Construction professionals across a range of on-site and office-based roles secured an average salary of 拢44,115 in 2020, compared to 拢44,999 in 2019.
However, thanks to previous pay rises, 2020 salaries were still 12% higher than in 2016.聽聽
The analysis also indicates that while pay may better in the southeast, those in the northeast are actually better off financially.
According to research into 7,500 permanent placed construction jobs and current vacancies from specialist recruiter Randstad Construction, Property & Engineering, candidates seeking construction roles can have up to 50% of their salary remaining after household and essential expenses by securing a job in the northeast of England, where average salaries are just above the national average at 拢45,875.
But in London, on the other hand, although workers average 拢50,630 a year, monthly expenses of 拢2,861 continue to outstrip the rest of the country, meaning workers there are left with just 10% of their salary at the end of the month.
Construction professionals in northwest can expect to have 32% of their pay left after household expenditure and housing costs. In 聽Yorkshire & Humberside the figure is 25%.聽聽
Table 1: Average salaries and household expenses in 2020
| Location | Average salary in the construction sector | Average monthly take-home salary | Household expenditure (monthly per person) | Private rental prices (monthly) | Average mortgage payments (monthly) | Affordability index 鈥� percentage of earnings remaining after expenses |
|---|---|---|---|---|---|---|
| North East | 拢45,875 | 拢2,902 | 拢936 | 拢549 | 拢504 | 50% |
| East Midlands | 拢49,370 | 拢3,101 | 拢1001 | 拢625 | 拢655 | 45% |
| West Midlands | 拢42,500 | 拢2,712 | 拢893 | 拢679 | 拢777 | 40% |
| North West | 拢36,033 | 拢2,184 | 拢958 | 拢642 | 拢740 | 32% |
| East of England | 拢46,929 | 拢2,963 | 拢1062 | 拢627 | 拢658 | 31% |
| Yorkshire & Humberside | 拢39,584 | 拢2,145 | 拢1014 | 拢807 | 拢1,014 | 25% |
| South East | 拢46,639 | 拢2,946 | 拢1213 | 拢848 | 拢1,109 | 21% |
| South West | 拢39,477 | 拢2,340 | 拢1127 | 拢982 | 拢1,248 | 20% |
| London | 拢50,631 | 拢3,167 | 拢1135 | 拢1,639 | 拢1,812 | 10% |
Not everyone鈥檚 pay went down in 2020 though. Site managers saw their average salaries increase on the year by 5.9%, with workers able to secure an average salary of 拢56,526. Site managers in Yorkshire & Humberside averaged 拢62,966; London based roles got just 拢54,583.
Table 2: Average site manager salaries and household expenses in 2020
| Location | Average site manager salaries in 2020 | Average monthly take-home salary | Household expenditure (monthly per person) | Private rental prices (monthly) | Average mortgage payments (monthly) | Affordability index 鈥� percentage of earnings remaining after expenses |
|---|---|---|---|---|---|---|
| North East | 拢55,480 | 拢3,402 | 拢936 | 拢549 | 拢504 | 57% |
| Yorkshire & Humberside | 拢62,966 | 拢3,763 | 拢1014 | 拢625 | 拢655 | 56% |
| West Midlands | 拢57,075 | 拢3,477 | 拢893 | 拢679 | 拢777 | 53% |
| East Midlands | 拢57,062 | 拢3,478 | 拢1001 | 拢642 | 拢740 | 51% |
| North West | 拢49,000 | 拢3,080 | 拢958 | 拢627 | 拢658 | 48% |
| South West | 拢57,774 | 拢3,512 | 拢1127 | 拢807 | 拢1,014 | 42% |
| East of England | 拢55,293 | 拢3,393 | 拢1062 | 拢848 | 拢1,109 | 40% |
| South East | 拢59,500 | 拢3,596 | 拢1213 | 拢982 | 拢1,248 | 35% |
| London | 拢54,583 | 拢3,358 | 拢1135 | 拢1,639 | 拢1,812 | 15% |
Owen Goodhead, chief operating officer of Randstad, said: 鈥淐onstruction salaries experienced a small decrease in 2020, likely linked to uncertainty around projects due to Covid-19 and Brexit. However, the commitment to keeping the construction industry open, demonstrates the importance of the sector to the local and national economy and as a result the ongoing demand we will see for skilled professionals.
聽鈥淚n addition to analysing 7,500 placed construction jobs, we also spoke to over 2,000 construction professionals currently seeking job roles, and found that salary continues to be the biggest driver to decision making. Over half of candidates are willing to relocate for the right job, rising to 76% if a company contributes to relocation costs, so there is a clear opportunity for hiring managers seeking to attract the best talent in the sector. Salaries should be considered alongside the cost of living, house prices and rental prices though, as these all contribute to the amount of disposable income in workers鈥� pockets 鈥� and these have been rising.
聽鈥淟ifestyle priorities shifted in 2020 as a result of Covid-19, with many reassessing where they want to live, the home they live in and the importance of a sense of community. January is typically the time of year when people reconsider their jobs. Employers seeking skilled construction professionals should consider the wider lifestyle benefits and possibility of tempting new skilled recruits through additional incentives such as relocation packages.鈥�
He added: 鈥淥ur analysis has shone a light on the earning and saving potential for professionals in the construction sector. Access to labour is driving up salaries in certain parts of the country, and when you consider workers will enjoy a better cost of living outside of the capital, there is a real risk to retaining and attracting talent in London and the southeast.鈥�
Got a story? Email news@theconstructionindex.co.uk
