Riot-rebuild effort to use local firms

12 August 2011

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12 August 2011 | Adam Leach

Contracts to rebuild parts of London following this week’s rioting in the capital will be awarded to local businesses “as much as possible”, according to the Mayor of London Boris Johnson.

It follows the announcement of £50 million made available to communities and councils – in addition to money from insurance claims – for rebuilding and efforts to improve structures, rather than just replace them.

The scheme will try to ensure local sourcing. “The regeneration proposals will be developed with communities and councils and we will ensure that contracts awarded for the work go to as many local businesses and employ as many local people as possible.”

A spokesman for the Mayor’s office told SM that while the detail of the local sourcing aspect won’t be announced until later in the year, it will ensure local businesses are made fully aware of the contracts when they are tendered.

During the riots a Sony CD and DVD distribution warehouse was destroyed after being set on fire, leaving many independent film and music companies with low levels of stock.

Raising the importance of risk management when dealing with disasters, Dave Alberts, sales director at supply chain consultancy Crimson& Co, said: “While we hope insurance companies will act quickly to recompense the likes of Sony from the fire at its distribution centre and the numerous retailers and cash-and-carry businesses from stock losses and loss of trading hours, the responsiveness of supply chains will be a crucial factor in limiting the profitability impact and helping to quickly restore the livelihoods of those involved.”

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