Taylor Wimpey plc Taylor Wimpey plc 80 New Bond Street Corporate Responsibility Report 2007 London W1S 1SB

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Page Section Aim 2007 achievements 2008 targets

2 Business overview

4 Our approach To operate responsibly Taylor Woodrow and George Wimpey Our high level Corporate and build sustainable were two of only three housebuilders to Responsibility Committee homes and communities score over 70% in a sustainability will continue to ensure that benchmark the Company maintains high standards of CR Your feedback 8 Our homes and communities: Vision and focus areas

9 Supporting local To be a good neighbour in Won 10 awards from the Considerate Seek to further improve community communities the communities in which Constructors Scheme for building in a engagement and implement our We value your feedback and welcome comments we operate considerate manner new charitable policies on this report or any aspect of our approach to 10 Better by design To use design to enhance Received a series of high profile Improve design and build quality in the homes and communities awards for design and innovation all regions in which we operate we build corporate responsibility.

12 Case study: The Village, Telford communities 13 Case study: Oxley Woods, Milton Keynes Our homes and 14 Environmental To build environmentally friendly Integrated a wide range of Improve the energy and water homes and communities environmental features into efficiency of the homes we build sustainability our developments

16 Case study: Stamford Brook, Altrincham

17 Case study: The Bridge, Dartford

18 Enhancing To contribute to the local Contributed over £89.5 million in Further develop our G2 brand of economies in which we operate UK planning obligations as well as low cost, high quality housing economic growth providing affordable housing and aimed at first time buyers employment opportunities Please email us at: [email protected] 20 Case study: Grand Union Village, West London

21 Case study: Modern Ice, San José, California Or write to: The Group Company Secretary 22 Customer care To provide the highest levels Developed new Taylor Wimpey Implement and embed our new Taylor Wimpey plc of customer care systems and processes customer care practices 80 New Bond Street London 24 Employees To attract, develop and retain Focused on open and fair treatment of Bring the culture of our former W1S 1SB the highest calibre of employees employees during the merger process businesses together to create industry leading employee teams For more information visit www.taylorwimpey.com 26 Health, safety To provide safe and healthy Integrated systems and processes Implement and embed our workplaces and minimise and introduced a comprehensive HSE management systems and environmental environmental impact new UK HSE manual (HSE) management The way we work 30 Supply chain To maintain effective and Analysed historical approaches Integrate our systems and fair SCM procedures to SCM to identify best practice processes as well as reviewing management going forward green procurement practices (SCM)

32 Key Performance To provide data on our Assessed existing KPIs and started Develop effective CR CR performance to identify appropriate Taylor Wimpey performance measures Indicators (KPIs) KPIs

Produced by Black Sun Plc Printed by Royle Corporate Print Chairman and Chief Executive’s foreword

One vision

“We are delighted to introduce Taylor Wimpey plc’s first Corporate Responsibility report. This report helps to illustrate our approach and some of the key developments the group has made.”

We are delighted to introduce the first Progress Corporate Responsibility (CR) Report as During 2007 George Wimpey and Taylor Wimpey plc. Although this is the first Taylor Woodrow both showed strong for Taylor Wimpey, Taylor Woodrow and performance in CR, as can be seen from George Wimpey have been reporting since being two of the only three companies to 2002, making strong progress year on year. score above 70% in the Next Generation As Taylor Wimpey we are currently learning Benchmark of housebuilders. This is an from the experience and expertise of each achievement we are very proud of. legacy business with a view to introducing best practice going forward and improving Going forward our CR performance further. We will continue to be committed to monitoring, reviewing, reporting on and Our responsibilities improving all aspects of our CR performance. As a major housebuilder, we have As this is the first Taylor Wimpey plc a responsibility to build sustainable CR report, feedback on this report and communities and to take social, suggestions on how to improve our environmental and economic factors into sustainability performance are welcomed. account in conducting our business. This is a responsibility we take seriously and this report helps to illustrate our approach and some of the key developments the group has made during the year. As set out in the Our approach section on page 4, CR helps us to build thriving communities that meet our customers’ current and future needs. The case studies Norman Askew Pete Redfern throughout this report are a testament to Chairman Group Chief Executive our performance in this area. CR also makes sound business sense, particularly with the UK Government’s increased focus on building sustainable homes and communities. Our commitment and track record help us to win high profile tenders in an increasingly competitive market.

Taylor Wimpey plc Corporate Responsibility Report 2007 1 Business overview

Our business today

UK housing Spain & Gibraltar

Regional office Regional office

Overview Overview We are one of the largest homebuilders The George Wimpey brand incorporates We have longstanding operations in in the UK, with 34 regional businesses modern design and contemporary living Spain and Gibraltar, both of which and five smaller satellite operations. We into each home and offers customers a are branded as Taylor Woodrow. operate two core brands, Bryant Homes wide choice of options to personalise Our business in Spain is primarily and George Wimpey. their home. focused on developing sites in popular Bryant Homes properties combine Our G2 brand is specifically targeted holiday destinations. the best of traditional design with at first time buyers and key workers, Our Gibraltar business operates in the convenience of the new to create providing quality one and two bedroom the luxury apartment market. safe and secure places to live. apartments at highly competitive prices.

Housebuilding Housing Design Awards Considerate Group Innovation Awards 2007 A project winner for Telford Constructors Scheme Housebuilding Innovator Millennium Community, in We received ten awards from the Awards of the Year in the large the prestigious Department Considerate Constructors Scheme housebuilder category of Communities and Local including Gold Awards for Victoria Government, NHBC and Wharf in Cardiff and the Kings RIBA sponsored Housing Cross Underground Redevelopment and Design Awards

2 www.taylorwimpey.com North America housing Construction

Overview Taylor Woodrow provides construction and facilities management services throughout the UK and for key customers in selected overseas markets. The business is focused on selected growth areas – repeat services for ‘blue chip’ customers, facilities management (FM), rail and infrastructure, and engineering.

Regional office

Overview Our business in North America has homebuilders using the Taylor Woodrow operations in both the US and in Canada. Communities brand. In the United States we sell homes under Our business in Canada trades in Ottawa the Taylor Morrison brand in Arizona, and Toronto under the Monarch brand. California, Colorado, Florida, Nevada and Texas. We also have a land development business which sells lots to other

Customer satisfaction Builders Association of Greater Houston Monarch Homes was Northern Nevada Awards Building Association’s named the number one Our Reno Division won PRISM Awards builder for customer awards for Best Interior Morrison Homes won a satisfaction in Ottawa Design and Outstanding number of awards including Sales Person Small Community of the Year and Sales Manager For more information visit of the Year www.taylorwimpey.com

Taylor Wimpey plc Corporate Responsibility Report 2007 3 Our approach

Our approach

Corporate Responsibility Committee

Katherine Innes Ker Pete Redfern Norman Askew Ian Sutcliffe Baroness Dean of Andrew Dougal Non Executive Director Group Chief Executive Chairman Chief Executive Thornton-le-Fylde Non Executive Director (Committee Chairman) Taylor Wimpey UK Non Executive Director

demonstrate high standards of governance, Taylor Wimpey creates homes and communities manage our business effectively, manage in which people want to live, often regenerating business risk and comply with current and future legislation. the areas in which we build and contributing to Crucially, our corporate responsibility also the growth of local economies. helps us to build thriving communities that meet our customers’ current and future As a major housebuilder, we have needs and to win competitive tenders that a responsibility to build sustainable increasingly include sustainability criteria. communities and to take social, The case studies throughout this report are environmental and economic factors into a testament to our performance in this area. account in conducting our business. Given We are also proud to be included in the society and governments’ increasing focus FTSE4Good and Dow Jones Sustainability on these issues, it also makes sound Group indices. commercial sense for us to do so. This report, which covers the period from Taylor Wimpey plc’s corporate responsibility 1 January to 31 December 2007, aims to practices outline our approach to the global provide our stakeholders with details of our challenge of sustainable development. approach to and performance on the wide Our policies and practices help us to range of issues that relate to sustainability.

