The biggest coalition in the construction industry’s history is striving to prevent 300,000 job losses.
First of all, some uncomfortable facts and figures:
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4,500,000 - people on council house waiting lists
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300,000 - construction jobs in danger across the sector
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90,000 - predicted job losses for SME builders
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71 percent - fall in workload for FMB private house builders
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61 percent - FMB companies expecting lower workloads in 2009 quarter one
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60 percent - FMB companies reporting fall in workloads for fourth consecutive quarter
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52 percent - FMB builders warning they will be making staff cuts over the coming months
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16 percent - house price fall to date
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8 - construction companies going into insolvency every day
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7.5 percent - fall in building prices in the last quarter of 2008.
The ‘Get Britain Building’ campaign was launched last month at Westminster to demand that the Government does all it can to prevent the predicted job losses in the construction sector, and to create a framework in which small construction businesses can survive and thrive during this recession.
The ‘Get Britain Building’ coalition, spearheaded by the FMB, with British Precast, the Builders Merchants Federation, and the Modern Masonry Alliance is demanding that the Government supports its Ten Point Plan to get the UK building again and save hundreds of thousands of jobs in the construction industry. The campaign isn’t asking for a bail out, but simply for the Government to allow the construction sector to operate in a framework which lets it do what it does best – building a better Britain.
The campaign has cross party support and argues that current Government proposals don’t go far enough in tackling the real problems affecting the UK construction industry and the wider housing sector. The Get Britain Building Manifesto is calling on the Government to help the beleaguered construction industry survive the worst recession since 1980 by creating a new business environment framework in which they can work.
The Impact of the Credit Crunch
The construction industry has been particularly badly hit as a result of the credit crunch and the down turn in the housing market. The industry is facing its biggest challenge for many years. The indicators are that many will struggle to survive in the current market, with the Royal Institution of Chartered Surveyors (RICS) predicting the loss of over 300,000 jobs within the industry and with 52 percent of FMB members warning that they will be making staff redundant over the coming months.
There is currently a crisis in the housing market with many first time buyers unable to get a mortgage let alone afford a first home. Alongside this there are more than 90,000 families living in temporary accommodation and 1.6 million families on council house waiting lists; the case for building new homes is therefore very clear. However, news from the National House Building Council shows new home starts being at their lowest level since 1924.
The coalition feels that current proposals to deal with this desperate situation don’t go far enough in tackling the real problems affecting the UK construction industry and the wider housing sector. If the UK construction industry is to have any realistic chance of surviving this recession, these 10 key issues need to be addressed to kick start the building industry.
The UK needs Constructive action
The ‘Get Britain Building’ campaign was officially launched at the House of Commons on Tuesday 10th February 2009. Denise Chevin, Editor of Building magazine chaired the launch. MPs from the three main political parities attended to give their wholehearted support, and explained their parties’ policies to address the major concerns of the industry. A packed House of Commons also heard representatives from across the industry voice their frustration at the lack of immediate action to get Britain building. We have to stop the decline that is undermining our skill base - that will, if not checked, result in the loss of most of our manufacturing and distribution capacity. These measures are entirely in Gordon Brown’s and Peter Mandelson’s grasp. Action is needed now. The way out of recession is to get Britain building, by making the much-needed investments today for all our futures Richard Diment, Director General of the FMB said: “The Get Britain building campaign is looking for all the support it can get not only in construction but from affiliated industries as well, and we will take this message wherever we can, making it very, very clear that small house builders are fundamental to the wellbeing of the UK. “The FMB represents those hardest hit by the recession, SMEs, the backbone of the economy. During the last recession the UK construction industry lost over 500,000 skilled jobs, we cannot allow that to happen again. We are simply asking the Government to allow our members and their supply chains to do what they do best and keep building a better Britain.”
