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14/01/2016

Construction Skills Shortage Results In Wage Increase - RICS

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Construction wages have increased by 6% in the past year, according to a new survey.

The latest UK Construction Market Survey from the Royal Institution of Chartered Surveyors (RICS) reveals the pay rise is three times the national average of 2%.

RICS said a shortage of skills in the industry is pushing wages up in the sector, endangering government plans for housing and infrastructure programmes.

Overall, the survey revealed 61% of industry professionals reported a sharp increase in wages, while 66% of respondents reported a shortage in labour.

In particular, bricklayer and quantity surveyors are understood to be in short supply, with 62% and 60% of participants having difficult sourcing workers.

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RICS future talent director, Sally Speed, said the skills crises is slowing growth in the sector, which is "vital" to the UK.

"Unless government looks to address the problem urgently, some of its key housing and infrastructure programmes could soon face crippling delays and spiralling costs," she said.

"To tackle the problem, Government must deliver a new skills strategy that will enable industry, unions, and educators to work together and deliver real solutions.

"Apprenticeships alone will not be enough. Ministers must look to draw a link between education, future careers and skills. Employers need to take the lead in improving skill levels, providing more vocational pathways to work and actively engaging with our country’s schools and colleges."

RICS Chief Economist, Simon Rubinsohn, added: "While workloads are still growing at a relatively healthy pace, labour shortages in the construction sector are causing delays at different stages in the development process and leading to significant problems with project planning.

"More than 60% of our survey respondents said that these resulting planning delays were an impediment to growth.

"That said, industry wages are becoming increasingly attractive, and I would hope that over time this will encourage skilled workers to return to the sector, as well as drawing school leavers and graduates towards construction industry careers."

(LM/MH)

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