Construction job losses

The construction industry is facing a 'decade of pain', with around 60,000 jobs lost last year. According to a new report, 2012 saw downturn in public sector housing contracts, a fall in private housing contracts and infrastructure construction.

Construction industry hit by public spending cuts

The construction industry was hit last year by public spending cuts and a lack of investment in the private sector, according to a report from the Construction Skills Network.

By 2017 construction output will still be 12% down on its 2007 peak, and employment 17% down on its peak in 2008.

We don't anticipate the industry returning to its former levels until at least 2022, meaning this will be one of the most difficult periods for construction on record.

– Judy Lowe, Spokeswoman

The report added that recruitment is set to run at under 30,000 a year from now until 2017, to fill vacancies arising from workers leaving.

Advertisement

Downturn in construction contracts causes job losses

There are around 150,000 unemployed construction workers, potentially costing the economy £2.1 billion a year in benefits and lost tax revenue, a report has said.

In 2012, 60,000 people lost their jobs, with the demand for construction work falling:

  • 20% downturn in public sector housing contracts
  • 5% fall in the private housing sector
  • 15% cut in road and other infrastructure construction

Construction union: workers have 'needlessly lost jobs'

New research from The Construction Skills Network have predicted falls in job levels within the construction industry every year until 2016.

The only areas to see employment grow will be Greater London and the East of England

These latest figures make grim but all too predictable reading. The construction industry is struggling as a direct result of Government policies.

The Government, the largest client in the construction industry, has cut spending at a time when the private sector has been unable to fill that gap. This has been catastrophic for construction workers who have needlessly lost their jobs.

– Steve Murphy, general secretary of construction union Ucatt

60,000 job losses in the construction industry last year

A general view of roof workers building new houses in Derbyshire Credit: Rui Vieira/PA Wire

The construction industry is facing a 'decade of pain', with around 60,000 jobs lost last year.

According to an annual skills report, 2012 saw downturn in public sector housing contracts, a fall in private housing contracts and infrastructure construction.

Falls in job levels have been predicted by The Construction Skills Network every year until 2016.