Published Thursday 9 July 2026 · By the JustEng team
A mixed picture across UK construction this week: the June PMI confirmed the sector is still shrinking, planning rules for major infrastructure were rewritten to speed up approvals, and the Building Safety Levy edged closer to its October start date. Here is what the engineering and design market needs to know today.
Construction PMI stays in deep contraction at 38.4 for June
The S&P Global UK Construction PMI for June, published in early July, came in at 38.4, up marginally from 38.2 in May but still well below the 50 no-change mark. Housebuilding contracted sharply and construction employment fell for an 18th consecutive month, according to Construction Magazine’s July summary of the release. The message is that firms are still trimming headcount rather than hiring back at pace.
Hiring angle: Demand is uneven — remediation, energy and data centres are absorbing engineers while private housebuilding sheds them, and specialist salaries are holding firm even where volume roles soften. See our latest structural engineer salary guide for current benchmarks.
Planning reforms cut up to 12 months from major infrastructure timelines
The Ministry of Housing, Communities and Local Government confirmed on 3 July that the Planning and Infrastructure Act reforms will scrap mandatory pre-application consultation for Nationally Significant Infrastructure Projects, with the new guidance taking effect on 24 July 2026. The government estimates the changes will save developers around £1 billion and cut up to 12 months from the pre-application stage on major schemes.
Hiring angle: Faster consent windows shift hiring pressure forward — consultancies that had front-loaded submission teams are now scrambling for delivery-side civils and grid connection specialists. We are already seeing this reflected in briefs on our civil engineering recruitment desk.
Record run of DCO approvals: 41 projects green-lit this Parliament
The same MHCLG release confirmed that 41 nationally significant projects have now been determined this Parliament — 95% more than at the equivalent point in the last one. Among the latest is the 320MW Peartree Hill Solar Farm north of Hull, which secured its Development Consent Order and is expected to power around 167,000 homes.
Hiring angle: Solar, offshore wind and grid reinforcement schemes are the clearest source of net new engineering jobs in 2026, and the pipeline supports multi-year hiring plans rather than one-off surges — a live picture is on our jobs board.
Construction insolvencies still running at 17% of all UK failures
Insolvency Service figures cited by PBC Today’s 2026 tracker show 3,803 UK construction firms became insolvent in the twelve months to May 2026, with the sector accounting for around 17% of all insolvencies — the highest share of any industry. Housebuilding, civils delays and thin private-sector margins are the main stress points, and the risk is moving through the whole supply chain, from frame contractors and façade firms to MEP installers and small builders.
Hiring angle: Distressed contractor situations are producing waves of experienced engineers coming back to market at short notice — a good moment for buyers to lock in senior structural and façade specialists at competitive rates.
Building Safety Levy on track for 1 October start
Legal analysis from Gowling WLG’s 2026 policy round-up confirms the Building Safety Levy will launch on 1 October 2026, charging most new developments of ten or more dwellings to raise around £3.4 billion for unsafe building remediation. Social housing is exempt and brownfield schemes attract a discount. From 30 September, new applications for residential buildings of 18 metres and above will also require two separate staircases.
Hiring angle: Both changes drive sustained demand for building control, fire strategy and higher-risk building engineers — see our fire engineering desk for the current mandate list.
Whether you are a candidate looking at a stronger 2026 market or a hiring manager building capacity into the DCO pipeline, JustEng can help. Submit your CV or register your vacancy and one of our specialist consultants will be in touch.