Construction News

Mon June 27 2022

Related Information

Cost of labour hits all-time high on London building sites

22 Apr Labour rates on building sites broke records in London last month as average weekly earnings for self-employed tradespeople hit £1,027 during March, according to the construction industry’s biggest payroll.

Hudson Contract said that subcontractors also enjoyed record earnings in the East Midlands (£1,070) and the Southwest (£934). Across England and Wales as a whole, earnings increased by 0.9% in March to £959, matching the all-time high seen in December.

Hudson Contract describes itself as the UK’s largest provider of tax status and employment contract services to the construction industry with annual revenues approaching £1.8bn and a client base of 2,500 construction SMEs.

Managing director Ian Anfield said: “For pay to reach these levels at this time of year when building sites are usually dogged by bad weather suggests this is going to be strong year for workload and earnings. While there are still huge issues around inflation, fuel and materials which can only be made worse by the war in Ukraine, the construction industry is still running at full capacity.

“People have built up cash reserves for deposits on new homes and renovation projects, developers are creating new models for shared ownership schemes and the housing sector has not yet replenished the supply that was lost after the financial crisis in 2007.

“There is still huge pent-up demand for housing in the UK and there is still a shortage of skilled workers. Our clients are flat-out with full order books though as we saw in February, there are not quite as many tenders coming through the door.”

Plumbers enjoyed the highest earnings of all trades at £1,139 per week. Subcontractors who specialise in demolition and wrecking saw the biggest monthly increase at 8.1% to £938 per week, followed by shop fitting (up 5.3% at £1,096) and steel/timber frames (up 3.9 % to £979).

Region March 2022 average Month on Month % change Year on Year % change
Northeast £759 1.5% -3.7%
Northwest £908 -0.2% 0.8%
Yorkshire and Humber £936 4.3% 9.0%
East Midlands £1,070 2.7% 10.5%
West Midlands £932 -0.5% 0.5%
Wales £893 -5.1% 7.2%
East of England £996 0.7% -2.0%
London £1,027 2.7% 13.1%
Southeast £1,005 1.0% 3.6%
Southwest £934 0.3% 5.4%

Got a story? Email


Click here to view more construction news »