Material and skills shortage prompts 89% of builders to delay

Brian Berry, chief executive of the Federation of Master Builders

The Federation of Master Builders (FMB) has revealed that 89% of local builders have had to delay jobs due to a lack of materials or skilled tradespeople. The statistic was reported in the FMB’s latest State of Trade Survey, which reflects the industry stresses highlighted by leaders within the glazing industry (see for example the joint leaders’ letter published just over a week ago, here.)

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. Of the people the FMB surveyed, 78% said that they would be passing the increased cost on to the consumer.

Builders have been forced to hit pause on some jobs, they say, in the face of increasing difficulty to hire tradespeople, such as general labourers and plasterers. The survey found that 42% and 37% of builders struggle to get general labourers and plasterers to a job. Despite a slight easing, near 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 that:

Delays and cancellations
• 82% of builders have delayed jobs due to a lack of materials.
• 60% have been 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 last quarter.
• 37% can’t hire plasterers, a rise of 6% on last quarter.
• 47% of builders are struggling to hire carpenters/joiners, down 6% on last quarter.
• 45% are struggling to hire bricklayers, a fall of 2% on 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, the FMB’s chief executive, said: “Today’s 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 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.

“Our data shows the combination of long delays and rising prices mean 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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