, in the construction process and in the service provided to our customers as they take up occupation of the houses we build. Regeneration of land used for other purposes is the cornerstone of our development activity.

Fundamental to our operation is profitability, which is linked to the potential impact of our development on the local economy and in the creation of attractive and healthy living environments. Our responsibilities extend from the encouragement of social inclusion in local communities, to the development of the skills of our

Bear Wharf, Reading 7 Environmental Policy Statement

Barratt is a major housebuilder operating throughout the UK. We provide new homes for all market sectors, including social housing for rent and shared ownership.

West of the Green, Bristol - a former hospital site

The Group recognises its Site preparation and construction • Maximise the use of natural responsibilities to assess and operations are closely monitored in features in our developments minimise the impact of its business conjunction with Local Authorities, wherever possible operations on the environment and to the NHBC and Environmental prevent pollution. We are committed Agencies. We aim to work closely • Minimise waste from our business to compliance with all legal and with construction teams and operations other relevant requirements in all our contractors to address issues arising • Work closely with our suppliers to activities, and we strive for from on-site activities, minimising ensure that care is taken in the continuous improvement in all areas any disruption to local communities selection of materials and of our business. Wherever possible and encouraging efficiency. products through regard for their we restore and enhance the natural environments in which our The Group is an industry leader in environmental performance developments are set. the recovery and revitalisation of land • Ensure that our building designs with a prior use, aware of the many meet efficient standards for consequent benefits to both the energy and water use environment and local communities. Over 80% of the land developed by • Reduce the risk of accidental the Group has had a prior use and pollution from our building much of it comes from reclaimed, operations former derelict land, reducing the need for new infrastructure and • Ensure in all land feasibility helping to improve the quality of life reports that we highlight and the environment in the environmental issues at the communities we create. earliest opportunity, so that appropriate measures can be In delivering these commitments we considered in line with best have established the following practice to avoid or minimise objectives: adverse environmental impact

Copies of this Environmental Policy Statement may be obtained from our website and from published reports. We invite your comments as a stakeholder and hope that they will assist us in keeping our annual policy review up to date.

David Pretty

8 Occupational Health & Safety Policy Statement

The Group strives to operational activities, and that health and safety receives equal priority manage its operations with all other aspects of business through trained and management. competent staff and to The content of this Policy is brought safeguard, insofar as is to the attention of all employees, who are expected to accept their reasonably practicable, the individual responsibility for working health, safety and welfare safely and adhering to safety rules, safe working procedures and the use of our employees and any of any protective equipment other persons likely to be provided. affected by our activities. The Group provides appropriate The prevention of health and safety training to employees to enable them to meet accidents involving the Group’s objectives. personal injury, and the Our health and safety manuals and reduction of work-related procedures are available at each ill health, are central to workplace, and all or relevant parts of them are provided to employees as our health and safety determined by their particular work objectives. activity.

The Group has established a Health and Safety Advisory Group, The Group is committed to providing comprising some of its most skilled a safe working environment through and experienced Directors and the proper planning, design and Managers, to help ensure that our implementation of the work in which Occupational Health and Safety it is involved. In addition, we aim to Policy and management systems are achieve continuous improvement by regularly reviewed and kept up to setting objectives and targets against date. which performance is audited and monitored. The Group operates a We are all individually responsible for "Forward Through Quality" employee the health, safety and welfare of award scheme which seeks to raise others, and the Group believes that a standards throughout all aspects of shared commitment to our objectives our business. The monthly will help us create a safer working assessment of health and safety environment across our operations. standards on site are an important part of the Forward Through Quality Copies of this Occupational Health scheme and every three weeks each and Safety Policy may be obtained site is subject to an independent from our website and published safety inspection undertaken by reports. We invite your comments as qualified NHBC safety advisors, a stakeholder and hope they will providing a preventative site audit for assist us in keeping our annual all of our construction sites. policy review up to date.

All Group Managing Directors are responsible for ensuring that this David Pretty Policy is implemented in all

Specialist skills at Globe View, 9 London EC4 CSR Objectives & Targets 2004/2005 Programme

To underpin our policy statements and to drive continuous improvement in our business, we have established sets of objectives and targets under the headings of CSR, Human Resources, the Environment and Occupational Health and Safety.

2004/2005 Objectives CSR O1 Improve our CSR monitoring arrangements with operating divisions and with suppliers to ensure that performance improvement is transparent and sustained.

O2 Establish certified management systems for environmental performance and for Occupational Health & Safety to consolidate the gains already achieved and to ensure continuous improvement. Human Resources O3 Launch Employee Handbook, issuing personal copies to all current and all new employees. O4 Review employee/personnel processes across the Group and establish a Best Practice Process Guide for managers. O5 Review current employee practices across the Group and establish Group-wide employee communications framework utilising a newly developed wide area network and intranet. 06 Expand careers webpages of current websites to advertise all job roles. Environment O7 Maximise the use of natural features in our developments wherever possible. O8 Minimise waste from our business operations.

O9 Work closely with our suppliers to ensure that care is taken in the selection of materials and products with regard to their environmental performance. O10 Ensure that our building designs meet efficient standards for energy and water use. O11 Reduce the risk of accidental pollution from our building operations. O12 Ensure in all land feasibility reports that we highlight environmental issues at the earliest opportunity so that appropriate measures can be considered in line with best practice to avoid or minimise adverse environmental impact. Occupational Health & Safety O13 Reduce accidents that cause injury to persons working on or visiting any of our places of work. O14 Promote health safety and welfare as an integral part of management and leadership. O15 Provide competent staff through a structured training programme.

O16 Develop close working relationships with our suppliers and sub-contractors. O17 Control Health and Safety through more effective design. O18 Introduce an audit compliance programme in relation to the Group Occupational Health and Safety Management 10 System. Wherever possible these are measurable or can at least be monitored, and we propose to report our performance against these in the coming year or if they change against revised objectives and targets.

2004/2005 Targets CSR T1 Agree a definitive set of key performance indicators with the operating divisions and with suppliers to provide the basis for recording future performance. T2 Report performance annually against those indicators.

T3 Establish a system to be certified against the provisions of ISO 14001 for 3 operating divisions by March 2005. T4 Establish a system to be certified against the provision of OHSAS 18001 for 1 operating division by December 2004. Human Resources T5 Launch to all employees by October 2004. T6 Develop and implement by August 2005. T7 Establish communications framework by March 2005.

T8 Establish by October 2004. Environment T9 Produce a guidance note for use at development sites on what should be protected and why. T10 Continue to reduce waste from our business operations and identify further opportunities for recycling. T11 Encourage good environmental practice by continuing to segregate waste materials. T12 Develop an environmental management system with detailed monitoring procedures and full auditable documentation. T13 Focus on compliance with Duty of Care provisions at site level. T14 Pilot two new specifications with proven environmental benefits.

T15 Review energy and water efficiency criteria for building design. T16 Develop specific guidance for site operations. T17 Develop a pre-development checklist.

Occupational Health & Safety T18 Meet the HSE’s Revitalising Health & Safety Initiative targets. T19 Develop closer working relationships with our contractors/suppliers. T20 Maintain a well-trained management team where a minimum of 70% of managers are trained in accordance with group standards. T21 Promote a " Working Well Together" programme with our suppliers and sub-contractors. T22 Complete a revised Design Management Template within the next financial year. T23 Audit every division within 2004/2005 financial year.

11 KPIs are an essential tool in the measurement of the performance of an organisation, and allow it to be benchmarked in relation to the rest of the industry.

Performance indicators, both qualitative and quantitative, are at the core of any sustainability report. Best practice requires performance indicators to be grouped under three sections covering the economic, environmental, and social dimensions of sustainability.

Economic indicators concern an organisation’s impacts, both direct and indirect, on the economic resources of its stakeholders and on economic systems at local, national, and global levels.

