Sub-contractor Pay Trends January 2019

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Hudson Contract delivers the most accurate indications of pay trends across the construction industry, using payroll data for over 2,200 construction companies to publish the average pay for a spectrum of 17 different trades now split across ten regions.

The average self-employed construction worker earned £829 a week in January – down sharply from December’s high of £932.  Appearances, however, can be deceptive, with year-on-year earnings up by 6.27% and well above inflation.

“On the face of it, a drop of £103 per week in January earnings compared to December could be seen as disappointing” Hudson Contract Managing Director Ian Anfield comments. “But in fact, it’s nothing more than a predictable seasonal trend.”

National Weekly Average Earnings January 2019:  £829

January Winners

• Steel & Timber Frame Erection: +5.92%

The only trade whose earnings have increased

January Losers:

• Shop Fitters:  -19.92%

But weekly earnings still top £1,000

• Surfacing Contractors:  -17.67%

A short-term dip as pothole season approaches

• Specialist Trades:  -16.32%

Quiet January in seven of Hudson Contract’s ten regions

“And whilst the commentators are blaming everything on the Brexit deadlock for a drop in activity (including the Construction Purchasing Managers in their IHS Markit/CIPS UK survey), they are only partly correct. As it stands at the moment, our clients – the SMEs of the industry – are far more concerned about the fallout from Carillion and fears that other big names in construction will follow suit, dragging down smaller firms with them.”

“As for January, short working weeks, time off and to a certain extent weather are all factors that come into play for construction at the start of the year,” Ian Anfield explains.  “Hudson Contract’s unique CIS payroll processing figures indicate that whilst the traditional across-the-board Christmas shutdown happens less than it used to, many clients and their sub-contractors take the opportunity to enjoy a well-earned break and it takes until the end of January for everyone to get back into full swing.  I’m confident the earnings and activity pendulum will swing back the other way next month, and our clients remain upbeat about the year ahead.”

Hudson Contract’s ‘Window on the Construction Industry’ gives you hard figures and data that is not available from any other source, with pay averages that reflect the amounts paid by a sample number of businesses – large and small – to specific trades during January 2019.

To access Hudson Contract’s Construction Pay Trends index, please click here

North East

North West

Yorkshire & Humber

East Midlands

West Midlands

Wales

East of England

London

South East

South West