Homeowners are postponing an estimated £11.2bn of building work because they cannot find contractors they trust, new research suggests.
The Federation of Master Builders (FMB) is calling for mandatory licensing of domestic building companies ahead of the Autumn Budget.
It also wants tax incentives and greater support for construction apprenticeships.
Research by the FMB and HomeOwners Alliance found that 19% of homeowners had delayed building work over concerns about contractors.
Meanwhile, 27% of those undertaking building projects were upgrading electrics, plumbing or heating systems.
This suggests many postponed projects involve essential improvements rather than cosmetic work.
Calls for mandatory builder licensing
The FMB wants the government to introduce a Licence to Build scheme for domestic construction businesses.
The scheme would establish minimum competence standards and provide a clearer process for resolving disputes.
Separate FMB research found that 49% of homeowners would consider carrying out structural work themselves rather than hiring a professional.
Brian Berry, chief executive of the FMB, said: “One in five homeowners are putting off work because they can’t find a builder they trust, and that is costing the economy £11.2bn a year.”
He believes mandatory licensing could improve consumer confidence and encourage homeowners to proceed with projects.
VAT relief and apprenticeships
The FMB also wants the Chancellor to simplify and extend VAT relief for energy-efficiency improvements.
It is calling for long-term incentives to encourage homeowners to invest in their properties.
The organisation also wants more apprenticeship support, particularly for smaller construction businesses.
This includes reducing the administrative burden and financial risks associated with taking on apprentices.
Other proposals include a UK-wide network of Build Academies and more resources for local authority planning departments.
Berry said: “This Budget is an opportunity for the Chancellor to back homeowners and the small building companies that repair, maintain and improve the nation’s homes.”
The demands come as construction businesses face weaker demand and rising costs.
For estate agents, delayed improvements could affect property condition, saleability and the quality of housing stock.
Meanwhile, more homeowners may choose to improve their existing properties rather than move.
The FMB argues that restoring confidence in builders could unlock investment, support jobs and encourage essential home improvements.