4 www.taylorwimpey.com Corporate responsibility management The group is tasked with identifying key Following the merger of George Wimpey issues to address and will advise on and Sustainability performance and Taylor Woodrow in July 2007, we set up establish programmes to deliver a new Board-level Corporate Responsibility sustainability objectives. This involves In 2007, the Next Generation Committee. The Committee is made up of engaging with government and key benchmark placed Taylor Woodrow Independent Non Executive and Executive stakeholders, identifying areas where we and George Wimpey in the top three Directors and is chaired by Non Executive can deliver enhanced business performance UK housebuilders in terms of Director Katherine Innes Ker. and ensuring that Taylor Wimpey maintains sustainability performance. competitive advantage through awareness Taylor Woodrow and George The committee meets at least three times of and response to sustainability issues. per year and is responsible for recommending Wimpey were in second and the Company’s corporate responsibility The group is co-ordinating our approach third place in the WWF, Insight strategy, policies, reporting and performance to delivering homes that can satisfy the Investment and Housing Corporation monitoring to the plc Board. The committee’s various levels of the Code for Sustainable benchmark. We achieved scores of 73% and 72% respectively, in remit includes ensuring that CR strategy Homes, starting with level three where it comparison with a sector average and activity are adequately resourced, have is required by our development partners. of 39%. We are particularly proud appropriate standing within the Company It is also undertaking research into tackling of coming first and second in terms and are aligned to the needs of the higher code levels, for example in response of environmental impact. business. We regard corporate responsibility to the Government’s Carbon Challenge as an integral part of good governance. (see page 15). This research is vital in The report states that we “deserve enabling us to map a realistic route to congratulations” for being within Our key areas of focus in terms of corporate delivering zero carbon homes from 2016. the top three housebuilders in responsibility are the homes and communities the benchmark. that we build for our customers and the way Governance and ethics that we operate as a business. Corporate governance remains a top Referring back to strong priority for Taylor Wimpey, as it was for performance in the previous Sustainability Working Group both Taylor Woodrow and George Wimpey. benchmark in 2005, the report concludes that Taylor Woodrow and We have a Sustainability Working Group in Our new plc Board includes three Non George Wimpey “have maintained the UK. This group is made up of Directors Executive Directors from each legacy their commitment and leadership from business development, land and business as well as a Chairman. The Board position, even though the criteria planning, commercial, design, production considers that we have continued to comply used in this benchmark were more and procurement as well as a full time with all the provisions of the Combined Code stretching than in the previous one”. Sustainability Advisor. on Corporate Governance during 2007. Meeting regularly, the group keeps the Following the merger, the Board moved business informed about emerging legislation, swiftly to adopt the governance, policies and regulation and market developments relating procedures. These will be regularly reviewed to sustainability and acts as a conduit by the Board to ensure that they meet the and advisor to collect and disseminate requirements of the Group and each best practice. individual business.

Taylor Wimpey plc Corporate Responsibility Report 2007 5 Our approach continued

We regard corporate responsibility as an integral part of good governance.

Climate change The increasing threat of climate change is one that we, as a society, can no longer afford to ignore. As a company, Taylor Wimpey needs to understand the possible effects of threats such as rising temperatures, flooding and extreme weather events on our business and, in particular, on the homes and communities that we build for our customers. We also need to focus on reducing our potential impact on climate change as well as being prepared to adapt to changing environmental circumstances. Ultimate responsibility for climate change issues rests with our plc Board. Pete Redfern, our Group Chief Executive, is a member of the CBI Climate Change Task Force. In addition, Development Director, at George Wimpey East Scotland, Martin Hensman is a member of the Scottish Government’s Climate Change Business Delivery Group. In 2008 we will develop a policy on climate change and investigate appropriate Key Performance Indicators to measure our performance. We will also undertake a flood risk assessment of our landbank.

Potential risks and costs to our business or the communities we build • Regulatory risks including costs associated with the requirements of the Code for Sustainable Homes and potential future carbon emissions reduction commitments • Costs from exposure to climate change impacts ranging from flooding, water scarcity and extreme weather events to increased fuel or insurance costs • Reputational risks including potential public or shareholder activism if we were to fail to address these issues sufficiently • Competitive risks if we were to fall behind our industry in tackling these issues

Current focus in terms of reducing our impact and seeking business opportunities • Continue to improve sustainability performance in terms of product, process and procurement, as well as finding practical and affordable solutions to future regulatory requirements • Continue to design communities to minimise flood risk, integrate sustainable drainage, increase water efficiency, reduce transport emissions, etc. • Maintain our position as one of the leading house builders in terms of sustainability performance

6 www.taylorwimpey.com Since the merger, we have begun a process Risk management of reassessing our Company’s core values One of the most compelling aspects Stakeholder dialogue and approach to ethics. of the business case for corporate responsibility is that it helps us to reduce We strive to be a responsive Integration business risk by identifying a wide range company. As part of this, it is The integration of our UK and North of issues to address. The Corporate vital that we listen to and engage American businesses has progressed well Responsibility Committee is tasked with with a wide range of internal and since the merger. George Wimpey and highlighting significant social, environmental external stakeholders. They help Taylor Woodrow were well matched in terms and ethical risks and opportunities for the us to understand the impacts of of sustainability performance, as can be seen attention of the Board. our business as well as the risks from the Next Generation benchmark of UK and opportunities that we face. house builders, where the difference During 2007, we continued with the Our primary stakeholders are: between our two legacy businesses was just historical risk management processes of • Investors one percentage point (see page 5). As two our legacy businesses. We also analysed of only three companies to achieve over 70% the existing systems and methodologies • Customers with a view to integrating best practice and in the benchmark, we are in an extremely • Employees and sub-contractors strong position in terms of sharing past developing a risk management framework experience and integrating best practice that fits our new business size and model. • Residents and other groups in the for the future. We will introduce this framework in 2008. communities in which we operate Suppliers and other In 2007, we focused on analysing our legacy • Stakeholder engagement business partners businesses’ approach in all business areas, As part of our stakeholder engagement, identifying best practice and deciding on we work closely with industry bodies such • Local, regional and how best to move forward. We are now as the Home Builders Federation (HBF) national government updating our UK and North American policies, and participate in consultations on industry • Landowners and land agents procedures and systems and, once this developments such as the Code for • Planners and regulators process is complete, we will focus on Sustainable Homes, the Calcutt Review implementing and embedding these and planning issues. • Housing associations new approaches. We have also acted as a research partner • Trade associations and with the National Trust, Leeds Metropolitan industry bodies University and Redrow Homes on our • Charities, NGOs and other groups Stamford Brook development (see page 16). interested in sustainable homes We are keen to expand our links with and communities academic schools and other organisations working within the environmental sector. More information about our corporate governance procedures is available on-line at www.taylorwimpey.com including Terms of Reference for our CR Committee and Sustainability Working Group.

Taylor Wimpey plc Corporate Responsibility Report 2007 7 Our homes and communities

Our homes and communities

Vision We are committed to building sustainable homes and communities. Our focus is on creating places where people want to live now and in the future. Our five key areas of focus are:

Our focus areas Supporting local communities Being a good neighbour and engaging with community and other stakeholder groups through consultation, considerate construction and charitable activities Better by design Using design to create high quality, cost effective, attractive and appealing homes and communities that meet our customers’ needs and wants as well as enhancing the local area Environmental sustainability Striving to build homes that are ever more energy efficient as well as reducing the environmental impact of our operations at both a local and global scale Enhancing economic growth Making major contributions to the local economies in which we build through regeneration schemes, affordable housing, improved infrastructure and increased local employment Customer care Providing the highest levels of customer care and making our customers’ house buying process as simple, straightforward and enjoyable as possible

8 www.taylorwimpey.com 1 2 3 4

1. Building for charity 4. Supporting local schools In 2007, our Reno Division designed and built In 2007, HRH Prince Charles visited a playhouse for a charity auction to support the Hollybrooke School in Glasgow, a special Builders Association Charity (BAC) in Northern needs secondary school, to see a new ICT Nevada. BAC provides much-needed assistance suite and resource library funded by Taylor for local families who are struggling with the Wimpey and other Scottish Business in the effects of severe illness or financial adversity. Community member organisations. We The playhouse, which replicates the V8 café carried out around £14,000 worth of joinery in the Disney film Cars, won the award for and electrical work for the project, which was Best Design and Theme. Our time and designed to enhance pupils’ educational materials were valued at $12,000. experience and potential employability.

