Published Tuesday 21 July 2026 · By the JustEng team
Welcome to today’s briefing on the UK construction and engineering sector — the stories shaping workloads, confidence and engineering recruitment and vacancies across the country. It is a mixed picture this week: insolvency numbers are still climbing and the June PMI stayed deep in contraction, yet contract awards for the first half of the year were up sharply and the data centre boom is stretching the M&E talent pool to its limits.
Rolling construction insolvencies pass 3,800
Construction News reported on 17 July that rolling annual construction insolvencies have exceeded 3,800, with 309 firm failures lodged in June — up 4% on May, though 5% lower than June 2025. Construction accounted for 17% of all insolvencies in England and Wales, making it the worst-hit sector, with the June collapse of CN100 contractor Ardmore the most high-profile recent casualty (Construction News).
Hiring angle: Every administration releases experienced engineers and site staff into the market at once, and employers who move quickly can secure candidates who would otherwise be unreachable. A specialist engineering recruitment agency can help displaced professionals find their next role fast — browse current engineering jobs UK-wide on our board.
June PMI edges up to 38.4 but civils and housing still falling
The S&P Global UK Construction PMI inched up to 38.4 in June from 38.2 in May — still deep in contraction and below forecasts of 40, although business sentiment reached its strongest level since March. Commercial work was the most resilient segment, while housebuilding and civil engineering recorded steep declines and employment fell for an 18th consecutive month, even as demand firmed in defence and energy (Global Banking & Finance).
Hiring angle: With workload rotating towards defence and energy schemes, civil engineering vacancies are increasingly concentrated with clients in those sectors — and candidates with security clearance or energy experience are seeing strong demand despite the wider downturn.
Contract awards hit £19.8bn in the first half of 2026
UK construction contract awards reached £19.8bn in H1 2026, up 65% on the same period last year, according to tender-listing data. Q2 awards of £7bn were 77% higher than Q2 2025, a record £1.3 trillion of future opportunities was published during the quarter, and Wales led the regions with £983m awarded across 22 projects (Build News).
Hiring angle: As these awards mobilise into live schemes, expect a fresh wave of structural engineer jobs and design-team hiring — our structural engineering recruitment desk and salary guide can help employers and candidates benchmark the market.
Data centre boom keeps draining the M&E talent pool
The July–August edition of Construction News examines how M&E contractors have become the biggest players in the UK’s data centre boom (Construction News). It follows warnings earlier this year, based on an AECOM survey, that data centre demand is absorbing leading MEP subcontractors and driving London M&E labour prices sharply higher, leaving other sectors with a much smaller pool of specialist firms (Construction Enquirer).
Hiring angle: This is a textbook talent shortage: building services and electrical engineers with data centre experience command premium salaries, and employers outside the sector increasingly need headhunting support to compete for scarce candidates.
JustEng is a specialist engineering recruitment agency for the UK’s civil, structural, fire and façade sectors, headhunting hard-to-find engineers for consultancies and contractors nationwide. Looking for your next role? Submit your CV. Hiring? Register your vacancy today.