Environmental indicators concern an organisation’s impacts on living and non-living natural systems, including eco- systems, land, air and water.

12 Key Performance Indicators (KPIs)

Social indicators concern an have contacted each of our operating operating divisions and with organisation’s impacts on the social divisions, our principal suppliers and suppliers, which will provide the systems within which it operates, contractors, as well as other parties, basis for recording future e.g. labour practices, human rights, to ask for their help. This is the first performance. and broader social issues affecting time that this has been attempted in consumers, communities, and other a structured manner and it is a We have been successful in stakeholders. Because many social process which we hope to collecting data for the majority of the issues are not easily quantifiable, consolidate. In fact we have a target 45 indicators, a summary of which is best practice is to use qualitative (T1) to agree a definitive set of key recorded by Region below. A information where appropriate. performance indicators with the summary of the data collected from our suppliers is recorded elsewhere In preparation for this report we have in this report. Should you wish to attempted to collect specific data on know more about the way in which the 45 indicators relevant to our Incident rate the data was collected or the issues business. To assemble this data we involved, please contact us. 100

90 QualificationsQualifications & S TrainingTraining 80 and skills 70 60 50 40 Commercial 30 vehicle 20 Working hours movement 10 0

Energy usedused SicknessSickne absence

MainsMains waterWater Use use PayPay

Operating units were requested to Benchmark scores are a method by which the performance of Barratt in key areas can be Northern provide 2 groups of information for compared with that of other companies in the Central projects completed in the period 1st same industry sector (as taken from: "A West July 2003 to 30th June 2004: Complete Housing KPI Toolkit 2003, HMSO"). Southern Technical information and For example, a benchmark score of 70% indicates that 70% of projects or companies are KingsOak Operational project information. achieving equal or lower performance, and 30% Average The summary of the feedback by are achieving higher performance; the higher Region is as illustrated. the benchmark score, the better the performance in that area. 13 Environmental Aspects Sand Wharf, Cardiff Bay

We have considered all the Those environmental aspects which are most important have been stages of our development identified using a recognised activity from feasibility evaluation method and provide the basis for our future performance assessment, design, targets (set out in pages 10 and 11). construction and the They include the following:

subsequent occupation of • The recovery and revitalisation of new developments by our land customers and have • The use of materials, energy and identified a range of water environmental aspects • The control of discharges to surface water from site operations relevant to our business, and the avoidance of accidental which are described pollution below. Each of these • The management of solid waste environmental aspects can arising from site operations give rise to an impact, • The protection and enhancement of natural features on our which in turn can result in developments

an environmental change • Community aspects including arising from our activities noise, nuisance and annoyance to and services. adjoining residents, traffic management and visual intrusion

• Aspects relating to the natural environment (including fauna, flora and landscape)

14 Recovery and Revitalisation of Land for Urban Regeneration

The recovery and Urban regeneration on brownfield Lastly, throughout the long history of sites is not just about managing the business Barratt has been a revitalisation of land is environmental risk. Increasingly leader in the provision of social one of the most important planning conditions require us to housing and was a pioneer of the include in our schemes high levels of concept of social housing environmental impacts of mixed use, including commercial, partnerships. We actively work in our business. For retail, leisure, recreational, partnership with local authorities and educational and other amenities housing associations to produce decades, Barratt has been which add significantly to the much needed homes for rent, shared acquiring and reclaiming financial and commercial risks of ownership and low cost sale, development. The management of including key worker housing and redundant, often risk, environmental, commercial and housing for the elderly and people contaminated, land and financial, is critical to the success of with special needs. our CSR strategy. We have a proven recycling it to create track record in the effective In the last six years we have exciting new housing management of such risks and all increased our output of social schemes are subject to rigorous housing by 250% from 376 homes environments. feasibility and financial appraisal in 1997/98 to 1,308 in 2003/04. against standard Barratt Group Since 1990 we have built over Over 700 acres of brownfield land requirements ahead of 11,000 homes for our housing were recycled in the year: commencement. The phased association partners. implementation of the ISO 14001 • Equivalent to 1.9 acres of environmental management system redundant land recycled for every and the development of our CSR day of the year Team will help to strengthen our risk management systems in the year • On current volumes we build over ahead. 250 new homes each week, more than 200 of which are built on Our success in urban regeneration brownfield sites and land recovery cannot be • Around 11,500 homes were built achieved on our own. We actively work with dynamic teams of on brownfield sites in the year architects, planning experts and environmental consultants to produce Our skill and experience in salvaging custom designed developments, both difficult sites in urban locations, classic and modern, on every scale combined with an ability to design, from small infill schemes to entire fund and deliver higher density and town centre developments. high-rise developments, mean we can often provide outstanding housing solutions where others cannot. We have acquired and Park Farm, Bristol - Wildfowl and Wetlands Trust Award winner developed management expertise to enable us to overcome the most challenging technical problems. Working with our specialist external advisors, our environmental assessments enable us to identify and manage environmental impacts in the construction process.

15 Waste Arising from Operations

Since 2001 we have Wastefile collect waste tonnage data Plans for the future for each Division under the headings worked with Wastefile UK of general, compactable, inert, In addition to the objective set to as our waste management timber, plaster and other. Once the minimise waste from our business waste is segregated and recorded it operations we are now pursuing the facilitator on all our is then possible to make following initiatives: development sites. improvements in reducing, recycling and re-using waste. Together we have • Plasterboard and gypsum-based wastes contribute to the majority established a clearly To help us comply with the of our landfill waste. Through provisions of our "duty of care" at all Wastefile we are investigating the defined waste operational sites we have use of proven technology to implemented a carefully controlled management policy, which implement a collection and auditable waste transfer system, has been incorporated which traces the waste from its recycling system for gypsum- within our planned targets; creation to storage and segregation, based products collection and disposal or recycling see pages 10 and 11. • We are investigating the and re-use. application of the "Fold-a-Skip" logistical system at all Group developments to improve on our Performance to date capability to segregate waste at Together we have vigorously site level implemented these aims and • Barratt has been working with objectives at all sites, and can Glacier ARM to investigate the consequently point to a number of production of tailor-made significant achievements including: replacements for alumina, iron, shale and sand to further reduce • 99% of the inert waste from our wastage from our construction sites is recycled as hard core base activities for roads and pavements • Barratt is collaborating with a • 100% of timber waste is team of technologists to convert reclaimed at one of 3 UK facilities the sources of waste material into • 100% of paper and card, which is composite products segregated, is baled for transport • In partnership with Wastefile UK to paper processors we are developing an • 100% of metal waste, which is Environmental Business Growth segregated, is transferred to a Action Programme involving licensed waste facility for Advantage West Midlands, the recycling Black Country Chamber and • 76% (39,156 tonnes) of waste is Business Link, EnviroInovate, the recycled and the remaining 24% Learning Skills Council to provide (12,365 tonnes) of waste goes recycled materials as sustainable directly to landfill products for the construction industry