2. Supporting sustainability 5. Considerate construction Taylor Wimpey was the main sponsor of Our projects won 10 Considerate Constructors Sustainable Communities 07, a conference Scheme (CCS) awards in 2007, including Gold supported by the Sustainable Development Awards for the Kings Cross Underground Commission and other organisations. Ian Redevelopment and, for the second time, our Sutcliffe, our UK Housing Chief Executive, spoke Victoria Wharf development in Cardiff. Our about sustainability being at the heart of future construction company Taylor Woodrow, which housebuilding. He talked about the importance won seven of the ten awards, is an Associate of integrating the broader social and economic Member of CCS and registers all sites with the aspects of sustainability – including affordability scheme. We are encouraging all of our regional and a mix of tenures – rather than focusing UK housebuilding businesses to register their solely on building greener homes. Two of sites with CCS from 2008 onwards. our Directors also led a masterclass on our experience of building sustainable communities 6. Community consultation in Greenwich and Telford. We engage with local communities and other stakeholders at a very early stage in the Supporting local communities 3. Community on the Curriculum development process and focus on involving We undertake regular safety talks and them in the decision-making process as well We aim to be a good neighbour in the other initiatives with schools close to our as keeping them informed of developments. communities in which we operate. Community UK developments. Another initiative is our Case studies on The Village, Telford (page 12), and stakeholder consultation is a key part Community on the Curriculum programme Stamford Brook (page 16) and Grand Union of creating sustainable communities. We for schools, which engages children in activities Village (page 20) provide some examples of at local sites and teaches them about subjects our approach to consultation. Taylor Woodrow also engage with and support community ranging from eco homes to designing communities. drafted a Public Consultation Strategy prior to organisations and seek to be a considerate For example, pupils at Muirhouse Primary the merger and we will reassess this in 2008. housebuilder during construction. School in Motherwell took part in The Great In addition, during 2007 Taylor Wimpey plc Eco Challenge. The children learned about donated a total of £193,180 in the UK and building eco-friendly homes and recycling. They also conducted a wildlife study at our Europe and £177,521 in North America to Excelsior Gardens development with the charity, including £26,760 to match funding help of Wildlife Watch, the junior division raised by Taylor Woodrow employees in of the Wildlife Trust. the UK. Following the merger, we revised our charitable policies for the UK and North America. Further details of our charitable policies are available on-line at www.taylorwimpey.com

Taylor Wimpey plc Corporate Responsibility Report 2007 9 Our homes and communities continued Better by design

How we design our homes and communities and the construction methods and materials that we use have a major impact on cost effectiveness, customer appeal and sustainability. High quality design is vital in building visually attractive and vibrant communities where people want and can afford to live. We take a comprehensive range of factors into account when designing homes and communities. These extend from architectural quality, character and layout of the development to encouraging social interaction, health and well being, safety and environmental issues. Taking social, environmental and economic factors into account at the earliest stage helps us to create more cohesive communities that are cost effective, efficient to build and address sustainability criteria. We increasingly use innovative construction materials and techniques. We won three awards at the Housebuilding Innovation Awards 2007 and two awards at the Homes for Scotland 2007 Innovation Awards.

10 www.taylorwimpey.com 1 3 4

2

1. Award winners We worked closely with English Heritage, English 5. Planning for sustainable development In 2007, George Wimpey City’s spectacular Nature and the local authority on an extensive In 2007, Taylor Wimpey produced a guide to Falcon Wharf development was named joint management plan for the 75 acres of protected delivering sustainable development for all of our winner of the Apartment Building of the Year in woodland around the homes, which include UK land and planning teams. The document the British Homes Awards and Best High Rise important biodiversity and archaeological explains the UK Government’s sustainability Residential in the London District Surveyors features such as a medieval tile kiln. agenda and goes on to identify and discuss the Association’s Built in Quality Awards. This 17- principal issues of sustainable development in storey riverside development was designed by 3. Designed for quality of life the context of housebuilding. It includes sections renowned architect James Burland and features In 2007, the Prince’s Foundation and HBF on topics ranging from the implications of four curved towers of glass, steel and timber. Our chose 11 UK schemes by major housebuilders climate change to the business benefits of for special recognition for design quality. The Great Northern Tower development in Manchester delivering sustainable development. We will selected developments follow the Foundation’s was among the winners in two architecture take this initiative further in 2008. design principles of helping to improve quality of categories of the UK Property Awards 2007. life for residents and being energy-efficient. Our 6. Rewarding best practice in design Meanwhile, design by Malcolm Fraser Architects two developments praised by the Foundation Prior to the merger, Taylor Woodrow held its of Bryant Homes East Scotland’s Princess Gate were George Wimpey’s Westoe Crown Village inaugural Design Awards in conjunction with development was one of two winners in the in Tyne and Wear and Taylor Woodrow’s the Commission for Architecture and the Built Residential category of the Scottish Design Grand Union Village (see page 20). Environment (CABE). The awards recognise Awards 2007. This development was one of the importance of design and encourage our 4. Developing a new house type range seven projects shortlisted for the prestigious regional businesses to compete in terms of During 2007, we used our expertise from our design excellence. The judges assessed Royal Incorporation of Architects in Scotland legacy businesses to develop a Taylor Wimpey nominations against CABE’s Building for (RIAS) Andrew Doolan Award for the Best preferred house type range. This will have to Life criteria and the winners were Marton Building in Scotland 2007. Princess Gate appeal to our customers, respond to regional also received a commendation in the Saltire planning requirements, be efficient from a business Campus, Middlesbrough and Telford Society’s Housing Design Awards 2007. perspective and be capable of meeting level three Millennium Community. of the Code for Sustainable Homes. We are 2. Reflecting our surroundings looking at all aspects of product and process in While some of our developments are designed designing these homes. This includes design and to stand out from the crowd, many need to construction quality, construction methods, health blend in with the local surroundings. One such and safety, supply chain management, example is Wilberforce Court in the grounds of environmental considerations and affordability as Holwood House in Keston, Kent, where William well as what our customers need and want from Pitt the Younger once lived and William their homes and communities. All of these homes Wilberforce vowed to fight slavery. Built on the will integrate the principles of Lifetime Homes to crescent shaped footprint of Seismograph’s improve accessibility and cater for the changing former headquarters, the homes reflect the style needs of our customers. The homes will also of the main house. comply with Secure by Design principles.

Taylor Wimpey plc Corporate Responsibility Report 2007 11 Our homes and communities continued

Case study The Village,Telford

The Village is one of English Partnerships’ wildlife corridors, a lake and a large amount seven Millennium Communities, which are of green space. Every home will also have designed to demonstrate best practice in a garden, balcony or roof terrace. social and environmental sustainability. Other facilities will include a civic square as We are currently involved in two other well as office, retail and leisure units. The Millennium Communities – Greenwich Village will also have children’s play areas and Millennium Village and The Botanic sports fields. Most homes will provide home development in Manchester. office facilities and all will integrate cabling for The Village, Telford Bryant North Midlands is building around computer and audiovisual technology. 600 homes 600 homes at The Village, of which 30% Award winning The Village has adopted Home Zone design are affordable. The first residents are principles to provide street layouts that expected to move in to their new homes share areas between pedestrians and in early 2008. cars. Housing layouts are built to Secure The Village won two prestigious design by Design principles and all homes will awards in 2007: a Housing Design Project meet the Housing Corporation’s Scheme Award and Best Innovation in Design at Development Standards (SDS) on minimum the Housebuilding Innovation Awards. space standards and accessibility for the The development integrates elegant and elderly or disabled. The development contemporary design, modern construction is registered with the Considerate techniques and energy-efficient materials. Constructors Scheme. All homes are being built to EcoHomes Other features include recycling facilities and ‘excellent’ standard and will be highly water butts for all homes. There will also be energy and water-efficient. improved bus services, new footpaths and “As a Millennium Community, the development The Village is situated on brownfield land new cycle paths. offers the latest thinking in urban planning, that, through dereliction, had become an Extensive public consultation has taken outstanding design and extensive community important wildlife habitat pockmarked by place including design workshops and consultation. This has been at the heart of the a legacy of abandoned mineshafts and events to ensure local community planning process, with local people inputting spoil heaps. A Sustainable Urban Drainage involvement in the design of the site. A their views on issues ranging from the layout System is nearing completion, following Community Development Trust is being set of the development to the community facilities remediation work and the relocation of rare up to encourage social interaction and there wildlife species. The finished development is an information centre, a regular newsletter that are most needed.” will include a nature conservation area, and a hotline to keep people informed. Marie Monk-Hawksworth Regeneration Manager for English Partnerships

