Labour Rates on Construction Sites Soar by 10.1%, Reaching Record High Last Month, Reports Hudson Contract

Posted on 23 March 2022

The latest figures from Hudson Contract, a prominent industry payroll giant, reveal a noteworthy surge in labour rates on construction sites, with an increase of 10.1% recorded last month. This rise in rates can be attributed to the average earnings of self-employed tradespeople, which reached £950 per week during February. Comparing these figures to the same period last year, it becomes evident that labour rates experienced a substantial 7.1% growth.

Ian Anfield, the managing director of Hudson Contract, shed some light on the factors contributing to these trends. He mentioned that the year started with relatively mild weather conditions, and the demand for skilled tradespeople remained consistently high on construction sites. Anfield also observed an uptick in the number of new contracts being entered into, indicating a promising outlook for the industry. He noticed anecdotal evidence suggesting a rise in the number of European workers returning to the UK labour market.


​Despite the positive outlook in terms of full order books extending into 2022, there was a decline in the volume of inquiries received by Hudson Contract's clients compared to the previous year. This could indicate a shift or change in the market dynamics, which may have implications for future growth and demand for skilled labour.

Examining regional variations, it is worth noting that earnings increased across all regions in England and Wales, reaching an all-time high of £931 in the South West. This regional disparity highlights the diverse economic landscape within the construction industry.

All trades experienced growth in earnings, with plumbers leading the way with an impressive 16.6% increase, bringing their average weekly earnings to £1,115. Electricians closely followed with a substantial 16.3% rise, reaching £1,145 per week. Surfacing contractors also witnessed a notable increase of 15.6%, pushing their average weekly earnings to £859.

Hudson Contract's contribution to the construction industry extends beyond the provision of payroll services. The company plays a vital role in supplying accurate data on subcontractor pay trends. Their publication of average pay figures for 17 different trades across 10 regions in England and Wales offers valuable insights. In fact, these statistics are used by the Bank of England to keep policymakers informed about the real-time demand for skilled labour. This partnership ensures that policy decisions are well-informed and aligned with the dynamic nature of the construction sector.

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