YORKSHIRE is set to lose 12,000 jobs in the construction industry this year, says a major report today.
The study by training body CITB-Construction Skills forecasts a 6% fall in the number of people working in the industry in Yorkshire this year – equating to about 12,000.
The figure, which is double the national average, reflects a slump in demand as the economy continues to stutter and Government cutbacks hit public sector developments.
The report, which looks at prospects for the industry between now and 2016, said: “Yorkshire and Humber is set for a challenging year ahead with growth expected to be slow and uneven.
“The road to recovery may be longer than first anticipated as the economy continues to be plagued by uncertainty – with conditions not set to improve much before 2013.”
The report predicted no growth for the region’s construction industry over the next five years, but added: “Over the medium-term, employment growth is set to fall back slightly before settling into a period of slow and steady growth.
“The number of people employed in the industry in Yorkshire and Humber will reach 216,310 by 2016, which is 3% higher than 2012 forecasted levels. However, this remains 7% below the 2010 level.”
The report said reduced demand for workers would hit traditional trades, such as joiners, roofers, painters and decorators and labourers as well as civil engineers and senior managers.
Steve Housden, sector strategy manager for CITB-ConstructionSkills in Yorkshire, said: “The loss of skilled workers in 2012 is a clear indication of the challenges that we are still facing in the region. Times are tough and the effects are being felt particularly heavily by tradespeople and labourers.
“While the forecast for 2016 gives reason for optimism, there is a real danger that the industry will not have the skills it needs to complete major projects in the longer term.
“With this in mind, it is imperative that the industry continues to invest in skills and training.”
He said CITB-ConstructionSkills expected to help firms in the region recruit 500 apprentices this year, adding: “We need to maintain a pipeline of talent in the industry because it still offers exciting and varied career opportunities.”
The industrial sector is expected to be the most buoyant in Yorkshire over the period to 2016, growing at an annual average rate of 6.6%.
The private housing and commercial sectors also expects to see growth rates of 5% and 1.4% respectively.
Public sector projects are set to take a big hit – with the cancellation of the Building Schools for the Future scheme a major factor.
Despite investment from the Government in infrastructure and major schemes such as a £150m programme of improvements for the M62 in West Yorkshire, the region expects to see a fall in public sector work at an annual average rate of 2.8%.