12 www.taylorwimpey.com Case study Oxley Woods, Milton Keynes

George Wimpey South Midlands started produce 27% fewer carbon dioxide building 145 innovative and energy-efficient emissions than a conventional new house homes after being awarded the Oxley of a similar size built at the same time. This Woods site in the UK Government’s Design reduction rises to almost 40% with the for Manufacture competition. The homes inclusion of the EcoHat with every home are designed by internationally acclaimed and to 50% when the EcoHat is also used architects Rogers, Stirk, Harbour + Partners for hot water. (formerly the Richard Rogers Partnership). Oxley Woods, Milton Keynes We have a sustainability education centre 145 energy-efficient homes Of the 145 homes, 56 are being built and an eco-friendly show home with Award winning to Design for Manufacture’s challenging features such as bedside tables made requirement of a construction cost of from washing machine drums and £60,000 or less for a typical three bedroom cushions woven from seatbelts. “I’ve never lived in anything like this before, and house. We are providing 43 affordable Oxley Woods also features communal the shapes of the properties, the colours and homes and a further 25 homes will be gardens and open spaces with trees the materials really appeal to us because they sold under the First Time Buyer’s Initiative and lots of greenery. All homes will have are so different from the standard concept of (see page 18). water butts and we have developed a a home. The properties at Oxley Woods are We received three awards in 2007 that Sustainable Urban Drainage System like those you see on ‘Grand Designs’, only relate to this development: Best Innovation for the site as a whole. these have been created by George Wimpey, in the use of Material and Products and All units are built to Lifetime Homes so we haven’t had the hassle of having to Housebuilding Innovator of the Year (large and Secure by Design standards. The design, plan and build our own!” sized housebuilder) at the Housebuilding development adheres to the 20 principles Innovation Awards, plus being named of the Building for Life standard, which Lee Corrigan Property Developer of the Year by Milton encourages character, good transport Homeowner Keynes and North Bucks Chamber links and streets that prioritise pedestrians of Commerce. and cyclists over cars. The homes will achieve EcoHomes ‘very To meet the Government’s rigorous budget good’ and the maximum National Home requirements, we used modern methods Energy Rating. All homes also include an of construction and precision engineering. ‘EcoHat’ which provides passive solar air Much of the homes are prefabricated and warming, cooling and ventilation as well can be assembled on site in a swift 31 days. as having the option of providing solar Homes are selling well and this radical and water heating. innovative site is teaching us a great deal about design, energy efficiency and Homes at Oxley Woods were built to far customer opinion on sustainability issues. exceed 2002 Building Regulations, the prevailing regulations at the time. They www.oxleywoods.com

Taylor Wimpey plc Corporate Responsibility Report 2007 13 Our homes and communities continued Environmental sustainability

We take environmental issues into account in the way that we prepare and use land for our developments, in how we build our homes and in the materials and techniques that we use. Due to current building regulations, homes built today are significantly more energy-efficient than older housing stock. This significantly reduces carbon emissions and our customers’ energy bills. We also built 2,417 homes to EcoHomes standards in 2007 and started to build our first homes to level three of the Code for Sustainable Homes. We regularly turn disused, neglected or contaminated land into thriving new communities. Many of our sites integrate green spaces or wildlife areas and involve conservation work. Our comprehensive environmental management system (pages 26 to 29) means that we protect the local environment as we build and our procurement practices (pages 30 to 31) lessen our impact on the global environment.

14 www.taylorwimpey.com 1 uses drought tolerant landscape plants at its 6. Reducing waste model home complex and Modern Ice (page 21) As well as reducing waste during our will also integrate drought resistant planting. As construction process (see page 26), we are also required by law in the county of Calvia, Taylor often involved in initiatives to reduce domestic Woodrow de España’s developments at Las waste. We support local authorities’ recycling 2 3 4 5 Olas and Cala Vinyes in Mallorca also integrate schemes and provide additional recycling or greywater re-use facilities for flushing toilets and composting facilities on some developments. 3 watering residents’ gardens. A number of our UK developments provide water butts for residents 7. Designing zero carbon homes while our planned Botanic development in In 2007, we were among seven developers 1. Steiner Ranch Manchester will harvest rainwater for irrigation shortlisted for building the first English Steiner Ranch is a Taylor Woodrow community of its innovative ‘green walls’. A significant Partnerships ‘Carbon Challenge’ scheme in Austin, Texas. Just over a third of the proportion of our UK sites integrate Sustainable aiming to achieve level six – the highest level development’s 4,800 acres is open space, Urban Drainage Solutions. – of the Code for Sustainable Homes. The including 819 acres of endangered species Government’s Carbon Challenge requires zero preserve. The preserve will help to protect local 4. Evergreen housing carbon homes with cutting edge high quality flora and fauna including two endangered species Monarch finalised plans in 2007 to build the design that are also economically viable on a of songbird. Homes are designed around mature largest environmentally friendly low-rise residential commercial scale. Preparing designs for the native trees and surrounded by nature, while community in Canada. Known as Evergreen, the site at Hanham Hall in Bristol has given us reclaimed water is used for irrigation. development will provide 196 homes in Toronto the opportunity to explore the implications that are built to the LEED-H and Energy Star green of achieving the highest level of the code 2. Green transport rating systems. Evergreen will help us to gain and has taught us an immense amount We often produce green transport plans for expertise and test the economic viability and that we can apply elsewhere. our UK developments. We regularly pay for consumer appeal of environmentally sensitive the diversion of local bus services through sites homes. A number of our other Divisions in North and use Home Zone principles to design street America also build homes to Energy Star or an scenes around people rather than cars. A number equivalent ratings system. of our developments include cycle storage facilities or car share schemes, such as at Grand Union 5. Renewable energy use Village (see page 20). Providing mixed use All of our customers receive green energy EcoHomes built communities with shops and other facilities for from British Gas and Scottish Power (although 333 residents also helps to reduce the need to travel. customers are, of course, entitled to change energy supplier). We increasingly integrate 1,312 3. Responsible water use renewable energy sources into our developments. 454 We use water-efficient fittings and other water An example of this is Park 25 in Redhill, Surrey 318 conservation techniques at a growing number where a biomass boiler provides around 18% of Excellent rating Very good rating of developments. In North America we the development’s total energy demand. Other Good rating Pass rating increasingly use reclaimed water for irrigation developments, such as The Parks in Bracknell, purposes, for example at our Jacksonville offer solar hot water panels as an optional extra Homes built to Division’s Sevilla and Chestnut Ridge and Filomena House is the first development in 2,417 EcoHomes standards communities. Sacramento’s Mirabela community Gibraltar to be designed with solar heated water.

Evergreen, the largest environmentally friendly low-rise residential community in Canada

Taylor Wimpey plc Corporate Responsibility Report 2007 15 Our homes and communities continued

Case study Stamford Brook, Altrincham

Bryant North West is building 710 homes All homes will have water butts, compost in Stamford Brook in conjunction with bins and recycling facilities. The design of Redrow Homes and the National Trust. the development encourages walking, We are building a wide mix of house and cycling and use of public transport over cars. apartment types on land that was part Extensive biodiversity work on site includes of the National Trust’s Dunham Massey the largest river restoration project in Estate. There will be 79 affordable homes. England – the re-alignment of a local river From the start, the National Trust was to increase flood defences and improve determined that Stamford Brook would be ecological value. The site also integrates “We see the results and benefits of a broad “an exemplar of sustainable development” a Sustainable Urban Drainage System. and diverse partnership working together and we have worked in partnership to A series of wildlife and native habitats are to deliver a single vision – a sustainable achieve their aspirations for the site. being established. This will involve the housing development which is already Homes are designed to be energy-efficient regeneration of a community woodland influencing building regulations in the UK, and reduce carbon dioxide emissions. They with native trees and shrubs as well as are extremely well insulated with a high level wildlife corridors, footpaths, cycle paths and setting standards for both government and children’s play areas. and the house building industry in the of air tightness as well as having heating and delivery of low/zero-carbon housing over ventilation systems that minimise emissions. Stamford Brook is Considerate The homes are water-efficient, designed to Constructors Scheme accredited and we the next decade.” maximise solar gain and use materials from also visited local schools to provide safety sustainable or renewable sources. awareness information. David Houston National Trust Area Manager, Cheshire The development blends in with the A Community Liaison Officer ensured landscape setting and reflects the that the local community’s views were traditional building forms of the local area. represented during the masterplanning process and the project co-ordinator Stamford Brook provides a major field trial continues to provide an important link for a DCLG Partners in Innovation project. between the development partnership Leeds Metropolitan University has been and the community. A regular newsletter investigating how volume housebuilders keeps local residents informed of can improve the energy efficiency of developments and a Community masonry dwellings on a commercial Association has been set up as part Stamford Brook, Altrincham scale. Their findings will be used to of a long term governance model for 710 homes improve future building regulations. the community. Award winning