16 Employment & Diversity

The Group currently has a Scheme (CSCS). CSCS will cover all of our construction site-based total of 4,399 employees, employees from management to 25% of whom are female. apprentices by June 2005, almost With 530 apprentices 50% of our headcount. employed by our divisions, The Group operates a three-year Barratt has the largest apprentice training programme and we are the industry leader in such apprentice training training. We currently have 530 programme in the apprentices and we are continuing to expand the programme. Above: Graduate trainee Alex Scott housebuilding industry, Below: Bristol-based apprentices providing key skills training We are actively seeking graduates to over a period of three years fill trainee positions. Of the 55 graduate trainees we employ, 25% in areas such as bricklaying, are female. We have raised our carpentry and plumbing, and profile amongst graduates in association with Graduate Prospects. is making a major Our aim is to develop our company contribution to the next careers webpages to facilitate generation of construction recruitment of graduates and other employees. skills in the sector. As part of this year’s Three-Year During 2004 we reviewed all of our Strategic Plan, the Group Board has In 2005 we will be developing a fully current employment policies across decided to review Management integrated HR and payroll IT system the Group to develop a Group-wide Development Programmes across the which will allow us to maintain data set of policies and procedures which business. have been collated into an Employee on the diversity of our employees. Data will be gathered through a Handbook. The Handbook was One target for 2004/05 is to review survey of all employees, the structure launched during September 2004 to our current employee communication of which is currently under all Group employees. processes and establish a Group-wide development. Communications Framework. The One of the policies in the Employee objective behind this activity is to Also in the forthcoming year we are Handbook is an updated Equal ensure all of the good work we are going to examine our Opportunities and Harassment Policy developing and implementing is personnel/employment procedures which emphasises the Group’s shared with our employees. As part across the Group and develop a Best commitment to ensuring that its work of the improvement of Group Practice Guide for Managers. This is places are free from unlawful communications, a Wide Area aimed at embedding Best Practice discrimination, harassment or Network is currently being provided procedures to cover the employment victimisation, whether on direct or which will enable us to establish a life cycle of all employees. indirect grounds. Group intranet to further enhance our communications capability. The Group is committed to the provision of training and development which addresses the requirements of the workforce at all levels of the organisation. To realise this goal the Group has a well established Annual Training Plan process. Working in close association with the CITB and the NHBC, a wide range of standard training is provided. We have taken our commitment to training and competence one step further this year by making a commitment to the Barratt is the industry leader in training with over 530 apprentices including these from our 17 Construction Skills Certification East London division Advance Housing Limited

Advance Housing Limited, The production facility is equipped All Advance produced homes now with the very latest in modular off- exceed Building Regulation a joint venture between site technology and will be capable standards and are subject to rigorous the Barratt Group and of producing complete homes testing procedures, including utilising these modern methods – a acoustic checks, thermal efficiency Terrapin, the pioneer pre- combination of pre-finished pods and and air-tightness. engineering specialists, wall panels – at a rate of up to 10 per day when in full production. represents a new concept Initially, however, output will be Construction Phase Benefits in housebuilding which gradually increased as production techniques and on-site construction • Controlled conditions and a uses off-site manufactured procedures are refined. We plan to process approach to steel-framed components. deliver around 300 new homes in the manufacturing allows much better year subject to achieving the control and monitoring of waste, After several years of necessary planning approvals. and allows improved opportunities research Advance has for re-use and recycling. The Against the background of the Barker facility is currently monitoring commenced production Review into housing under-supply from a state-of-the-art and a range of Government utilities, water usage, and initiatives, including specific packaging used per house, and a facility in Daventry and Housing Corporation funding, waste reduction programme is the first homes have now designed to encourage increased use being implemented of modern construction methods, •CO2 emissions from the period been completed. Advance Housing represents a further June 03 - April 04 are 10,670 kg development in UK housebuilding technology. It demonstrates the CO2 per house built. This figure forward vision of Barratt and its should reduce as throughput commitment to eradicating problems increases which have constrained the sector for • Water usage from the production far too long. From the outset our facility over the period March 03 - objectives were simplicity in the March 04 was 594 m 3, or manufacturing process, early approximately 11.4 m 3 per house weather-tight shells, high levels of energy efficiency, zero defects, less built waste and safety and speed in the • There are less transport _ construction process in short, a movements to the construction high quality, high performance site, thus reducing congestion and product _ and that is what has been air pollution and significantly achieved. improving safety issues and levels The quality controlled manufacturing of disruption caused by typical process allows the following levels of traffic on a traditional specification to be easily achieved: building site • There is a huge reduction in • Sound reduction up to 57 db Advance Homes are built using modular construction time on site and, as manufacturing technology • Full Building Regulation Approval most of the fabrication process is undertaken off-site, the nuisance • SAP ratings exceeding 100 factors to local residents such as • Full BRE Approval noise, dust and vibration are substantially reduced • NHBC Approval

• Housing Corporation Accreditation

18 The production facility at Daventry

Use Phase Benefits • Much improved acoustic properties resulting in enhanced • Very high energy efficiency ratings living conditions, particularly in are achieved due to precision terraces and semi-detached control over the construction houses and, in due course, in the process, resulting in no gaps or apartments we are currently holes in the building envelope developing

• Using the Government’s Standard Assessment Procedure (SAP) for This is an entirely new housing energy ratings, ranging from 1 concept being developed by two (very poor) to 120 (excellent), our companies at the forefront of their respective fields. It is attracting nine standard house types achieve considerable interest from the ratings of between 101-103. housing association sector, which will Ratings have also been calculated gain Government funding benefits using the National Home Energy through the Housing Corporation, Rating, achieving between 9.9 intended to encourage the increased and 10 out of 10, and the Carbon use of off-site manufacturing Index Method, achieving between techniques. 8.0 and 8.2 out of 10. CO2 emissions range from 32.2-35.4 kg/m3/yr

19 Occupational Health & Safety

Management Systems of 928. This is based upon the H&S Performance Index (CHaSPI) as number of incidents per 100,000 a tool to benchmark our systems employees (including sub- against others in the construction Over the last 3 years the contractors) (see Figure 1). We have sector. Barratt Group has an ongoing objective to reduce accidents further. implemented a company- Preventative Site Audits wide Occupational Health The highest risks have been identified as follows: A cornerstone of our OHSMS is a and Safety Management • Slips, trips and falls preventative audit programme of all System (OHSMS) with our construction sites undertaken on • Manual handling a tri-weekly basis, resulting in over supporting documentation. 8,000 preventative site audits per • Falling from a height year. An independent body (the • Plant, equipment and lifting NHBC, who also audit other UK Our work in this critical area has operations housebuilders) has conducted the transformed health and safety audits for the last three years. standards and performance across • Hitting a stationary object During the inspection process points our operation. In the last three years are scored for identified hazards on Barratt site safety standards, as • Traffic management sites, so the lower the score the measured independently by NHBC site safety audit inspections, have better the result. The results from The hazards associated with each this audit inspection process improved ahead of other UK activity are identified and the risk demonstrate that Barratt health and housebuilders using the NHBC categorised as high, medium or low. safety performance has improved service. The progress made is a Control measures are identified and beyond that of the average UK credit to our dedicated health and implemented for all medium and housebuilder using the NHBC safety team and all our operational high risks. These controls are service. Over the last three years our staff. comprehensive and wide ranging including measures such as fall average score has reduced from 20 The system is based on the Health protection systems, safe systems of to 6.7 (see Figure 2) and is amongst and Safety Executive’s model of work, training, supervision and the best in the industy. In addition, HSG65 and includes: policy (page 9) personal protective equipment. the performance of our five regions and objectives and targets (pages has also become much more 10-11), risk assessments, Next year we intend to review further consistent as best practice has been organisational arrangements, training the design of our buildings to make rolled out. and development, communication, them intrinsically safer during operational control, emergencies, construction, use and demolition. We monitoring and reporting, inspections will also review our safety Organisational Responsibilities and management review. Since its management system against the introduction there have been requirements of the specification Responsibilities for health and safety significant improvements in Group OHSAS 18001, fully introduce our are fully identified in the OHSMS. health and safety performance system audit compliance programme, The Group Board is responsible for achieving an incident rate in 2003/4 and take part in the HSE Corporate overall Group Health and Safety

Figure 1: Incident Rate 2000-2004 Figure 2: NHBC Audit Results 3000 25 2500 20 2000 15 1500 10 1000 5 500 Improved

per 100,000 personnel 0 0 performance 2000/1 2001/2 2002/3 2003/4 2001 2002 2003 2004 Year Barratt 20 Note that data in figure 1 from 2000/03 is based on estimates Av. UK Housebuilder whereas 2003/04 is based upon accurately obtained figures. Filming a training video for a new Group Fall Protection System

