£1m Boost for Merseyside's Green Building Pioneer: Hemsec Expands with New Manufacturing Hub

A £1 million loan from the Liverpool City Region's Flexible Growth Fund has enabled Hemsec Manufacturing Ltd, a leading innovator in modern methods of construction (MMC), to open a new Structural Insulated Panel (SIP) Manufacturing Hub in Knowsley, Merseyside. The expansion project will create 25 new jobs and further solidifies the company's position at the forefront of the green building revolution.

Hemsec, with a history dating back to 1928, has always been at the forefront of innovation. After decades of pioneering work, they were among the first in the UK to develop SIPs for residential applications on a large scale in 2007, anticipating the growing need for more energy-efficient homes and faster construction methods.

Panelised construction, using prefabricated structural panels, offers several advantages over traditional building methods. SIPs, in particular, provide superior airtightness and insulation, leading to homes that are significantly more energy-efficient and cheaper to heat. This translates into improved living standards and lower energy bills for occupants.

Hemsec's commitment to sustainable building practices is evident in their ongoing collaborations with local housing associations. They are actively involved in the development of low-carbon homes that are both affordable and quickly built, helping address the housing shortage while contributing to a greener future.

The £1 million loan, the maximum available under the Flexible Growth Fund, has enabled Hemsec to establish a new manufacturing hub in Huyton, Knowsley, creating 25 new jobs and two apprenticeships for local residents.

Mayor Steve Rotheram, who officially opened the new facility, highlighted the significance of the investment: "This is exactly what our Flexible Growth Fund was designed for – empowering local businesses to innovate, create jobs, and stay ahead in their field. Hemsec's new manufacturing hub is not just an investment in their future but in the future of our region, driving forward our ambitions to be a leader in modern, energy-efficient construction and helping us on our path to becoming a net zero city region by 2035."

Cllr Mike Wharton, Cabinet Member for Business, Investment and Trade, added: "The purpose of our Flexible Growth Fund is to provide fast and flexible loans to successful businesses to enable them to grow. Hemsec have long been pioneers in modern methods of construction and this loan will help them to stay at the forefront of this exciting sector and create jobs for local people in the process."

Stephen Painter, Managing Director at Hemsec, emphasised the transformative impact of the new manufacturing hub: "The opening of Hemsec's SIPs Manufacturing Hub represents a transformative moment for the Liverpool City Region and the British manufacturing industry. With the capabilities of this pioneering press machine, we have an unprecedented opportunity to accelerate the construction of much-needed truly affordable social housing, providing safe and sustainable homes for our communities."

He further stressed the importance of a "fabric-first approach" to sustainable buildings, ensuring optimal performance and long-term energy efficiency for homes.

The Flexible Growth Fund, established by the Liverpool City Region Combined Authority in 2020 with a £20 million investment, provides flexible, low-interest loans to SMEs undertaking expansion projects. The fund requires 50% match funding from the private sector, ensuring a shared commitment to the project's success.

All loans are repaid with interest to the Combined Authority, ensuring the fund's sustainability and enabling further investment in local businesses. The Hemsec project is a testament to the fund's effectiveness in supporting innovative, job-creating ventures that contribute to a more sustainable future.