16 www.taylorwimpey.com Case study The Bridge, Dartford

George Wimpey South East is building The landscaping of the site will encourage 1,134 homes at The Bridge in Dartford, our residents to spend time outside and which is part of the major regeneration of meet their neighbours in a series of pocket the Thames Gateway. Built on brownfield parks. There will be innovative seating and land, this mixed use development will play areas as well as communal barbecue include shops, cafes and a range of facilities and public art. community facilities. Office space and a science and business park will contribute to The development integrates Home Zone The Bridge, Dartford principles and encourages cycling and the creation of 7,500 new jobs in the area. 1,134 homes walking. Dartford will also benefit from Designed by Hemingway Design and improved cycling and pedestrian routes as Award winning architects Broadway Malyan, the part of the Connect2 project. Organised by development will include a mix of sustainable transport charity Sustrans, contemporary housing styles. We are providing 340 affordable homes and Connect2 won £50 million of lottery funding additional properties via the First Time after a public vote in 2007. Buyer’s Initiative (see page 18). The community building will include a two The homes are being built around existing form primary school as well as a youth mature trees and a series of new greenways centre, community meeting room, crèche, and blueways that will create additional nursery, library and facilities for health and wildlife habitats. Homes will be surrounded social care. A job shop has opened on the by 80 acres of public space that will include site to encourage local employment. a Sustainable Urban Drainage System, “Unbelievably, it’s 52 months since we were parkland, a nature reserve, reclaimed lakes, A dedicated Fastrack bus service has been contacted by George Wimpey to become play areas and sports facilities. The introduced to connect with Dartford town part of the team bidding for the former centre and local amenities such as residential area of the site has also been Joyce Green Hospital site off Bob Dunn raised to minimise the risk of flooding. Ebbsfleet International Station. Residents will travel for free to Dartford and Bluewater Way. When we visited the site for the first The first phase of 235 homes is well in order to encourage public transport use time, we were gobsmacked by the potential under way. Affordable units will achieve an EcoHomes rating of ‘very good’ with other and reduce the need for car journeys. of this brownfield site and put everything into homes receiving a ‘good’ rating. Future Homes will have wireless broadband winning the competition. We are glad we phases will be built to level three of the facilities and access to real-time public won and now, seeing the progress on the Code for Sustainable Homes. In addition, transport schedules. A proportion of the site, 52 months seems like nothing!” we will build an Eco Village of around 50 homes will be designed to accommodate homes to EcoHomes ‘excellent’ standard home offices. Wayne Hemingway and integrate sustainability features such Hemingway Design as solar power and rainwater recycling. www.thebridgedartford.co.uk

Taylor Wimpey plc Corporate Responsibility Report 2007 17 Our homes and communities continued

1 3 Scheme and was shortlisted for Contract Journal’s Longterm Partnering Award and Building Magazine’s Regeneration Awards.

5. Construction training 4 We run a New Entrants into Construction Programme with Scottish Enterprise to help tackle skills shortages. Employers offer work 2 5 placements for the long term unemployed with a view to full-time employment and training is provided to develop interview and on-site skills. Since the NECP initiative started in late 2006, we have helped deliver 134 training placements. Of this number 77 full- 1. Local employment opportunities time job offers have been made so far, while Our Raploch development in Stirling is in a 40 individuals were still undergoing training deprived area with high unemployment. We at the end of 2007. have committed to taking on 25 apprentices and 100 construction operatives as well as 6. Urban regeneration providing construction training for 100 Our Ardler Village redevelopment of a individuals. We already employ three female rundown housing estate in Dundee continued apprentices as part of an initiative to encourage to win awards in 2007 when it was named women into construction. In addition, we are Regeneration Project of the Year in the British committed to using local suppliers and sub- Homes Awards. According to the judges: “It is contractors and assisting them in meeting our a massive scale regeneration that is having a sub-contractor vetting procedures. In 2007, big impact. What a transformation.” we helped local tradespeople to tender for work on the construction of Raploch’s 7. Enhancing local communities resource centre. This centre will have a In 2007, we contributed just over £89.5 dedicated employment manager to provide million towards infrastructure improvements information on training, employment and and a wide range of community facilities other local business opportunities. through UK planning obligations known as Section 106 agreements in England and 2. Helping people onto the property ladder Section 75 agreements in Scotland. We G2 provides high quality apartments for first also agreed to substantial in kind time buyers and key workers with a price tag contributions over and above this figure. that is normally less than £100,000, thanks to efficient use of land and modern methods 2007 Sections 106 and 75 Agreements of construction. We built our second G2 A breakdown of the above contribution development in 2007 and 70% of the homes (£89.5 million) is set out below. sold within one day. Elsewhere, having previously focused on the luxury end of the market, our Gibraltar business has introduced Affordable Housing an ‘affordable plus’ product. It aims to help Contributions Education Enhancing economic growth local residents and workers to buy their own Public Transport home in what is otherwise a prohibitively Public Open Space expensive market. Leisure Facilities The communities that we build can provide Highways a major boost to local economies. We are Public Art 3. Supporting first time buyers increasingly involved in large scale urban Community Buildings We support English Partnerships’ First Commuted Sums regeneration projects and mixed use Time Buyers’ Initiative (FTBI), which provides Other developments. We also provide much needed mortgage assistance for eligible first time affordable housing throughout the UK and buyers. By the end of 2007, we had sold 212 make significant contributions to infrastructure FTBI homes across eight of our developments This funding has a massive impact on local and community services. and signed up to sell homes under the communities. For example, our contributions scheme at a further 12 developments. for Great Western Park in Didcot include: In 2007, we built 3,060 affordable homes in • Two new primary schools, an extension the UK. We have a dedicated team of in-house 4. Community benefits to an existing primary school and a new experts to deliver affordable housing and work Our construction business, Taylor Woodrow, secondary school closely with housing associations and other is involved in projects that provide numerous • Major road improvements and public bodies to ensure that affordable units are community benefits, such as leading a transport links consortium to deliver a £320 million school • Two community centres, land for a health integrated effectively into our developments. buildings programme in Sheffield. Another centre and extension of the town’s existing We also provide significant employment example is Sandwell Homes in the West library and civic centre opportunities in the areas in which we operate. Midlands, where we are working in partnership • Extensive indoor and outdoor sports and The majority of employees and contractors to refurbish 10,000 council homes in close recreation facilities as well as children’s play consultation with the local community and other areas and 153 acres of public green space that we recruit come from the local areas stakeholders. During 2007, this project won a around our offices and developments. We Silver Award from the Considerate Constructors also run a series of schemes to encourage people into a career in housebuilding.

18 www.taylorwimpey.com Taylor Wimpey plc Corporate Responsibility Report 2007 19 Our homes and communities continued

Case study Grand Union Village, West London

Bryant Homes London is building 850 There is a Community Development Trust homes in a major mixed use development to encourage social interaction among alongside the Grand Union Canal in Northolt, residents and the village’s community facility West London. A total of 333 will be opened in 2006. The local community were affordable homes. involved in the planning process and continue to be kept informed. In 2007, the Prince’s Foundation and the Home Builders Federation recognised Grand We have begun biodiversity work to enhance Grand Union Village, London Union Village for the quality of its design. They the canal as a wildlife corridor and are praised our urban village development for introducing around 400 ornamental shrubs 850 homes adopting community design principles that and trees. Over a third of the site is public Award winning contribute to energy efficiency and help open space including landscaped grounds, improve quality of life for people who live here. a large ecological area, playing fields and children’s play areas. We undertook extensive bioremediation work on this former industrial site. We also Other existing or planned facilities include saved an estimated 22,000 lorry journeys a medical centre, nursery, leisure club, and their associated noise and pollution by restaurant, supermarket, shops and newly reusing and recycling materials from existing opened marina with around 20 berths for buildings on the site. narrow boats. The homes built so far have achieved We have run a series of competitions and EcoHomes ‘good’ standards, while the phase educational programmes with local schools, 11 homes that are now under construction and have taken on a number of high school will reach EcoHomes ‘very good’ with a target students in a work placement scheme. of 10% of energy demand provided by “We were impressed with the integration According to the Prince’s Foundation, Grand renewables. The majority of homes are also of community facilities at Grand Union Union Village “has completely transformed Lifetime Homes compliant. a 54-acre brownfield site in Northolt into a Village along with a move away from car- We have appointed a green travel co- vibrant and diverse canalside community”. dependent housing. The design of the ordinator and produced a travel pack for development also creates a real sense www.bryant.co.uk/grandunionvillage residents. A CityCarClub car sharing scheme of place with care taken to provide open allows residents to hire one of the club’s space and accessible amenities to the three cars when they need it, rather than owning one of their own. The number and residents including shops, a nursery type of vehicles available will increase as the and proposed restaurant.” community grows. The development is also designed to Home Zone principles and all Hank Dittmar properties have access to bicycle storage. Chief Executive of The Prince’s Foundation

