Construction labour rates hit record high
Construction labour rates hit record highJohn St John Photography / Openverse

Construction

Self-Employed Builders' Weekly Pay Hits Record £1,110 in August

Self-employed tradespeople earned a record £1,110 per week in August, up 3.1% on July, as structural labour shortages — not a boom — pushed plumbing rates up 10.4%.

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By Grace Kim
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Key takeaways

  • Average weekly earnings for self-employed tradespeople hit a record £1,110 in August, up 3.1% on July and 4.5% year-on-year (Hudson Contract).
  • Plumbing rates rose 10.4% month-on-month to £1,348; joinery rose 8.9% to £1,247; steel and timber frame contracting climbed 7.6% to £1,102.
  • Hudson Contract tracks pay for 17 trades across 10 regions in England and Wales and supplies the data to the Bank of England.

Self-employed tradespeople in England and Wales earned an average of £1,110 per week in August — an all-time high, according to the industry's largest payroll firm, Hudson Contract.

The figure represents a 3.1% increase on July rates and a 4.5% rise on the same month last year, Hudson Contract's latest research shows.

Plumbing led the increases, with rates up 10.4% month-on-month to £1,348. Joinery rose 8.9% to £1,247, while steel and timber frame contracting climbed 7.6% to £1,102.

Ian Anfield, managing director of Hudson Contract, said the record earnings do not signal a booming construction sector. "Rates remain strong – not because the sector is booming but for structural reasons that are reducing the supply of skilled labour," he said.

He identified three structural factors behind the squeeze. "These include the removal of 'grandfather rights' from skills cards, which has pushed out large numbers of experienced tradespeople; the lingering effects of Brexit and the loss of skilled EU operatives; and the new Right to Work rules expanding the number of workers now declared to be illegal," Anfield said.

Short-term factors also pushed August earnings higher. "More generally, households have been more cautious with money this year, so fewer subbies took holidays during August and worked more hours. Also, the dry weather meant fewer rain-related delays on sites," he said.

The pay gains are not evenly distributed. "With tight margins across the sector, the least-skilled and least-productive operators are finding it hardest to get work, while the highest-skilled, best-paid subbies remain in high demand," Anfield said.

Hudson Contract tracks average pay for 17 different trades across 10 regions in England and Wales. The firm supplies its labour market statistics to the Bank of England, which uses them to inform policy decisions on skilled labour demand.

The record figures point to a construction labour market where wage pressure stems from shrinking supply rather than growing demand — a dynamic that threatens to raise costs for contractors even as work volumes stay flat.

Source: Construction Enquirer

self-employed-builders construction-wages skilled-labour-shortage hudson-contract plumbing

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Grace Kim

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Staff writer covering business strategy at Built Current.

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