Britain can’t build its way out of crisis if builders are going bust, say Jewson and Stark UK as they launch national campaign demanding urgent government action
Britain’s builders, tradespeople and construction businesses have united behind a national campaign calling for urgent government action to prevent the industry’s decline.
The newly launched Let’s Get Britain Building – NOW! Campaign, led by Stark Building Materials UK and Jewson, is warning that the construction sector has reached a critical tipping point due to a ‘perfect storm’ of factors.
A combination of thousands of companies ceasing trading, sole traders shutting up shop, housing delivery falling dramatically short of demand, and chronic skills shortages all threaten the industry it warns.
Campaign leaders are calling on the government for an emergency package of measures to restore confidence, stimulate demand and remove barriers they say are preventing the industry from delivering the new and improved homes, jobs and economic growth the country “desperately needs”.
Alongside a public petition, the construction industry is set to escalate its “grave concerns” to Parliament to secure a national debate on the future of the construction industry.
Mind the gap
Today’s warning comes at a time when the gap between housing need and housing delivery continues to widen. Construction leaders estimate Britain is now facing a housing shortfall of approximately 6.5m homes. To close that gap by 2040, around 565,000 homes would need to be built every year. Yet current projections suggest that annual housing delivery is likely to reach only around 305,000 homes by 2029. More than 630,000 properties in England sit empty and ripe for retrofitting into quality homes, but VAT and planning constraints are said to be blocking progress.
At the same time, the businesses responsible for building those homes are disappearing at an alarming rate, the campaign says. Nearly 4,000 construction firms became insolvent in the year to February 2026, making construction the worst-affected sector in the country’s economy in terms of business failures.
Small and medium-sized housebuilders, once responsible for a significant share of housing delivery, have seen their numbers collapse from around 12,000 businesses in the late 1980s to fewer than 2,000 today.
Kieran Griffin, divisional managing director at Jewson, said: “The economics of building have become increasingly difficult, as the costs associated with more regulation, taxes and levies mount up for every new home built.
“Material costs have risen by around 40% since 2020 and are expected to increase further in the years ahead. Combined with rising borrowing costs, planning delays and weaker consumer confidence, many projects that would once have been financially viable are now being postponed or abandoned altogether. This is no longer a future challenge; it is a present-day emergency.”
Ashley Woodcock, a painter and decorator from Bolton, says he has had to take on a second job as a milkman to supplement his income in construction. His day begins at 2.30 am, delivering milk before he heads to decorating jobs later in the morning. Ashley says he sees the impact of delays, uncertainty and workforce shortages every day.
“Everyone agrees Britain needs more homes, but the reality on the ground is that it is becoming harder and harder for tradespeople,” he said. “Projects are delayed, costs continue to rise, and there aren’t enough skilled people entering the industry. Most of us want to get on with the work, but we need the right support and conditions to make that possible.”
Policy demands
At the centre of the campaign are three “urgent” policy demands that organisers believe would have an immediate impact on the industry’s ability to grow.
Campaign leaders argue that there has been no meaningful replacement for previous support schemes that helped buyers enter the market and are calling for targeted financial incentives for homebuyers and homeowners, including measures to reduce deposit requirements and expand mortgage access. They also want ministers to consider stamp duty relief and other fiscal measures to encourage transactions and boost market confidence.
Another request is the removal of VAT on building materials and the refurbishment and retrofit of existing homes. Currently, new-build homes benefit from zero VAT, yet renovation projects often face additional costs that discourage investment. They believe removing VAT could unlock significant activity, especially in relation to the thousands of vacant properties across the country that could be renovated and used as housing.
There are also calls for reform of the planning system, which campaigners describe as slow, costly and unpredictable. Only a small proportion of major planning applications are currently decided within statutory timeframes, while delays on smaller projects continue to frustrate homeowners and builders alike.
Justin Gilbert, chief executive at Gilbert Homes, said: “As a company owner for over thirty years I have never experienced such negative planning policies that we face today. The majority of potential new housing sites are unviable due to the various levies. The planning system is a complete farce.”
The campaign is calling for a simpler, more transparent planning system that relies on “clearer rules” rather than “subjective preferences”, along with faster decision-making, and greater use of digital technology.
Organisers believe artificial intelligence could play an important role in streamlining at the very least the early stages of planning applications and reducing administrative burdens on local authorities. They also want a moratorium on additional policy requirements that increase costs and complexity without accelerating housing delivery.
Another key policy is tackling what campaigners describe as a construction skills emergency. More than 35,000 vacancies currently exist across the sector, and the industry is expected to require around 225,000 additional workers by 2027, but approximately one-quarter of the existing workforce is expected to retire over the next five years.
Campaign leaders are calling for expansion and an acceleration of apprenticeships, training programmes and industry-led education initiatives. They want greater support for small and medium-sized businesses that train and to retain apprentices and closer collaboration between employers, schools, and colleges to promote careers in construction.
Helene Bradley, communications director for Jewson’s parent company, STARK UK said: “The government cannot deliver its housing ambitions, its infrastructure ambitions or its national economic growth ambitions without a thriving construction sector. For every £1 spent on UK construction, around £2.92 of value is generated across the economy. The industry employs 2.3 million people directly, supports over 3m more indirectly, and contributes around 6% of UK gross value added.
“The solutions exist, yet there is a lack of urgency. Britain needs homes, jobs and growth – yet none of those things happens unless we get Britain building again. This is a national economic crisis, and the time for action is now.”
Housing Digital Stakeholder Jewson Partnership Solutions supports the Social Housing sector by partnering with Registered Providers and Public Sector organisations to create bespoke solutions for materials supply that helps them to efficiently maintain and develop their housing stock.
Image credit: Ceri Breeze/Shutterstock
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