20 www.taylorwimpey.com Case study Modern Ice, San José, California

Our Bay Area Division in California seasonal efficiency rating (SEER) of 14.0; is building a 200 home townhouse energy-efficient lighting and water-efficient community in the San José neighbourhood low flush toilets. of Luna Park. The name of the community The landscaping of the community uses reflects the site’s former use as the Modern only drought resistant plants and irrigation Ice and Cold Storage refrigeration and cold systems will use recycled water. In addition, storage plant, which operated in the a series of bio swales throughout the site Modern Ice, San José, California neighbourhood for over 75 years. filter and clean water before it enters local 200 homes The new homes will help to support creeks via the storm drain system. Award winning economic redevelopment of the local area We are also developing a 1.3 acre public that is being championed by the San José park for the benefit of the local community. Redevelopment Agency. Forty of our “Selling the affordable units at the Modern It will be known as Luna Park – the name homes are designated affordable units as of a popular amusement park of the early Ice development has been a very positive part of the City of San José’s Inclusionary 20th century that was the focal point of the experience. I look forward to our Housing Program. This has made it neighbourhood – and will be dedicated to continued partnership and future possible for low- and moderate- income the City of San José. The park will include first-time homebuyers to purchase a new commitment to provide affordable housing a play area, picnic areas and landscaped home in central San José. Taylor Morrison opportunities for San José residents.” open space. and City staff also worked together to help Brandi Hoffman-Ooka secure an additional US$1.2 million in down Modern Ice is close to major employment payment assistance funds for first time Senior Development Officer, Department of Housing, centres of the South Bay area and bus homebuyers at the development. routes run close to the community. City of San José All refrigeration equipment in the pre- existing plant was removed and the remaining refrigerants were remediated. Waste materials from the site were recycled in accordance with strict San José City guidelines. All of the homes are certified to comply with the stringent California Energy Code. Our compliance is supported by the use of energy-efficient appliances; low emissivity ‘Low-E’ glass windows; insulated hot water pipes; air conditioning units with a higher

Taylor Wimpey plc Corporate Responsibility Report 2007 21 Our homes and communities continued Customer care

We aim to provide the highest levels of customer service and product quality. House buying can be a stressful process and we aim to make it as simple, straightforward and enjoyable as possible for our customers. During 2007, we focused on reviewing the UK systems and processes in place in Taylor Woodrow and George Wimpey and then integrating best practice systems on customer care for implementation in early 2008. We are mapping out a very clear customer journey and customer promise as part of this process. In North America we ran a series of best practice conferences to learn from the customer care experience of our legacy businesses. This consultation process will inform the development of core practices and guidelines. 2008 will see the introduction of the new systems and processes in the UK and North America as well as implementation and training programmes to support these new approaches.

22 www.taylorwimpey.com 1 3 4 Mike Crawford was named runner up in the large to know their neighbours to conservation work builder category for his site at Meadowbrook, that has enhanced biodiversity on the site. We 4 Trowbridge. Steve Vorres and Mark Howard have taken a step further at innovative also won silver medals in the 2007 CIOB developments such as Oxley Woods, where we Construction Manager of the Year Awards. show visitors around our sustainability education Mark won his medal for his work on the East centre and an eco-friendly show home. 2 2 London Line. 5. Benchmarking performance 3. Award winning customer service During 2007, we have worked closely with In 2007, Monarch Homes was named the the NHBC and HBF to introduce their number one builder in terms of customer customer survey processes in our UK satisfaction in Ottawa, Canada. The influential businesses from 2008. This will allow us to 1. On-line help for customers JD Power and Associates survey measures benchmark our performance against our A number of our North American Divisions customer satisfaction throughout home housebuilding industry peers. These customer have introduced an interactive Web site to purchase and early ownership. Home owners surveys, which will replace our current internal guide customers through the homebuying rank their housebuilder on a range of areas surveys, will assess satisfaction levels at two process, manage expectations and improve including customer service, sales staff, design, and then nine months after completion. communication. Customers can use an interactive quality, home readiness and after sales service. floor plan to start planning the fixtures and fittings Monarch is also one of the top three builders in for their home on-line before meeting one of our the JD Power customer satisfaction survey of designers. The Web sites also use video and new condominium buyers in the Toronto area. podcasts to explain the purchase process, construction stages, features of the home 4. Customer information and the completion and warranty processes. We provide information packs for customers that include details of the energy efficiency and 2. Pride in the Job Awards environmental features of their home. These In 2007, Taylor Wimpey site managers won 65 packs will be revised in 2008 to include more Quality Awards, 20 Seals of Excellence and four information to help customers reduce their Regional Awards in the NHBC Pride in the Job impact on the environment. We increasingly awards, which reward the highest levels of provide sustainability information in marketing Further details of our approach to professionalism on site. Three Supreme Award brochures for new developments, to help customers customer care are available at winners will be announced in early 2008. In understand these issues and explain how we www.taylorwimpey.com. For additional 2007, site manager Steve Vorres received the tackle them. Our marketing pack for The Parks information, www.taylorwimpey.com 2006 multi-storey category Supreme Award for in Bracknell, for example, describes a wide provides links to all of our consumer the second year running for his “exceptional” site range of social and environmental features from Web sites. Please see page 32 for our management work at Victoria Wharf in Cardiff. landscape design that encourages people to get customer care related KPIs.

Taylor Wimpey plc Corporate Responsibility Report 2007 23 The way we work The way we work We have comprehensive systems and processes in place to ensure that we manage our business effectively and responsibly. This section outlines our approach to how we treat our employees as well as our approach to HSE and supply chain management. Employees Whilst the merger between George Wimpey In North America, there were 197 and Taylor Woodrow had significant business redundancies as a result of the merger benefits it has also been the main employee and difficult market conditions. Most issue of 2007. Mergers involve difficult redundancies were due to merging the employee decisions and our focus offices of Morrison Homes and Taylor throughout the merger process was on Woodrow North America in six areas of the being open and fair as well as making US. We provided outplacement consultancy decisions and communicating with similar to that offered in the UK. We then employees as quickly as possible. The focused on teambuilding work and events merger took place on 3 July. By the end of to bring continuing employees together as the month, every employee knew whether strong teams in the merged business. he or she would have an ongoing role in the Following the merger, we undertook an combined organisation. Tackling skills shortages in-depth employee consultation process A total of 256 employees were made We have a number of schemes in the UK to develop a vision for our North American and North America to encourage people to redundant in the UK during 2007 and a business. This consisted of a series of further 220 will take effect during 2008. choose a career in housebuilding and to focus groups throughout North America develop the skills of those who are already All of them received above the minimum and an on-line employee survey. The working in our industry. In 2007, we employed statutory requirement in terms of pay and results were extremely positive. The insights 540 apprentices in our UK housing businesses. notice. The majority of redundancies were we gained helped us to develop guiding We also sponsored 53 year out placements due to four office closures and one head principles for our company and to create for students studying for professional degrees office closure due to a duplicate function. such as civil engineering or surveying. Another an employee commitment statement that We retained 37% of the employees from of our initiatives involves recruiting high sets out our responsibilities to and these offices and found them jobs achieving graduates and providing intensive elsewhere. We did our best to make expectations of our employees. training and support with the intention that relocation as straightforward, flexible and they reach regional Board Director level within Targets financially viable as possible for employees. five years. We will recruit at least 12 new During 2008 we will work on bringing graduates for this scheme in 2008. We provided outplacement consultancy for the cultures of our two legacy businesses everyone facing redundancy. Employees had together to create industry leading employee access to advisors who helped them with teams. We will continue to launch and job applications, interview training and other implement our updated systems, processes aspects of careers advice. A job shop and and policies that integrate best practice from 83% job club were provided at the largest office both businesses. Employee training and of UK housing direct employees facing closure. development will be a crucial part of this. passed the Construction Skills Certification Scheme test by October 2007

24 www.taylorwimpey.com Ensuring a competent workforce We are working towards our workforce being fully carded under the Construction Skills Certification Scheme (CSCS). CSCS cards provide proof of competence for anyone working on UK construction sites and will be required of all housebuilders by 2010. This scheme helps us to achieve key business priorities of health and safety, skills development and customer care. By October 2007, 83% of direct employees and 69% of indirect employees were CSCS carded. We aim to reach 100% compliance during 2008.

Employee roadshow Helping people get back to work Builders of the future In November 2007, we launched a human Taylor Wimpey is a national partner of Our Tampa Division works with the Future resources roadshow that travelled to each Business in the Community’s Business Builders Association (FBA) of Florida to educate of our North American Divisions. This Action on Homelessness initiative. Working high school students about career opportunities provided employees of our newly merged in partnership with government and homeless in housebuilding. We sponsor a chapter at a business with information on all aspects of agencies, this charitable initiative seeks to local school, run field trips to building sites, human resources from updated corporate help homeless people find employment and provide hands-on training and accept policies to benefits and employee welfare. achieve independent living. In 2007, we students on work placements. The Simmons The roadshow also looked at our mission, provided work experience for 14 homeless Career Center, where the Tampa chapter is guiding principles, employee commitment individuals on UK sites and plan to have based, named Morrison Homes Business statement and what it means to work for us. completed 50 placements by June 2008. Partner of the Year for our FBA involvement. Please see page 18 for other examples of initiatives we run in the local communities in which we operate.

Further details of our policies on and approach to human resources are available at www.taylorwimpey.com. Please see page 32 for our employee related KPIs.

