Freelance Builder Pay Trends: November 2013

Hudson Contract delivers the most accurate indications of pay trends across the construction industry, using payroll data for over 2,200 construction companies and over 125,000 freelance builders to publish the average pay for the full spectrum of 17 different trades across five regions.

Construction’s slow road to recovery continues this month, amid clear signals that confidence is finally returning to our industry.

As with last month, four of Hudson Contract’s five regions report an earnings increase on 12 weeks ago. Notable statistics:

• In the Midlands, rates are up by a further 3.5%
• In the South-East, average earnings are heading towards £700 a week
• Only the North-East is bucking the trend, with a decline of 1.24%
• Civil Engineering are definitely feeling the benefit of the kick-start in construction, with rates up across all regions
• Insulation firms also chalked up an across-the-board earnings increase, partly due to increased commercial activity, and also profiting from energy price hikes prompting increased demand for thermal insulation

Construction growth at a six-year high

Hudson Contract Managing Director David Jackson comments: “It’s come as no surprise to learn this month from latest the Markit/CIPS Survey that construction has enjoyed its strongest growth since September 2007.

“Robust business for house builders is the main driver, although civil engineering and general commercial projects are also contributing to the long-awaited upturn.”

Individual Winners & Losers

Two-thirds of individual trades show an increase this month. Biggest winners:

• Mechanical and Electrical in the Midlands: +19%
• Insulation in the North-West: +19%
• Joiners in the Midlands: +18%

This month’s biggest losers:

• Shopfitters in the Midlands: -19%
• Steel and Timber Frame Erectors in the North-East: -17%
• Plasterers in the North-East: -17%

David Jackson adds: “Month by month, and slowly but surely, it is clear that construction is once again on the up, and the outlook is positive. Our clients are becoming more confident and more optimistic.

“The other certainty is that construction will remain highly competitive, and the winners of tomorrow will be those with the flexibility to compete. The industry’s rebirth is already underway, and the opportunities for freelance builders – and the firms that gain a competitive edge by deploying labour-only subbies – are increasing daily.”