Housing prices in the UK are continuing to rise with a further 11.7% increase since last year with London prices growing at an ever faster rate of around 20%. In August 2014, the average house price in the UK was taken at around £270,000, and over £510,000 in London.
A rise in the number of house sales has followed the pattern of increasing house prices in the UK. The government is continuing in its attempts to increase supply of housing stock by incentivising the building of thousands of new homes around the country. A Main House builders’ North-east division has shown “particular strength” over the financial year with a rise of 25.7% of homes sold in the region, according to the house builder’s latest accounts. Nearly all sectors of the construction industry seem to be firing on all cylinders in the UK with large numbers of jobs now available across the UK in the house building, construction, civil engineering, and infrastructure an sectors.
There has been significant cost inflation pressure on Contractors and house builders (as researched by one of the large consultancies), as the prices of materials have increased (15% brick cost increase), as well as the increase in the cost of labour. This is likely to be down to the fact that the number of jobs available is starting to balance or even exceed the supply of the best quality human resources in the UK market. In order to encourage the movement of labour, contractors are having to increase salary offers to lure employees from other companies clutches.
In summary, in a time of growth in the construction industry, it is important to keep your salary benchmarked and your options under review. Please get in touch with me by submitting an updated CV via our website if I can assist in doing this with you.