Taylor Wimpey plc Corporate Responsibility Report 2007 25 The way we work

Health, safety and environmental management

Our management of health, safety and Since the merger, we have analysed and procurement stage where we work closely environmental (HSE) issues is of paramount rewritten our North American health and with our supply chain to minimise waste and importance to us. We want all of our people safety programme to encompass best improve resource efficiency. practice from our legacy businesses. The – whether employee or sub-contractor, and We have strict procedures in place to ensure programme, audit system and accompanying all of our site visitors – to go home at the compliance with all waste regulation at site training will be implemented in 2008. end of the day safe and healthy. We have level and these are supported by clear Environmental issues will continue to be a comprehensive HSE management system, guidelines on how to reduce and manage tackled at a Divisional level because of the supported by policies and procedures to ensure waste on site. that we live up to our intention of providing regulatory environment in North America. In a safe and healthy working environment. the US, we focus primarily on compliance Each of our UK regional businesses has a with all federal, state and local legislation. waste champion who ensures that waste We acknowledge the potential environmental We also regularly exceed our legal reduction is discussed at regional Board impacts of our industry and take responsibility responsibilities where it makes sound meetings and initiatives are effectively for how our business affects the environment commercial sense to do so. This report implemented within their business. We on a local and global level. includes a number of examples of this. will introduce site waste management During 2007, we analysed the UK HSE plans on all of our development sites during management system and approaches of ISO14001 2008 and are working closely with the Taylor Woodrow and George Wimpey. We In 2006, George Wimpey became the first Building Research Establishment Ltd (BRE) set up a series of working parties with volume housebuilder to achieve ISO14001 to prepare a standardised site waste representatives from both legacy businesses certification for all UK operations. Since management plan for the UK. We will and examined every policy and procedure the merger, however, we have focused on also seek advice from Waste and Resources document to ensure that the best approach adapting and integrating our HSE systems Action Programme (WRAP), Envirowise was adopted for moving forward. The result and have not sought certification for Bryant and National Industrial Symbiosis Programme is a new Construction, Design and Homes as yet. As a result, we did not seek to ensure that we retain our leading role in Management (CDM) process linked to our to renew ISO14001 certification for our this area. Environmental Management System (EMS) UK operations in 2007. We will address as well as a practical and comprehensive the issue of certification once our HSE Site HSE Manual for site managers. We also integration is complete. In the meantime, our undertook a national programme of training construction company – Taylor Woodrow – and implementation for company and site continues to maintain ISO14001 certification. management personnel. Waste management Prior to the merger, our North American Both Taylor Woodrow and George Wimpey companies – Taylor Woodrow North America scored 100% in the construction waste (encompassing Monarch Homes) and section of the Next Generation sustainability Morrison Homes – took a similar approach benchmark (see page 5). We will continue to Winner to health, safety and environmental issues. improve our waste management practices Our health and safety performance in North in order to increase the sustainability of our 2007/2006/2005/2004 RoSPA America has traditionally been very strong in business operations through reduced resource Gold Award for occupational comparison with our peers. Moving forward consumption, better financial performance and safety, won by our construction we will continue to share best practice reduced waste volumes. Our approach to business Taylor Woodrow between all our businesses. waste reduction starts at the design and

26 www.taylorwimpey.com Biodiversity Each of our UK sites must have a detailed Site Specific Environmental Action Plan (SSEAP) in place before work can begin. We use SSEAPs to identify sensitive receptors and potential environmental risks on each site and to highlight controls that need to be introduced. The action plans cover biodiversity, conservation, archaeological and other issues. We focus first on identifying and managing biodiversity issues on our sites and, secondly, on enhancing the ecological value of sites wherever practicable.

Improving industry safety levels Sub-contractor training Reusing materials on site Our Tampa Division envisaged and ultimately Taylor Woodrow de España has been certified In 2007, BRE produced a Predemolition leads the Tampa Bay Safety Alliance. Most of to OHSAS 180001:1999 since 2004. In 2007, Audit that we had commissioned for a the largest local housebuilders and a number we attained certification to the new and more former pharmaceutical factory site in of trade partners are involved in the alliance. demanding OHSAS 18001:2007 standard Welwyn Garden City. The report highlights According to Robert Nesbit, Director of the and are one of the first Spanish companies to what existing materials on the site can be OSHA Training Institute, University of South achieve this. The company runs annual sub- salvaged, re-used on site and recycled as Florida: “I am extremely proud of the Tampa contractors conferences to reinforce health well as identifying a number of companies Bay Safety Alliance Team. The team has and safety messages and practices. We that might be interested in buying some of developed a programme of identifying held conferences in three different locations these materials from us. The study is designed hazardous work practices and correcting in 2007 and invited contractors, sub- to help us maximise the economic and those practices among the members. This contractors and company employees. Each environmental benefits of demolition waste. has led to an overall improvement in safety conference includes a presentation from a and health standards and provided an government Labour and National Health effective model for other associations and Inspector to address topical industry issues. States that are now adopting the concept.”

Taylor Wimpey plc Corporate Responsibility Report 2007 27 The way we work Health, safety and environmental management continued

Regeneration Urban regeneration is a significant part of our Environmental management UK business, transforming areas of land that may be derelict and often contaminated into desirable places to live. By redeveloping brownfield land, we preserve and regenerate scarce land resources and have a positive 68% 24% impact on local environments and communities. of our UK housing developments of UK housing waste is sent In 2007, we built 68% of our homes were built on brownfield land to landfill on brownfield land. We often build on contaminated sites that require some form of remediation. Both George Wimpey and Taylor Woodrow had comprehensive assessment and management procedures 5.14 86% for greenfield and brownfield land. In 2008, these documents will be integrated into total tonnage of waste per of waste is segregated on a Taylor Wimpey Land Quality Manual. housing unit in the UK UK housing sites Targets As part of the continuing integration of our UK systems and processes in 2008, we will develop an environmental awareness 76% training programme for all of our site managers. We will also work closely with of UK housing waste is recycled suppliers and sub-contractors to explain the new HSE Manual and its implications. Plus, we will review the safety programmes and educational materials that we have in place for international workers on our sites. We are also supporting the Government’s initiative of halving waste to landfill by 2011. In North America, our primary focus in 2008 will be on integrating the health and safety systems and procedures of our merged business.

28 www.taylorwimpey.com Risk management Each month, we produce UK Board reports on all HSE issues and incidents. This information is used to continually assess our performance and highlight areas for improvement throughout the business. Where appropriate, working parties then tackle specific issues or areas of concern. We have comprehensive internal and external audit programmes in both the UK and North America.

Working with WRAP Remediation techniques In-house expertise We work with a range of suppliers and When cleaning up contaminated sites we Taylor Woodrow’s Technology Centre is a state external organisations to improve our use of seek to manage soils sustainably, maximising of the art materials and systems testing facility environmentally preferable materials on sites. recycling and minimising off site disposal to and in-house consultancy working for both One example is a trial project with WRAP on landfill wherever possible. We regularly use ourselves as well as external customers. using compost as an alternative to imported innovative physical, chemical and biological The Technology Centre team includes 11 topsoil during site remediation at our Raploch soil and groundwater remediation technologies. environment and sustainability specialists development in Stirling. If successful, this For example, during 2007 a former tool whose work ranges from undertaking research initiative could significantly increase demand manufacturing site in Ecclesfield near and developing innovative sustainability tools for local sources of compost and boost Sheffield was remediated with a technique to providing audit and assessment services. councils’ green waste schemes. We are also called Six Phase Heating. This technology One example of their work is a Code Profile working with WRAP to ensure that at least utilises electrical currents to heat soils and Tool that can be used to assess proposed 10% of the materials we use at Raploch are groundwater before removing contaminants housing developments against the Code for from recycled sources. We will incorporate using vapour extraction techniques. Sustainable Homes. This user-friendly software recycled material in a variety of ways from tool ensures that developments achieve the road base and capping to the foundations, required code level and suggests improvements insulation and roofing of the homes we build. for compliance with higher code levels. The sustainability team is also closely involved with our Sustainability Working Group’s research into delivering zero carbon homes by 2016 and helps to disseminate sustainability knowledge throughout Taylor Wimpey.

Further details of our policies on and approach to HSE management are available at www.taylorwimpey.com. Please see page 32 for our HSE related KPIs.