Policy and Standards, and the Group four years. So far 70% of site • In order to reinforce our internal Corporate Director reports directly to managers have gone through this communication we are introducing the Group Board in relation to health programme. a new internal health and safety and safety performance on a monthly award scheme within the basis. At an operational level each In addition, all directors and company Divisional Board reviews health and managers have attended an IOSH safety performance and training on a Managing Safely for Senior • In 2004 we began issuing Safety monthly basis. Specific procedures Management Course and received Newsletters to communicate live and requirements are cascaded training on the Barratt H&S issues directly to site staff throughout the organisation via line Management System. Health and management supervisors and to staff. safety inductions are mandatory for Each of the five regions employs a everyone working on our sites and a Previous Incidents Health and Safety Manager to fully illustrated pocket handbook _ provide specialist support and "Safe Working Procedures on Barratt advice. Sites" _ is about to be issued to all Legal breaches and notices served by site workers and contractor the HSE are reported in the table Procedures are in place to ensure operatives. below, which illustrates a downward compliance with the CDM trend in the overall number of HSE Regulations. Group health and safety At site level: interventions (see Figure 3). standards are mandatory for • We are now actively promoting the contractors, who are assessed and Construction Skills Certification inducted prior to commencing work, Scheme, which records a issued with a ‘Safety Code for recognised level of trade-specific Subcontractors’ and are subject to the full Barratt audit inspection competence and identifies this process during work. Contractors are achievement with a card system. included in all of our health and Testing for this scheme takes safety performance indicators. We place electronically at driving test have a target next year to promote a centres throughout the country "Working Well Together" programme with our suppliers and contractors. • We have developed an ‘in-house’ video on a new Group-wide fall protection system, which serves to H&S Training, Competence and reduce the risks associated with Communication roof work. This video has been distributed throughout all 32 Laurence Dent (fourth from left) Corporate Barratt has one of the best health Director, Marion Rothnie (far left) Assistant divisions to raise awareness of the and safety training programmes in Company Secretary (Human Resources), Art Perks various protection measures we Health & Safety Consultant (fourth from right) the housebuilding industry. All site and the five Regional Health & Safety Managers. managers are required to attend a 5- employ. Next year, we intend to day CITB H&S site management produce videos on other high-risk course within 12 months of joining topics, including traffic Barratt, plus a 2-day refresher every management

Figure 3: Interventions

July 01 - June 02 July 02 - June 03 July 03 - June 04

Breaches 414

Prohibition Notices 24 15 4

Improvement Notices 773

This data includes both Barratt Homes Ltd and KingsOak Homes Ltd.

21 National Supplier Arrangements

Supplier delegates at the CSR workshop

We have a long history of MARLEY - Build Center (Wolseley UK’s Timber Concrete roof tiles & Builders Merchant business) has working closely with a secured a national deal with Barratt number of key suppliers, Marley has conducted LCA studies to supply I-beams to all of their UK for all of their roof tiles. sites. Eleven I-beam branches are who have a significant currently operational, with one more input on the way in which Business activities with an in the pipeline. The PEFC environmental impact included raw (Programme for the Endorsement of we do business. material usage, energy use, Forest Certification Scheme) certified emissions, transport and end-of-life that I-beam, manufactured by impacts and products. Improvement Finnforest UK Ltd, is compliant to We organised a Corporate Social opportunities focused on raw numerous recognised standards such material initiatives, better process Responsibility Workshop for 20 of as Q Mark, CE Marking and control, improved product design, our major suppliers in Newcastle on Eurocode. The I-beam not only has increased links with ISO 14001, and environmental and quality 3rd June, inviting them to comment marketing opportunities. on our various policy statements. credentials, it also has health and safety advantages as it is lighter and They were asked to suggest material Marley Roofing concluded that LCA easier to handle. for this report, and to tell us about studies and independent certification their current activities in the field of with BRE had proved to be a step in Through Build Center’s Chain of CSR. the right direction. Future initiatives will include a complete review of Custody certification programme, profiles in the autumn of 2004, branches are supplying ever- The three following examples are an certification of key products, a re- increasing volumes of PEFC and FSC indication of the success of the launch of environmental literature, (Forest Stewardship Council) Workshop, and the contribution that and the targeting of improvements at products into the market. This, in suppliers are making in helping each factory to further reduce the conjunction with Wolseley UK’s Barratt improve its overall Ecopoint scores of products. Responsible Timber Purchasing performance. Policy, will ensure that increasing volumes of sustainable timber are WOLSELEY UK - available to customers within their I-beam flooring systems, General supply chain. Wolseley UK is also in Timber & Building Materials the process of introducing ISO 14001 to its branches in the UK, Wolseley provided copies of their one of very few merchants to do so. Health and Safety and Environmental Policy Statements, as well as their Quality Policy Statement. WHIRLPOOL - Home appliances

Whirlpool provided a copy of their 2003 Summary Annual Report, as well as including data covering energy use for ovens, and energy/water consumption for washing products.

On cooking, the data shows 88.76% of ovens "B" rated, with no "A" rated for 2003. During the early part of 2004 Whirlpool launched a new range of ovens, and forecast that in 2004 99.53% of ovens will be "B" rated or better, with 77.86% being "A" rated. 22 Governance & Risk

Since January 2003 Group At Regional and Divisional level our In terms of the management, Regional Chairmen, in conjunction monitoring and audit of our Corporate Governance with each Divisional Board, are environmental performance, we see procedures have been responsible for the implementation this as a natural extension of the role and delivery of our CSR objectives of our Safety Managers. comprehensively reviewed and targets as determined by the and documented in our Group Board. The work programme for the CSR Team in the coming years is fully Group Corporate As identified elsewhere in this report, delineated in the Objectives and Governance Manual. A we are currently developing our Targets Section of this report and management systems to help progress will be monitored and full statement of improve our overall CSR reported on a quarterly basis to the governance compliance, performance. The model for this Group and Executive Boards. A process will be based on similar particular priority for the current year having regard to Section 1 management principles to those used is the development of the of the 1998 Combined very effectively over the last 3 years internationally recognised to comprehensively improve our environmental management system Code and the revised Occupational Health and Safety ISO 14001, which we are currently Combined Code, which Management System. rolling out to one Division in every Region. ISO 14001 will then be takes effect for reporting A CSR Team chaired by the Group passed down to all 32 Group periods commencing on or Corporate Director has been Divisions at the earliest opportunity. established and comprises senior To assist in this process the Group after 1st November 2003, management representatives from has acquired a bespoke software is set out in our Annual core disciplines across our business. system developed by SEQM which Our external advisors, SEQM, will will enable us to manage and Report for the financial provide specialist advice and disseminate through our IT network year ended 30th June guidance to the CSR Team. Our 5 all appropriate documentation for the Regional Group Health and Safety ISO 14001 Management System. 2004. Managers are to be developed to also assume responsibility for the management and monitoring of In the context of CSR the Group environmental performance and will Board of Directors has full report to the Group Corporate responsibility for determining Director in this extended role as they strategy, objectives and targets and currently do on health and safety. the Executive Board responsibility for implementation and delivery. The Group Corporate Director has specific executive responsibility for all CSR issues and reports to both the Group and Executive Boards in this capacity.

