Government C-19 construction worker payouts top £6bn

Aaron Morby 4 years ago
Share

Government payouts to support self-employed and furloughed construction workers have soared to over £6bn.

The unprecedented level of support for construction was revealed in new HM Revenue and Customs figures to the end of July.

Around £2.93bn has now been paid out to 174,000 firms making claims for staff on furlough.

Over 769,000 staff have received support, with three-quarters of the industry’s eligible firms signing up to the coronavirus job retention scheme at some point in the last six months.

From now on the number of staff on furlough is expected to diminish sharply as contractors bring staff back into work or opt for redundancies to slim down for predicted lower levels of activity.

Since August employers have been asked to pay National Insurance and pensions contributions of furloughed staff and from September the amount of Government support to furloughed staff drops from 80% to 70% of salary.

New July figures from the self-employment income support scheme reveal 884,000 construction workers received pay-outs, representing an 83% take-up rate.

Pay-outs to the self-employed total just over £3.12bn, with the average claim at £3,500 being the highest for any UK sector.

Construction has taken the lion’s share of self-employed claims, throwing the spotlight once again on the size of the industry’s CIS workforce.

Construction accounted for a third of all payouts to the self-employed, far ahead of the single-digit percentage taken by other sectors of the UK.

Construction staff furloughs by region
Staff furloughed Eligible take-up
England 615,000 1,059,400 58%
North East 32,300 52,000 62%
North West 80,000 135,500 59%
Yorks & Humbs 59,300 100,800 59%
East Midlands 54,400 94,400 58%
West Midlands 56,100 97,900 57%
East 81,600 141,500 58%
London 79,600 140,300 57%
South East 99700 182,500 55%
South West 72,400 114,500 63%
Wales 35,700 57,800 62%
Scotland 89,200 121,500 73%
Northern Ireland 24,100 34,200 71%

 

Self-employed construction claims by region
No claims Eligible Take-up Value
England 782,700 944,500 83% £2.78bn
North East 21,600 25,900 84% £70m
North West 74,800 89,800 83% £242m
Yorks & Humbs 58,600 70,300 83% £197m
East Midlands 56,700 68,700 83% £203m
West Midlands 68,000 82,300 83% £238m
East 98,800 119,100 83% £372m
London 196,600 239,300 82% £682m
South East 159,900 132,700 83% £504m
South West 74,700 89,600 83% £267m
Wales 34,900 41,200 85% £108m
Scotland 41,100 49,200 84% £147m
Northern Ireland 23,600 27,100 87% £76m

 

Latest news

Morgan Sindall contracts league champion for second year

Kier ranks second in closely contested race between majors
20 hours ago

New Year layoffs as Scottish modular house builder collapses

East Ayrshire Connect Modular falls into administration
20 hours ago

Thames Water bidders day for £2.2bn reservoir scheme

Tenders to be invited in October for new Abingdon reservoir in Oxfordshire
20 hours ago

Buckingham Plant Hire quits heavy kit market

Firm to sell fleet and focus on lighter, sustainable plant
2 days ago

Clients ‘ignoring building safety’ reforms

Clients still subjecting contractors to aggressive and sub-economic pricing
19 hours ago

Castleforge plans expansion after £100m data centre deal

Investor moves into booming data centre market
20 hours ago

Construction output growth drops to six-month low

Subcontractor rates rise at fastest rate for 18 months
2 days ago

Suir Engineering swoops for Scottish M&E contractor

Irish M&E firm launches UK expansion with Taylor & Fraser acquisition
2 days ago

Aggregates supply firm files administration notice

Ashville Aggregates and Concrete operates across London and South East
2 days ago

Plans in for 44-storey Manchester resi tower

Developer Glenbrook to appoint contractor this year
3 days ago

Briggs & Forrester names new engineering services MD

Will Newman replaces Ian Lawrence who steps down after eight years
2 days ago

Morgan Sindall bags Salford Uni acoustics building

Planning submitted for Acoustics Building at Crescent Innovation area
2 days ago

Lambeth to release six sites for £250m homes plan

Call for development partner to deliver 450 mixed tenure homes
2 days ago

Adrian Speller joins brother as joint MD of Midlands builder

Speller Metcalfe boosts senior leadership team
3 days ago

Winner unveiled for £2.9bn aqueduct revamp

Construction costs for Haweswater Aqueduct rise to £2.9bn from £1.75bn
5 days ago

Fortem and Equans face fight for £3bn housing upkeep deal

Birmingham City Council aims to sign new 10-year deals for four regions
3 days ago

Lendlease strikes deal to sell UK construction arm for £35m

US private equity firm Atlas to finalise purchase deal by summer
7 days ago

Hercules to offload suction excavator arm

Fleet of 30 trucks generates around £5m revenue a year
3 days ago

Tarmac trials new technique to cut concrete road noise

Quieter trips for drivers and longer-lasting roads
3 days ago

HS2 set for “fundamental reset” to lower construction costs

New chief executive promises action after latest project update
1 week ago

Solar panel installer fined £120,000 after roof fall

Court hears how employee broke his leg in fall
7 days ago

Network Rail chief Andrew Haines knighted

Thin pickings for construction in this year's New Year Honours
1 week ago

Staff stunned as engineering consultancy Clarkebond closes

Firm was only bought three months ago by rival Independent Design House Group
2 weeks ago

Vistry issues third profit warning in three months

Profit expected to fall £50m below forecast due to delayed completions
2 weeks ago

Miller Homes buys St Modwen Homes for £215m

Scottish house builder snaps up £368m turnover rival
3 weeks ago

Keltbray fine increased to £18m after failed bid rigging appeal

Contractor loses penalty discount for settling with competition authorities
3 weeks ago

Luxury house builder goes under with 70 job losses

Octagon Developments in administration after 40 years in business
3 weeks ago

Top Ten best read stories of 2024

The biggest headlines of an eventful year. Have a good one and here's to a successful 2025
3 weeks ago

BAM Nuttall fined £800,000 after concrete skip tragedy

Young labourer killed by falling bale arm
3 weeks ago

Keltbray infrastructure business reveals new name

AUREOS means "new dawn" after private equity acquisition
3 weeks ago

Contractor services