Welsh builders' workloads rise to +14% but enquiries turn negative, FMB Cymru says

Small building companies in Wales recorded a net workload balance of +14% in the first half of 2026, but enquiries for new work fell to -8%, according to the latest State of Trade Survey from the Federation of Master Builders (FMB) and the Chartered Institute of Building (CIOB).

The FMB Cymru release, published on 10 November, said the workload figure was the second strongest of the UK nations behind Scotland and ahead of the UK-wide figure of -4%. The fall in enquiries, it said, means the pipeline of future jobs is shrinking.

Ifan Glyn, Director of FMB Cymru, said: "With material costs still rising and a real shortage of skilled tradespeople, small firms are being stretched."

He added: "We need confidence to come back into the home improvement market and more young people coming into the trades."

The Welsh picture

The Welsh result marks a reversal from the previous edition. In the H2 2025 survey, published by the FMB on 31 March 2026, Wales recorded workloads of +7% and enquiries of +14%. Workloads have since doubled while enquiries have turned negative.

That earlier survey had already flagged that enquiry levels had eased most in Wales and Northern Ireland compared with H1 2025.

Marc Reardon, President of FMB Cymru and Director of Pearwood Projects Ltd, said the survey showed "homeowners across Wales are holding back on extensions and renovations while they wait to see what happens to their bills and mortgages".

How the nations compare

Across the UK, workloads swung from +22% in H2 2025 to -4% in H1 2026, and enquiries stood at +18% in the earlier period. The FMB's separate release on Scotland said Scottish builders recorded a workload balance of +31%, against -9% in England, and that Scotland was the only UK nation where enquiries rose, with a net balance of +9%.

Nation or area	Net workload balance, H1 2026
Scotland	+31%
Wales	+14%
UK	-4%
England	-9%

Source: FMB and CIOB State of Trade Survey H1 2026.

Costs, skills and AI

FMB Cymru said that across the UK 75% of builders saw material costs rise, 68% were hit by a shortage of skilled tradespeople and 47% had to delay jobs. The FMB's UK-wide report page said materials, energy, transport and subcontractor costs continue to put pressure on firms, and that 47% of those with increased costs reported lower-than-expected profits or losses.

The skills figure has eased slightly from the H2 2025 survey, when 72% of firms reported being affected by a lack of skilled tradespeople.

More than half of firms, 57%, are using artificial intelligence (AI) more than a year ago, mainly for admin, quotes and tenders, while 22% say they do not use it at all, the FMB said. Brian Berry, Chief Executive of the FMB, said the figures show AI is becoming a more established part of how construction firms run their businesses.

Only 39% of UK businesses feel positive about the rest of 2026, compared with 23% feeling negative. In the H2 2025 edition, 48% had been positive about the first half of 2026.

About the survey

The H1 2026 survey was produced jointly by the FMB and the CIOB, conducted by Barbour ABI, and covers January to June 2026. It received 416 responses, down from 493 in the H2 2025 edition, so the base differs between the two periods.

The FMB describes the State of Trade survey as the only one of its kind focusing exclusively on micro, small and medium-sized construction firms. It was refreshed for 2025 and is released every six months, according to the CIOB. The FMB says it is the UK's largest trade association for SME building companies, with around 6,500 vetted members.

Background in Wales

Glyn's call for more young people to enter the trades follows FMB Cymru's manifesto launch at the Senedd on 20 February 2026, at which it called for improved funding allocation and stronger incentives for employers to offer apprenticeships. The manifesto also highlighted the need for a Welsh Government strategy on retrofit and energy efficiency in private housing.

The next State of Trade Survey, covering the second half of 2026, is due under the six-monthly release cycle.