Build UK’s update the industry amid the covid-19 outbreak 

The Construction Leadership Council (CLC) will publish its Roadmap to Recovery later this morning, setting out how the construction sector, working with Government, can ‘restart, reset, and reinvent’ the industry.

Improving the delivery of construction projects requires fundamental change, which has been reinforced by recent events, and the Roadmap provides a clear plan not only to get the industry back on its feet but make it more productive, financially viable and sustainable in the long term.

Build UK is part of the CLC and our activities over the coming weeks and months will directly support the three phases of the Roadmap:

  • Restart: increasing output, maximising employment and minimising disruption (0-3 months)
  • Reset: driving demand, increasing productivity and strengthening capability in the supply chain (3-12 months)
  • Reinvent: transforming the industry, delivering better value, collaboration and partnership (12-24 months)

There is something in the Roadmap for everyone, wherever they are in the supply chain, and by working together across the industry to deliver all the outcomes, we can achieve the better industry we all want. We can already see it working in practice, with Build UK joining a number of leading industry organisations in writing to the chancellor to make the case for a further delay in the implementation of reverse charge VAT.

You can start playing your part now by completing the CLC people survey, which is the first cross-industry collection of data undertaken by all CLC members. In less than 10 minutes, you can help us to understand the implications of a reduced workload on the construction workforce by submitting your response by Friday 5 June.

The Chancellor has confirmed details of the extended Coronavirus Job Retention Scheme, which will see employees continue to receive 80% of their salary up to £2,500 per month until the end of October 2020. Below is an overview of how the scheme will work each month, with further details to be made available on 12 June:

Month Changes 

June

  • No changes to the scheme and employers are not required to pay anything

  • The final date by which an employer can furlough an employee for the first time will be 10 June, in order for the 3-week furlough period to be completed by 30 June when the scheme closes to new entrants

 July

  • Employers have the option to bring furloughed employees back to work part-time, in which case they will be responsible for paying the wages of those employees on the days that they work

  • The government will continue paying the full employment costs for employees on the days that they are furloughed

  • The final date by which an employer can submit a claim in respect of the period to 30 June will be 31 July

 August

  • Employers will be responsible for paying employer National Insurance (ER NICS) and pension contributions for all furloughed employees 

  • Employers will also be responsible for paying wages for days that employees work

  • The government will pay employees’ wages for days that they are furloughed

 September

  • Employers will be responsible for paying ER NICS and pension contributions, plus 10% of wages to make up the 80%, up to a cap of £2,500, for all furloughed employees 

  • Employers will also be responsible for paying wages for days that employees work

  • The government will pay 70% of employees’ wages for days that they are furloughed, up to a cap of £2,187.50

 October

  • Employers will be responsible for paying ER NICS and pension contributions, plus 20% of wages to make up the 80%, up to a cap of £2,500, for all furloughed employees

  • Employers will also be responsible for paying wages for days that employees work

  • The government will pay 60% of employees’ wages for days that they are furloughed, up to a cap of £1,875

The Self-Employment Income Support Scheme is also being extended to cover a further three months’ worth of profits until the end of August 2020. Eligible selfemployed individuals will be able to claim a second and final grant worth 70% of their average monthly trading profits, paid out in a single instalment, capped at £6,570. Individuals can submit a claim for the first grant until 13 July, with applications for the second grant opening in August 2020.

Businesses should continue to follow the most up-to-date government guidance and for the latest updates please follow Build UK on Twitter and LinkedIn. If you have any construction-specific queries or feedback on what is happening within the industry, please contact Build UK. 

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