Temporary workers villages could be located at Lez Ozouets

However, the group has raised serious concerns about the proposals from the Policy & Resources Committee, saying the idea of creating villages for construction workers would unfairly disadvantage local contractors and claiming the potential for ‘a £5m. failure’.

The idea was first put forward last autumn. The States has set aside £5m. to create temporary villages for both construction workers and key workers. The project went out to tender this week, with P&R president Lyndon Trott saying it was a high priority.

The States did not confirm any proposed sites, but the Construction Forum, which will likely have access to the tender documents, said it was being proposed that 50 sleeper units be created at the Ozouets site, where the new Guernsey Institute is being built by a Jersey-based firm, to accommodate contractors and sub-contractors.

The forum said it understood that the accommodation would be owned by the States, but run by users under a service agreement and subject to population management regulations.

But it was unhappy about the financial justification, practical implementation, and the potential to favour off-island contractors.

‘The industry fears the village may become a £5m. failure once the initial project it was intended for is completed,’ a spokesman said.

The forum said that while the States justified the project due to industry concerns of labour shortages, contractors had always independently managed accommodation needs and successfully delivered major projects.

They added that no one in the industry had been consulted on the project.

‘A key concern is the funding method, which diminishes preliminaries on specific projects, disproportionately benefitting off-island contractors rather than local firms,’ the spokesman said.

‘This will result in decreased tax revenues and higher costs for capital projects. The village is also erroneously compared to a key worker village, which accommodates permanent, tax-paying States employees, whereas the construction village would serve private, predominantly off-island companies with fluctuating workforce demand.

‘If local firms cannot use the village, it effectively subsidises foreign companies, giving them an unfair advantage while reducing tax receipts. This is a direct contradiction of States procurement policy.’

It raised key questions including why the States was getting involved; the expected lifespan of the villages; how much users would pay for the accommodation; and who would be qualified to live in one.