Eighty-nine percent of local builders have reported having to delay jobs due to a lack of materials or skilled tradespeople, according to the latest State of Trade Survey from the Federation of Master Builders (FMB).
Adding to the pressure facing the industry, 97% of builders have reported skyrocketing material prices and expect this to continue into the last quarter of 2021, with 78% passing this increased cost on to the consumer.
Builders have been forced to hit pause on some jobs, in the face of increasing difficulty to hire tradespeople, such as general labourers and plasterers, with 42% and 37% respectively of builders struggling to get them to a job. Despite a slight easing, nearly half of FMB members are also facing pressure to find carpenters/joiners and bricklayers.
The FMB State of Trade Survey, which is released quarterly, tracks the experience of small to medium-sized (SME) construction firms in the UK. It found the following:
Delays and cancellations
- 82% of builders have delayed jobs due to a lack of materials
- 60% have pressed pause due to a lack of skilled tradespeople
- Combined, 89% of builders have faced delays due to either materials or skills shortages
- 8% of builders have been forced to cancel jobs due to a lack of materials
- 12% have been cancelled due to a lack of skilled tradespeople.
Skills shortages
- 42% can’t get hold of general labourers, up 6% on the last quarter
- 37% can’t hire plasterers, a rise of 6% on the last quarter
- 47% of builders are struggling to hire carpenters/joiners, down 6% on the last quarter
- 45% are struggling to hire bricklayers, a fall of 2% on the last quarter.
Price rises
- 97% of builders are facing material price rises, with 93% expecting this to continue into Q4.
- 77% of respondents have been forced to raise their prices in the past quarter.
Brian Berry, chief executive of the FMB, said: “The latest FMB State of Trade Survey shows a damning situation for the building industry, with 89% of builders facing delays and some cancelling work altogether, due to a lack of materials or skills.
“The government should use tomorrow’s [27 October] Budget and Spending Review to tackle the growing skills gap. Effective efforts to help the haulage industry ease the supply of materials are also needed. This will help our members get back to building and help the post pandemic economic recovery.”
Brian continued: “Our data shows that the combination of long delays and rising prices means that consumers are also starting to feel the heat. Changing quotes, delays to jobs, and price hikes may lead to some homeowners being pulled in by unscrupulous builders hoping to make a quick buck. A good builder is a busy builder, and it is important to be patient when selecting the right person for the job.”
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