The firm is also slowing build rates on sites and has implemented a recruitment freeze.

A restructuring of the business will see some existing divisions merge.

Gleeson said: “Six management teams will operate nine operating regions following the merging of a number of operating teams.

“The existing three division structure will be merged into two divisions, Northern and Central.

“Regional teams will be aligned onto a single operating structure, supported by lean and focused central services.”

Gleeson said the moves will incur a one-off cost of £2m this year but will result in annual savings of £4m going forward.

The moves came as Gleeson unveiled half-year results for the six months to December 31 2022 showing pre-tax profits of £16m from £24.7m last time on turnover of £171m from £173.5m.

Graham Prothero, chief executive officer, said: “At the same time as managing through the lower levels of current market demand, I want to ensure that the Group is in the best possible shape to take advantage of the recovery which we are beginning to see early signs of.

“Building on the strong platform I have inherited, my focus is on optimising our organisational structure and making us more operationally efficient and fit for further growth. This will also result in significant annualised savings of circa £4m.”