Social value in construction: How Cornwall’s new hospital will deliver lasting community benefits

When we talk about construction of new hospital buildings, much of the conversation focuses on the design, bricks and mortar, and medical or digital innovation. But these days, major public sector projects such as our new Women and Children’s Hospital are expected to deliver something more: social value.

What is social value?

Social value refers to the additional economic, social, and environmental benefits generated by a project, beyond its core purpose. And the very concept of social value is transforming how we think about how infrastructure and construction projects are delivered.

In procurement terms, it’s a means of using public spending as a lever to improve local wellbeing, tackle inequality, and support sustainability. Put simply, it means that every pound spent on the design, construction and delivery of our new Women and Children’s Hospital will create wider and lasting benefits for our communities in Cornwall, the local economy, and the environment in which we live.

The UK’s Public Services (Social Value) Act 2012 first introduced this principle, requiring public bodies to consider how their contracts could enhance local economic, social, and environmental wellbeing. Today, under the Procurement Act 2023, social value is no longer optional – it’s mandatory in all public sector tenders, with a minimum measured and reported weighting of 10% when scoring tenders.

Embedding social value in NHS capital projects means taxpayer investment does more than deliver infrastructure. It creates local jobs and skills, supports smaller, local businesses, promotes sustainable construction practices, invests in the natural environment and strengthens community wellbeing. There are plenty recent examples of hospital development generating huge social value impact already.  One project in the Midlands, for example, generated £1.23 million of social value last year alone by creating 40 new jobs, engaging nearly 1,000 students in Science Technology Engineering and Maths (STEM) activities, and putting 12% of programme spend into the local economy through the local supply chain. 

Given the size and scale of our Women and Children’s Hospital programme, the social value that will be generated by the main building phase is considerable and could be very significant for Cornwall. Early indications suggest we might see:

• More than 3,500 weeks of T Level, Apprenticeship, or other formal learning placements
• Support for local school partnerships focused on Science, Technology, Engineering and Maths
• A wide range of local environmental improvement initiatives
• More than 350 hours of volunteering time contributed to local voluntary organisations and community initiatives

Why it matters more in Cornwall

The Royal Cornwall Hospitals NHS Trust (RCHT) is an anchor institution in Cornwall. Not only is it the county’s biggest employer, but it is also the only acute hospital trust.

With Cornwall’s strong sense of identity rooted in communities across our county, it is vital that our new Women and Children’s Hospital delivers much more than a modern, fit-for-purpose building. It must also provide opportunities to deliver measurable and lasting social, economic, and environmental value – not just when built, but throughout the entire programme of works, starting now, at the design stage.

All contractors and supply chain partners involved in the programme will deliver a mutually-agreed social value programme, focussed around four key priorities:

• Local skills and employment
• Responsible business growth in the region
• Healthier, safer and more resilient communities
• Net Zero Carbon / investment in the natural environment

Contractors already on board with the programme are already committed:

Classic Builders are the contractor working on our Cardiac Department relocation project, a key “enabling” scheme within the Women and Children’s Hospital Programme. They’ve committed to working with a local primary school in Kea to provide practical support for children with disabilities. They’ve also offered 20 funded hours for their staff to volunteer on our hospital site – weeding and planting garden areas, painting toilets and building a bird box or bee hive to improve the ecology on our estate. They’ll also be attending careers events and Cornwall’s main construction events to engage students and young adults top consider careers and apprenticeships in the industry, including an apprentice for their own team. 

Elsewhere, our design team, led by Todd Architects and White Arkitekter, have – in consultation with our maternity services team – committed to working with three key organisations – HomeStart Kernow, WILD Young Parents and TravellerSpace – to explore how they can enhance the delivery of services to marginalised and under-represented communities across Cornwall.

The Women and Children’s Hospital programme delivery team has also already identified a skills shortage within Cornwall’s construction sector, and is working with local colleges and schools to understand training skills requirements and make the most of opportunities. Local construction businesses are keen to create a skills hub on our site in Truro, in addition to apprenticeships and employment opportunities for the long-term unemployed to inspire careers in construction and healthcare.

Mike Horrocks, Social Value lead for the Women and Children’s Hospital Programme at RCHT says:   

“Social value is no longer a catch phrase; it’s a strategic imperative. The initiatives highlighted by our architects and local contractors are just the tip of the iceberg, the start of an extensive programme. It’s important that through social value we create a legacy that goes beyond providing immediate healthcare by investing in the things that impact on health and wellbeing closer to home. We have a once -in-a-generation opportunity to focus and deliver on the needs of Cornish communities, help improve our precious environment, and bolster our local economy and long-term employment prospects beyond our traditional industries of fishing, farming and tourism. 

“We’re working in partnership across the spectrum in Cornwall – from local contractors and supply chain businesses, Cornwall Council, and schools and colleges to voluntary and public sector organisations, as well as local charities – to create a truly innovative programme of activities that will be a catalyst for delivering long-term community benefits.  Ultimately, our aim is to build more than a hospital; we’re seeking to build a better future for Cornwall.”