23 24 Kings Reach, Reading - a flagship urban regeneration project Stakeholders

Effective engagement with our in all divisions, including multi-skilled to ensure best value. We place a high stakeholders is an essential ingredient customer service operatives and a value on our contractors and actively of our CSR performance. The bespoke customer care training engage with them to promote health production of this first report enables programme is being rolled out to all of and service standards across our us to demonstrate how we are seeking our frontline sales and construction developments. Increasingly our staff. Our Home Owner Surveys to place more information in the public training and communication measure customer satisfaction levels programmes are being extended to domain, which is readily accessible by and from 1st September 2004 are include our contractors and operatives. all stakeholders. being undertaken independently by an external market research company. Below is a summary of our key Customer responses are carefully Employees stakeholders and their relationship to monitored and are used to inform and Barratt was established in 1958 and the business. prioritise future customer service now employs 4,399 staff. We aim to developments. All customer service employ local labour and are committed National and Local Government requests and complaints are logged to the training of apprentices, and to and monitored and detailed We are committed both to complying ongoing staff and management management reports on customer care with all regulatory requirements and development. performance and Home Owner Survey also to consulting government in the results are reviewed and actioned by policy development process to play an Non Governmental Organisations the Executive Board on a monthly active part in working towards (NGOs) basis. improved sustainability performance. We are currently in dialogue with Communities NGOs, including our Housing Customers Association partners, who are We aim to consult local communities promoting sustainability in UK We provide over 14,000 new houses and their representatives at an early housebuilding. A key response is to each year and actively seek out and stage in each development project and publish this report, putting more listen to the views of our customers maintain open communication information on our performance in the through our Home Owner Surveys. channels throughout our development public domain. operations. We are also committed to During the year a major review of the provision of affordable housing and Investors Group Customer Care procedures and redevelopment of brownfield sites to service levels has been undertaken by the benefit of local communities, and The Board believes in effective a dedicated working party of senior actively engage our housing association management of investor managers from across our business and local authority stakeholders in this communications and has recently chaired by the Group Chief Executive. respect. developed our investor relations web- A range of measures designed to site to provide up-to-date information strengthen our customer care and Suppliers & Contractors on our financial and company service standards have been performance. A programme of introduced, including an updated We have national supplier communication with the investment Customer Care Manual, the arrangements with a number of key community is also underway. strengthening of customer care teams suppliers and maintain open dialogue

National and Local Government Employees

Customers Non Governmental Organisations (NGOs)

Communities

Suppliers & Contractors Investors

25 GRI Content Index

The Global Reporting Initiative (GRI) is an independent institution whose mission is to develop and disseminate globally applicable Sustainability Reporting Guidelines. In 2002 GRI produced Sustainability Reporting Guidelines which outline the core content that is broadly relevant to all organisations regardless of size, sector and location. Please note that the guidelines are part of a wider framework and are for voluntary use by organisations.

Global Reporting Initiative (GRI) Content Index

GRI Section number and heading (description) Report section Page

1 Vision & Strategy Chief Executive P 3 1.1 Statement - issues; stakeholder impacts; values; objectives Stakeholders P 25 CSR Policy P 7 Objectives & Targets P 10-11 1.2 CEO statement - highlights; commitment; targets; engagement Chief Executive P 3 Awards, Recognition & Highlights P 6 Objectives & Targets P 10-11 2 Profile About us P 4 Area of Operation P 5 2.1 Name of reporting organisation Front Cover P 1 2.2 Products, services and outsourcing About us P 4 2.3 Operational structure and the organisation About us P 4 2.4 Major divisions, subsidiaries and joint ventures Advance Housing Ltd P 18-19 2.5 Areas of operation About us P 5 2.6 Nature of ownership and legal form About us P 4 & 47 2.7 Nature of markets served About us P 4 2.8 Scale : employees; products; net sales; equality; value added; total assets; total revenues; regional revenues services; regional costs; employees by region Employment P 17 2.9 List of stakeholders, attributes and relationships Stakeholders P 25

Report Scope Verification P 44 2.10 Contact person(s) email and web address Verification P 44 2.11 Financial / calendar reporting year Verification P 44 2.12 Date of most recent previous report N/A 2.13 Boundaries of the report About this report P 2 2.14 Significant changes in size, structure, ownership, products/services N/A 2.15 Basis for reporting on joint ventures, subsidiaries for comparability N/A 2.16 Effect of any re-statements of information provided in earlier reports N/A

26 Report Profile 2.17 Areas where GRI is not applied and reasons N/A 2.18 Criteria used in accounting for sustainable costs and benefits Key Performance Indicators P 12-13 2.19 Significant changes from previous years in measurement method N/A 2.20 Policies to provide assurance on accuracy, completeness, reliability Verification P 44 2.21 Policy on providing independent assurance for the report Verification P 44 2.22 Report users accessibility to additional information and reports About this report P 2 3 Governance Structure and Management Systems Structure and Governance Governance & Risk P 23 3.1 Major committees under the board of directors and responsibilities Governance & Risk P 23 3.2 Determination of independence and percentage of non - executive members Governance & Risk P 23 3.3 Determining board expertise for strategy and sustainability Governance & Risk P 23 3.4 Board level processes for identification of sustainability risk and opportunities Governance & Risk P 23 3.5 Executive compensation and achievement in non-financial goals Governance & Risk P 23 3.6 Organisational structure and key economic, social and environmental roles Governance & Risk P 23 3.7 Internal economic, social and environmental policies and implementation Environmental Policy P 8 Health & Safety Policy P 9 3.8 Board of directors and shareholders mechanism for engagement Stakeholders, P 25 Governance & Risk P 23 Stakeholder Engagement 3.9 Identification of major stakeholders and selection for engagement Stakeholders, P 25 Governance & Risk P 23 3.10 Approaches to stakeholders consultation, type, frequency and group Stakeholders, P 25 3.11 Stakeholders consultation key issues Stakeholders, P 25 3.12 Use of stakeholder information and relation to performance indicators Stakeholders, P 25 Broader Policies and Management Systems 3.13 Precautionary principle application and risk control Governance & Risk P 23 3.14 Voluntary charters, principles, initiatives and subscriptions Stakeholders P 25

3.15 Membership to business sector and international organisations National Supplier Arrangements P 22

Awards, Recognition & Highlights Awards, Recognition & Highlights P 6 3.16 Supply chain management policies and product and service stewardship National Supplier Arrangements P 22 3.17 Management indirect sustainability impacts from activities National Supplier Arrangements P 22 3.18 Office location expansion or closures Area of Operation P 5 3.19 Procedures for sustainability targets, programmes, training, audit etc. Objectives & Targets P 10-11 3.20 Certification of management systems Objectives & Targets P 10-11 4 Performance Indicators Key Performance Indicators P 12-13

27 WWF Assessment Criteria

WWF is an independent WWF-UK is running a campaign with listed housebuilders. Each of the 13 the aim of bringing sustainability into companies in the sector was worldwide conservation the mainstream of UK housing. The assessed by WWF-UK against a organisation, with an campaign is called One Million selected list of 18 criteria, which are Sustainable Homes (OMSH). listed in the table below. operation in the UK, WWF-UK. In January 2004 WWF-UK produced The assessment was based upon the results of an assessment of information made publicly available public disclosure of sustainability in August 2003. issues of 13 of the UK’s largest

WWF Assessment Criteria

WWF Heading Report section & Page

1 Risk Management Governance & Risk P 23

2 Board Commitment CSR Policy Statement P 7

3 Sustainability Policies CSR Policy Statement P 7

4 Disclosure Verification P 44

5 Management Systems Objectives and Targets P 10-11

6 Commitment to eco-homes Advance Housing P 18-19

7 Ecology Environment P 14

8 Climate Change Environment P 14

9 Water KPI & Environment P 12-13

10 Domestic Waste Environment P 14

11 Transport KPI & Environment P 12-13

12 Procurement National Supplier Arrangements P 22

13 Construction Waste Waste Arising P 16

14 Health and Safety Occupational Health & Safety P 20-21

15 Considerate Construction (CCS) Stakeholders P 25

16 Employment Employment P 17

17 Sustainable Communities Stakeholders P 25

18 Stakeholder Engagement Stakeholders P 25

28 Crown Heights, Basingstoke - this major urban regeneration project provided 288 homes plus retail and leisure facilities

