Thousands of jobs to be cut in UK housebuilding industry

As the UK construction industry faces the consequences of a downturn in the economy and the unsteady property market, UK homebuilders will cut tens of thousands of jobs to the tune of around 19 billion pounds.

Home Builders Federation chairman, Stewart Baseley, said that most developers and builder across the country are considering overheads and job losses, as the downturn has been sudden but not unexpected.

Homebuilding stocks have fallen by more than 50 percent since sub-prime mortgage losses have been announced.

With current trends of tightening credit availability, and mortgage lenders becoming more stringent in a period of faltering house prices, the future looks bleak for housebuilders as both Taylor Wimpey and Bellway Plc were reduced to ‘sell‘.

In is predicted that around 75,000 fewer workers will be needed in the industry as the volume of production will decrease by around 25 percent.

The job losses will not only affect the direct workforce employed in construction across the country but will also have indirect effects on related industries such as materials suppliers, lawyers, removal men and estate agents.

Wolseley Plc, the world’s biggest distributor of plumbing and heating equipment, has so far had to cut 400 jobs in the UK as well as having to postpone recruitment.

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