Taylor Wimpey plc Corporate Responsibility Report 2007 29 The way we work

Supply chain management

Suppliers and services from third parties responsibly sourced materials and locally form a fundamental part of the operation of sourced, recycled and reclaimed materials. our business. We aim to treat our suppliers Our Supply Chain Timber Procurement and sub-contractors fairly and pay them Policy sets out our approach to sourcing promptly for their goods and services. We all of our timber from sustainable sources also seek to build strong relationships and with Forest Stewardship Council (FSC) communicate effectively. certification or Programme for the Since the merger, we have focused on Endorsement of Forest Certification (PEFC). integrating our supply chain management We ask our suppliers to provide details of their systems and processes in both the UK environmental and societal policies. In addition, and North America. In each case, we have environmental and social criteria form part assessed or are continuing to assess the of the basis on which we judge approved historical approaches of our different and preferred suppliers. Our contractual companies with a view to adopting best agreements in North America require sub- practice for the future. contractors to ensure that their employment Suppliers and sub-contractors are judged practices comply with all relevant health, safety on a range of factors including performance, and employment legislation and that their Prestoplan health and safety, customer service and employees have a legal right to work in the Our timber frame housing business, Prestoplan, capabilities as well as pricing. country. We are currently working on a standard enjoys an enviable reputation for quality. contract for UK suppliers which will include the Regarded as a product innovator with a Green procurement same requirements. technical bias, the company has significant experience in fast track and demanding Our existing UK Supply Chain Management We seek to work collaboratively with contracts. Working for some of the largest Environmental Policy and our close working suppliers to improve our and their developers and contractors in the UK, relationships with suppliers improve the environmental performance. Prestoplan has manufacturing bases in Preston transparency of our operations from both a and, since 2007, in Quedgeley, Gloucester. corporate responsibility and a commercial Targets Prestoplan’s accreditations include ISO perspective. We aim to increase our In 2008, we will continue to focus on 9001:2000, PEFC Chain of Custody, OHSAS understanding of our supply chain and thereby integration of supply chain management 18001 and health and safety scheme CHAS. improve performance towards achieving The company uses PEFC, SFI or FSC certified systems and processes. In addition, we timber from sustainable sources. sustainability and environmental objectives. will reassess and revise our existing UK In the UK, we use our supply chain policies Supply Chain Management Environmental and strategies to drive our procurement Policy. By the end of 2008, we intend to preference for materials with low embodied use exclusively ‘A’ rated energy-efficient energy and environmental impact, appliances in the UK homes that we build. ‘A’ rated By the end of 2008 we will use only ‘A’ rated appliances in our UK homes

30 www.taylorwimpey.com Renewable energy use We are working with the company that supplies energy for our offices to change to a green energy tariff throughout the UK in 2008. We also have a Utilities Working Group that looks at all aspects of managing energy on our sites. The group is currently engaging with utility companies and energy service companies (ESCOs) with regard to providing renewable energy on UK developments.

Supplier awards On-line supplier communication WCL In February 2007, Taylor Woodrow held its Our North American businesses use an internet Our supply chain logistics company, WCL, third annual Supplier Awards to reward and based vendor portal to improve the effectiveness supplies a range of products to our UK sites publicly recognise the company’s highest of supplier communication. This system and other customers. WCL sources bulk performing UK suppliers. The 2007 awards provides our trade partners with up-to-date materials from manufacturers and prepares included a sustainability category for the information on the status of their work for us. ‘just in time’ delivery of buildpacks for each first time to encourage supplier performance It provides purchase orders, accounts payable stage of the build process. WCL prevents in this area. The winner of this category was and scheduling information in an easy to use multiple site visits by suppliers by consolidating British Gypsum, in recognition of a plasterboard format. The result is popular with our trade a range of materials into a single delivery. recycling scheme they undertook with us partners, enhances communication, improves This has a positive impact in reducing vehicle that saved 4,860 tonnes of material from productivity and saves time. In the UK, the emissions and traffic on sites. WCL has also landfill. Our plasterboard recycling initiative legacy Taylor Woodrow housing business been undertaking a packaging waste trial. also won the Environment and Sustainability continues to use its award winning on-line Three of our UK sites segregated polythene category of the Homes for Scotland 2007 supplier platform and vetting tool, SOLVE. and cardboard waste while WCL investigated Innovation Awards. disposal options such as recycling and selling the waste to other companies for re-use.

Further details of our policies on and approach to supply chain management are available at www.taylorwimpey.com.

Taylor Wimpey plc Corporate Responsibility Report 2007 31 Key Performance Indicators

Measuring our performance

Key Performance Indicators Our Key Performance Indicators (KPIs) will provide an annual snapshot of our corporate Customer care Health, safety responsibility performance. Percentage of customers who and environment The merger of our two legacy businesses would recommend us: in July 2007 and the resulting integration has George Wimpey 87% 0.315 – UK housing injury frequency rate led to changes in our corporate systems and for all reportable injuries (per 100,000 Bryant Homes 87% procedures. This, in turn, has affected the hours worked) ways in which we collect data for KPIs and Morrison Homes 93% 0.076 – UK housing injury frequency rate other performance measures. As a result, Taylor Woodrow North America 82% for all major injuries (per 100,000 hours our Taylor Wimpey KPIs will be introduced worked) for the first time in our 2008 report, once the We will include UK customer survey new systems and data collection processes results from NHBC and HBF surveys as 0.212 – North America housing injury have been implemented. well as North American customer survey frequency rate for all reportable injuries results as KPIs from 2008 onwards. (per 100,000 hours worked) We have included some highlight measurements for our UK and North 5.14 – Total tonnage of waste per American housing businesses. housing unit in the UK In addition, please see our website at 4.09 – Tonnage of general waste www.taylorwimpey.com for 2007 per housing unit in the UK collated results against historic George Wimpey Employees via Wastefile and Taylor Woodrow KPIs and performance measures. 83% of direct employees and 69% of 1.05 – Tonnage of plasterboard waste per housing unit in the UK collated indirect employees were carded under via British Gypsum the Construction Skills Certification Scheme (CSCS) by October 2007 in 86% – Waste segregated on UK our UK housing business. We aim to housing sites reach 100% compliance during 2008. 76% – UK housing waste recycled Employee turnover and staff satisfaction measures from employee surveys will 24% – UK housing waste sent to landfill also be included as KPIs in the future.

Further details on how our KPIs are calculated is available at www.taylorwimpey.com

32 www.taylorwimpey.com Contents

Page Section Aim 2007 achievements 2008 targets

2 Business overview

4 Our approach To operate responsibly Taylor Woodrow and George Wimpey Our high level Corporate and build sustainable were two of only three housebuilders to Responsibility Committee homes and communities score over 70% in a sustainability will continue to ensure that benchmark the Company maintains high standards of CR Your feedback 8 Our homes and communities: Vision and focus areas

9 Supporting local To be a good neighbour in Won 10 awards from the Considerate Seek to further improve community communities the communities in which Constructors Scheme for building in a engagement and implement our We value your feedback and welcome comments we operate considerate manner new charitable policies on this report or any aspect of our approach to 10 Better by design To use design to enhance Received a series of high profile Improve design and build quality in the homes and communities awards for design and innovation all regions in which we operate we build corporate responsibility.

12 Case study: The Village, Telford communities 13 Case study: Oxley Woods, Milton Keynes Our homes and 14 Environmental To build environmentally friendly Integrated a wide range of Improve the energy and water homes and communities environmental features into efficiency of the homes we build sustainability our developments

16 Case study: Stamford Brook, Altrincham

17 Case study: The Bridge, Dartford

18 Enhancing To contribute to the local Contributed over £89.5 million in Further develop our G2 brand of economies in which we operate UK planning obligations as well as low cost, high quality housing economic growth providing affordable housing and aimed at first time buyers employment opportunities Please email us at: [email protected] 20 Case study: Grand Union Village, West London

21 Case study: Modern Ice, San José, California Or write to: The Group Company Secretary 22 Customer care To provide the highest levels Developed new Taylor Wimpey Implement and embed our new Taylor Wimpey plc of customer care systems and processes customer care practices 80 New Bond Street London 24 Employees To attract, develop and retain Focused on open and fair treatment of Bring the culture of our former W1S 1SB the highest calibre of employees employees during the merger process businesses together to create industry leading employee teams For more information visit www.taylorwimpey.com 26 Health, safety To provide safe and healthy Integrated systems and processes Implement and embed our workplaces and minimise and introduced a comprehensive HSE management systems and environmental environmental impact new UK HSE manual (HSE) management The way we work 30 Supply chain To maintain effective and Analysed historical approaches Integrate our systems and fair SCM procedures to SCM to identify best practice processes as well as reviewing management going forward green procurement practices (SCM)

32 Key Performance To provide data on our Assessed existing KPIs and started Develop effective CR CR performance to identify appropriate Taylor Wimpey performance measures Indicators (KPIs) KPIs

Produced by Black Sun Plc Printed by Royle Corporate Print Taylor Wimpey plc Taylor Wimpey plc 80 New Bond Street Corporate Responsibility Report 2007 London W1S 1SB

This report is printed on Revive 50:50 which is made up of 25% post-consumer waste, 25% pre-consumer waste and 50% virgin wood fibre from FSC managed forests. Our printer is also FSC and Carbon Neutral accredited.