Case Studies

Our commitment to urban regeneration stretches over three decades – long before it became fashionable – and we were the first major housebuilder to take on the complex challenges of inner cities

29 Buckshaw Village Chorley, Lancashire

This £400 million joint When completed Buckshaw Village reality. will be an environmentally Around 35 per cent of the land will venture to create a sustainable ‘urban village’, which be developed for housing – from visionary, sustainable embraces the key concepts of mixed- affordable first-time buyer homes to use development, high environmental large family houses – 31 per cent community is the largest standards, and a reduced reliance on has been designated for business brownfield development of car use with a serious commitment and commercial use and the to public transport and the provision remainder as green space, retaining its kind in the North West. of an effective footpath and cycle natural flora and fauna. path network. The project is transforming a 395- In total, some 28,000 trees will be acre former Royal Ordnance Factory The project will take up to 15 years planted, 4,500 of them saplings site to provide around 2,000 new to complete. Barratt and our partner grown from seeds or cuttings homes, business park and other developers, Redrow, have worked collected from the site before commercial uses with employment closely with former landowner BAE clearance work began. The volunteer for up to 5,900 people, district Systems, as well as Chorley and project was organised by factory shopping centre, railway station, South Ribble Borough Councils and employees, with the help of local primary school, community facilities, other statutory bodies, to take schools, scouts, guides and the sports amenities and landscaped Buckshaw Village from design to Brothers of Charity Services, whose open areas.

30 horticulture unit at nearby Lisieux At the launch of Matrix Park – a Hall offers a training service for pioneering business development people with learning disabilities. which forms part of the site – David Borrow, MP for South Ribble, Community facilities include sites for said: “Re-using former a health centre and new primary industrial land is just what school, plus a financial contribution the government to the cost of building the school. wants to see and There will also be contributions reduces the towards an extension to Euxton pressure to build on Library and youth facilities in the greenfield sites. By allowing area, together with improved cycle local firms to expand and network links aimed at providing attracting firms from outside the safer routes to school. Other area, Buckshaw Village will underpin amenities include a community the success of the local economy.” centre, bowling green, sports pitches and changing rooms.

Matrix Park opening (right to left) Harold Walker, Barratt Group Deputy Chief Executive, Neil Fitzsimmons Managing Director of Redrow PLC, Lindsay Hoyle MP and David Borrow MP

Around 28,000 new trees will be planted

31 Coleridge Park Hertford This innovative The development was named Best Barratt also gave financial help to Brownfield Development in Britain in improve the Lea Valley Green Route regeneration of a the 2003 What House? Awards. The and for new bus stops, and provided redundant factory site less judges’ report described it as “hugely a children’s play area. impressive…Barratt has created both than a mile from the town a community and a bold, The site itself presented complex centre has brought high contemporary architectural technical and planning challenges, statement”. with severe constraints of landfall, quality, value-for-money The 7-acre site was previously ground degradation and compaction. homes to Hertford and occupied by the famous Addis Barratt cleared away the old housewares factory, which closed in industrial buildings and areas of made a positive 1993. It had been the subject of hardstanding but also retained and contribution to the local several unsuccessful planning restored a number of listed buildings applications before it was acquired in poor condition. environment and social by Barratt, whose scheme for a wide fabric. mix of 218 new homes, including 55 Architects DHA Architecture were for rent and shared ownership, plus commissioned to produce a offices and leisure facilities, was development that: approved. • Retained a link to the 1930s Planners remarked: “The listed office buildings development represents a good • Provided for different housing solution. It provides a welcome needs amount of employment, generating floorspace and significant brownfield • Minimised the visual impact of housing provision of good quality.” cars • Provided a transition from 32 business to housing uses The Hirst family bought at Coleridge Park

These objectives were successfully achieved. Buildings rise from 3 storeys to near 6 storeys and the mews form of development allowed for an opportunity to incorporate a central landscape feature.

The designs for the new homes reflect the Addis plant’s original 1930s architecture with glazed staircase enclosures and brickwork of contrasting colours. They are set in landscaped grounds around a central tree-lined boulevard and raised terraces, with a focal water feature providing a striking solution to a previously unkempt and inefficient brownfield site.

As the scheme is high density, with a mix of 1 & 2 bedroom apartments and 3 & 4 bedroom townhouses, there was a need to minimise the amount of surface car parking. This was solved by providing a parking deck below the apartment buildings, reducing the visual level of parking by 60%. 33 Brewery Wharf Leeds

This flagship mixed-use As part of the £100m project, The 4.5-acre site had a variety of Barratt are building 325 riverside previous uses, latterly as part of the development – one of the apartments, which combine the Tetley Brewery, and a fully validated largest ever undertaken in latest building techniques, energy- remediation strategy was successfully efficient products and the latest carried out. This was carefully Leeds city centre – has advances in acoustic treatments. monitored by the environmental transformed a derelict agencies due to the close proximity Most have a balcony or terrace, of the River Aire. wasteland into a vibrant providing an attractive outlook over new community of homes, the river, cityscape or the central Statutory consultations took place landscaped courtyard areas, which during the planning process and offices, retailers, bars, have been created to promote a separate meetings were held with the restaurants and a hotel. community atmosphere on the Leeds Civic Trust, local council development. members and adjoining landowners to discuss the proposals. Brewery Wharf is a prime site situated on the south bank of the To advertise, inform and stimulate River Aire and has been developed interest, special websites were jointly by Barratt and Brewery Wharf created, information boards erected Leeds Ltd. on key areas of the site, and a model of the development produced for a public consultation/exhibition. 34 Contact names and newsletters were distributed to the local community and businesses, providing updates on the scheme’s progress.

The project has created a significant number of jobs during and after construction and the contractor employed by Barratt to build the apartments won a Considerate Contractor Award.

Storage for 185 cycles is provided on site, meeting the city’s green transport requirements, and enhancements to the area include a new river wall and walkway leading to the city centre. A significant financial contribution was also made to the city’s proposed Supertram system, which is planned to run adjacent to the site. 35 Axiom Feltham Town Centre, West London

Our regeneration of the run-down Feltham town centre – which will provide over 800 new homes and 400,000 sq ft of commercial space – seeks to achieve a sustainable development and to provide a better quality of life for residents. This major mixed use scheme has therefore sought to balance social, economic and environmental issues.

On such projects it is imperative that Construction began in January 2004 Before construction work began an extensive consultation is carried out and when complete there will be Environmental Audit was carried out with all stakeholders and associated 807 new homes, including 264 and a remediation scheme carried interest groups, together with the affordable homes (72 for rent and out. The redevelopment involved the public, to ensure that all are 192 shared equity homes for key demolition and clearance of old apprised of the goals and the workers). Apartments will have buildings, with concrete salvaged challenges relating to the scheme. At balconies and roof gardens, cycle and crushed for hardcore and re- Feltham we consulted with the: storage in garage areas, and will be used on site and resale. built where practical to Secure by • Local Authority – housing, Design standards. On site we operate with our planning and leisure services contractors an integrated departments There will also be shops, offices, and construction waste management • GLA – to discuss the level and a hotel, plus a health centre, library (ICWM) procedure where waste tenure of affordable housing and nursery. Over 90% of the materials are segregated and • Residents – through exhibitions, commercial space was pre-let prior returned for re-cycling. Where regular newsletters and to works starting and has attracted possible we specify materials from consultation on home designs, major retailers whose presence will sustainable sources for use on site. management issues and security breathe new life into the area and Procurement of sub-contract services • Local Groups – the ‘Feltham will encourage the development of and suppliers is carried out locally Forum’, made up from the local smaller retailers, who will benefit as where these facilities are available. business community, to discuss a direct result of blue-chip the economic regeneration companies investing in the area. benefits and employment opportunities 36 This is our second phase of development in Feltham – the first provided 193 new homes – and we are also working on another major mixed use regeneration scheme in nearby Hounslow town centre.

Above: Computer generated image illustrates the scale of the scheme

37 Park 21 Eastleigh, Hampshire

This site, formerly the Pirelli Cable plant, represents one of the largest brownfield opportunities in the South, where we are creating a high-density, mixed-use scheme of 650 homes with a central circular open space, plus 80,000 sq ft of offices and 14 live-work units.

38 Pirelli Cables occupied the 50-acre minimising vehicle movements and In addition, education contributions site but, as the market for electricity landfill. There was a certain amount have led to improvements to local cables declined, decided to sell 30 of contamination on the site and schools, and transport contributions acres. Initial proposals for a DIY some of this was dealt with by on have been put to increasing bus superstore met with strong opposition site bio-remediation. priority measures. We have also from the council and local residents. Being adjacent to the town centre, introduced a training scheme for The site was then marketed for development of the site has had a local youngsters. potential housing and although significant effect on Eastleigh’s Barratt was not the highest bidder, regeneration, and as a result the The development has provided 120 Pirelli recognised our regeneration council has announced further much-needed affordable homes. skills and local knowledge and we investment plans. There is a 0.25 acre site for a were chosen as developer. community building and we have As part of the overall benefits from agreed to spend 1% of the We engaged the community from the the £120 million scheme, construction costs on art features outset, establishing regular substantial contributions have been throughout the site. community liaison meetings with made: Park 21 is one of the most innovative local residents, and held various • To maintain and enhance local developments in the UK. The site is exhibitions during the planning recreation grounds and a nearby divided into a number of process. After almost two years our leisure centre neighbourhood home zones and proposals were approved by the priority is given to pedestrians and planning committee without a single • Towards various community cyclists over motorists. Bus routes objection. buildings and community groups are taken through the site in order to Demolition of the old factory further encourage people away from • To the town centre’s CCTV, buildings was a major undertaking cars. And each resident is given a resulting in a recent survey which but 94% of materials on site – bicycle. declared Eastleigh as one of the thousands of tons of metal, concrete and rubble – have been recycled, UK’s safest centres

Top left: Barratt Southampton Managing Director Steve Wilks inspecting recycled material Above: Live-work units

39 Barrier Point Silvertown, London E16

Barrier Point has won Barrier Point is one of around 45 Barratt developments in London numerous industry awards Docklands, where we have been the for the quality of its only major developer to have been consistently active since 1981, design, construction and providing well over 4,000 homes. suitability for purpose, As Government planning policy more than any other requires greater use of urban residential development in locations with higher density developments, at Barratt we are London. These include extremely well-positioned to meet being named Best this requirement, with the expertise to overcome changing technical and Brownfield Development in environmental challenges and to take Britain in the What on the more difficult sites.

House? Awards, whose This award-winning project, for judges praised our example, recycled a site which had lain abandoned since it was used as expertise in turning “an the construction compound for the ex-industrial wasteland” Thames Barrier in the 1970s. When acquired, it had long been cleared into a striking modern but had not been remediated and landmark. posed significant challenges to bring to the standard required for residential development.

The 5-acre site contained a variety of industrial wastes and pollutants requiring thorough cleansing in consultation with the Environment Agency and the local authority. These, together with major obstructions from foundations of 40 previous buildings, proved a challenge to both designers and construction teams.

Remediation was a complex, costly and extensive operation, requiring wholesale topsoil removal, capping, replacement and comprehensive testing. The work took over six months and was duly approved, enabling construction work on the cleaned-up site to begin.

Barratt commissioned architects Goddard Manton Partnership to produce a striking contemporary design which would extend the benefit of the adjacent Thames Barrier Park to residents, and the Barrier Point buyers Bobby Shah and scheme won planning consent from Shurbhi Dodia Newham Council.

The result is a sleek, glistening white, ultra-modern building of 252 apartments, which makes the most advantage of the spectacular views from its south-facing location. The building is topped by a circular 18- storey tower – the tallest structure ever built by Barratt. The mix of 1, 2 and 3 bedroom homes proved a runaway sales success.

41 The Ironworks Village Leith, Edinburgh

This development is one of a series of highly- successful urban regeneration projects we have carried out in Edinburgh over recent years which have transformed redundant and derelict industrial sites into landmark residential developments.

These schemes have created several hundred new homes, for all market sectors, and delivered a range of social and economic benefits to local communities.

We acquired this 4.7 acre site – formerly the Brown Brothers marine engineering works – following the success of another regeneration project on an adjacent brownfield site where we provided 108 homes which sold out in just 18 months.

The Brown Brothers works had specialised in producing steering equipments and stabilisers for ocean-going liners and the site presented significant technical challenges.

These included the successful completion of one the largest asbestos removal projects ever undertaken in Scotland – to transform it into one of Edinburgh’s largest and most prestigious residential developments. A comprehensive survey revealed asbestos in the offices and manufacturing units. A specialist consultant was engaged to identify the extent and types, carry out work at test locations and produce a detailed specification for the removal 42 works. These works were carefully carried out over a 15-month period by a specialist contractor. Each section of asbestos to be removed was fully enclosed before disposal at licensed landfill sites, an air monitoring programme instigated and decontamination facilities provided for site operatives.

Once the ground was cleared, construction work commenced on the £65 million scheme which is providing a wide mix of 377 apartments and townhouses, ranging from 1 to 3 bedrooms, with some underground parking.

During the planning process, we consulted with the local community and ensured they were kept informed of our proposals.

The development’s reduced building footprint, together with the establishment of home zones where priority is given to pedestrians and cyclists over traffic, enables residents to enjoy a series of external landscaped spaces. These are double the size specified by the local authority and we have carried out comprehensive landscaping, including mature planting and sculpture features, to create for residents a welcoming and tranquil environment in the heart of the city.

43 Verification

This is the first Barratt I can confirm that the information This Statement reported in this statement and report Corporate Social has been assessed and is accurate. This statement relates to the Responsibility report Each individual claim has been activities, products and services of verified against information provided Barratt. This first statement is incorporating social, by the company or by a third party. specific to the period 01 July 2003 environmental and ethical Each data reference has been – 30 June 2004. The next statement checked. Data in this report, which will relate to the period 01 July issues. The aim of the has been estimated, will be the 2004 – 30 June 2005. verification process is to subject of future verification. Copies of the Statement will be provide assurance that the Barratt have committed to continual circulated to all staff and to information described in improvement in performance. In interested parties. If you would like recognition of this commitment 18 to order a copy please contact: this report is both objectives and 23 targets have been accurate and reliable and published in this report under the The Company Secretary’s Office headings of Corporate Social Barratt Developments PLC that the claims made Responsibility, Human Resources, Wingrove House stand up to scrutiny. the Environment, and for Ponteland Road Occupational Health and Safety. Newcastle upon Tyne NE5 3DP Performance against these targets and management programmes will be Telephone: (0191) 286 6811 verified and reported in next year’s Fax: (0191) 271 2242 report.

Verifier: Julian Ringer Copies of the Statement are also 22 September 2004 available at: www.barratt-investor-relations.co.uk

Julian Ringer Managing Director SEQM Limited

Julian Ringer is a Principal Environmental Auditor IEMA (P50), a Lead Environmental Assessor IEMA (L15), and an EMAS verifier in both the UK and Denmark (registered with the relevant member state competent bodies for EMAS)

44 Regency Apartments, London SW1 - an award-winning regeneration project in the heart of Westminster 45 Feedback form

Group Office

Barratt Developments PLC, Wingrove House, Please rate what you think of Barratt’s current performance in the following areas Ponteland Road, as reported in this our first CSR report. Please tick your choice: Newcastle upon Tyne, NE5 3DP. ✩✩✩ ✩✩ ✩ Tel: 0191 286 6811 Environment Fax: 0191 271 2242 Social ✩✩✩ ✩✩ ✩

Health & Safety ✩✩✩ ✩✩ ✩

Barratt Homes Ltd

Northern Region What information did you find most helpful in the report? Barratt Northern, Barratt House, Airport Industrial Estate, Kenton, Newcastle upon Tyne, NE3 2EQ. Tel: 0191 286 9866 Fax: 0191 286 8088

Barratt East Scotland, Craigcrook Castle, Craigcrook Road, Edinburgh, EH4 3PE. Tel: 0131 336 3655 Fax: 0131 336 2392 What additional information would you like to see in our future CSR Reports? Barratt Leeds, Premier House, 14 Royds Hall Road, Pavilion Business Park, Leeds, LS12 6AJ. Tel: 0113 279 0099 Fax: 0113 279 0038

Barratt Newcastle, Barratt House, Airport Industrial Estate, Kenton, Newcastle upon Tyne, NE3 2EQ. Please cut out and return this form to: Tel: 0191 286 9866 Fax: 0191 271 5985 CSR Report 2004 - Feedback Barratt Developments PLC, Barratt West Scotland, Mayfield House, Wingrove House, 7 Maggie Wood's Loan, Ponteland Road, Falkirk, Newcastle upon Tyne, FK1 5SJ. NE5 3DP. Tel: 01324 620011 Fax: 01324 625916

Barratt York, Thank you for taking the time to read our CSR report and fill in our Feedback Richmond House, Form. Your comments are important to us. Millfield Lane, Poppleton, York, YO26 6PH. Tel: 01904 797961 46 Fax: 01904 781665 ✂ Group Structure and Directory www.barratthomes.co.uk www.kingsoakhomes.com www.barratt-investor-relations.co.uk

Principal Subsidiary Undertakings KINGSOAK Homes Ltd

Central Region UK Housebuild Commercial Property KingsOak Central, 1st Floor, Midland House, New Road, Halesowen, Barratt Homes Ltd., Barratt Construction Ltd., KingsOak Homes Ltd., Barratt Commercial Ltd., West Midlands, B63 3HY. Wingrove House, Golf Road, Wingrove House, Wingrove House, Tel: 0121 550 7483 Ponteland Road, Ellon, Ponteland Road, Ponteland Road, Fax: 0121 585 5535 Newcastle upon Tyne, Aberdeenshire, Newcastle upon Tyne, Newcastle upon Tyne, NE5 3DP. AB41 9AT. NE5 3DP. NE5 3DP. KingsOak Milton Keynes, Tel: 0191 286 6811 Tel: 01358 720765 Tel: 0191 286 6811 Tel: 0191 286 6811 Gazeley House, Fax: 0191 271 2242 Fax: 01358 724043 Fax: 0191 271 2242 Fax: 0191 271 2242 26 Rockingham Drive, Linford Wood, Milton Keynes, Bucks, MK14 6PD. Tel: 01908 541900 Fax: 01908 541901

KingsOak South Midlands, Central Region West Region Southern Region KingsOak House, 2 Elm Court, Barratt Central, Barratt West, Barratt Southern, Copse Drive, Meriden, Worrall House, Barratt House, Wallis House, Coventry, CV5 9RG. 683 Chester Road, Almondsbury Business Centre, Great West Road, Tel: 01676 525900 Manchester, M16 0QS. Woodlands, Almondsbury, Brentford, Fax: 01676 525901 Tel: 0161 872 0161 Bristol, BS32 4QH. Middlesex, TW8 9BD. KingsOak South West, Fax: 0161 877 6070 Tel: 01454 202202 Tel: 020 8326 7100 Broadway House, Fax: 01454 617038 Fax: 020 8326 7204 Almondsbury Business Centre, Barratt Chester, Woodlands, Almondsbury, Barratt Bristol, Oak House, Lloyd Drive, Barratt East London, Bristol, BS32 4QH. Barratt House, Ellesmere Port, Central House, Tel: 01454 275800 South Wirral, Almondsbury Business Centre, 32-66 High Street, Fax: 01454 275824 Cheshire, CH65 9HQ. Woodlands, Almondsbury, Stratford, London, E15 2PF. Tel: 0151 357 4800 Bristol, BS32 4QH. Tel: 020 8522 5500 KingsOak West Midlands, Fax: 0151 357 4801 Tel: 01454 202202 Fax: 020 8519 5536 1st Floor, Midland House, Fax: 01454 612277 New Road, Halesowen, Barratt East Midlands, Barratt Eastern Counties, West Midlands, B63 3HY. Broadgate House, Barratt Exeter, 6-8 Richmond Road, Tel: 0121 585 8788 Humber Road, Beeston, Barratt House, Chelmsford, Fax: 0121 585 8789 Nottingham, NG9 2EF. Hennock Road Central, Essex, CM2 6UA. Tel: 0115 907 8300 Marsh Barton, Tel: 01245 232200 Exeter, EX2 8LL. Fax: 0115 907 8301 Fax: 01245 232277 Southern Region Tel: 01392 439022 KingsOak Southern, Fax: 01392 216104 Barratt Manchester, Barratt North London, KingsOak House, Worrall House, Barratt House, Clivemont Road, Maidenhead, Barratt Maidenhead, 683 Chester Road, Wellstones, Watford, Berkshire, SL6 7BZ. SC House, Vanwall Road, Manchester, M16 0QS. Hertfordshire, WD17 2AF. Tel: 01628 629922 Maidenhead, Berkshire, Tel: 0161 872 0161 Tel: 01923 297300 Fax: 01628 762444 SL6 4UB. Fax: 0161 848 7332 Fax: 01923 297301 Tel: 01628 783017 KingsOak North London, Fax: 01628 636415 3 The Orient Centre, Barratt Northampton, Barratt South London, Greycaine Road, 900 Pavilion Drive, Grosvenor House, Barratt Mercia, Watford, WD24 7JT. Northampton Business Park, 4-5 Elm Court, 110 Manor Road, Tel: 01923 810870 Northampton, NN4 7RG. Copse Drive, Meriden, Wallington, Fax: 01923 810871 Tel: 01604 664500 Coventry, CV5 9RG. Surrey, SM6 0DN. Fax: 01604 664501 Tel: 01676 525400 Tel: 020 8669 6666 KingsOak Southampton, Fax: 01676 525401 Fax: 020 8669 5299 1 Eagle Close, Chandlers Ford, Barratt Sheffield, Hampshire, SO53 4NF. Barratt House, Barratt South Wales, Barratt Southern Counties, Tel: 02380 461000 Fax: 02380 461007 Newton Chambers Road, Oak House, Barratt House, Thorncliffe Park, Penarth Road, Walnut Tree Close, KingsOak Southern Counties, Chapeltown, Cardiff, CF11 8UW. Guildford, Sheffield, S35 2PH. Surrey, GU1 4SW. Rosemount House, Tel: 029 2070 4334 Rosemount Avenue, West Byfleet, Tel: 0114 257 2500 Tel: 01483 505533 Fax: 029 2070 3675 Surrey, KT14 6LB. Fax: 0114 257 2501 Fax: 01483 508603 Tel: 01932 353882 Barratt Southampton, Fax: 01932 346431 Barratt West Midlands, Barratt House, Barratt West London, Midland House, Bampton Court, Wallis House, KingsOak Thames Valley, New Road, Hursley Road, Great West Road, KingsOak House, Halesowen, Chandlers Ford, Brentford, Clivemont Road, Maidenhead, West Midlands, B63 3HY. Southampton, SO53 2TA. Middlesex, TW8 9BD. Berkshire, SL6 7BZ. Tel: 0121 585 5303 Tel: 023 8027 5275 Tel: 020 8326 7100 Tel: 01628 629922 Fax: 0121 585 5304 Fax: 023 8026 9922 Fax: 020 8326 7200 Fax: 01628 629500 47