Firm says construction business not affected by cull

Birmingham Smithfield 2023 2

Lendlease’s developments business in the UK includes the Smithfield mixed-use scheme in Birmingham

Lendlease is beginning a consultation on job losses at its UK developments business as part of a promised cost-cutting programme.

At the end of May, the Australian firm said it was paring back its overseas operations which includes putting its construction business in the UK up for sale and lowering the investment it has in UK schemes at its existing developments business to a maximum of 25% with the remainder being taken over by other investors and funders.

The firm declined to put a number on the expected job losses but has previously said that it wants to cut around one third of its global workforce and that the majority of staff affected would be those outside its Australia base.

In a statement about the planned consultations, the firm said the strategy “involves simplifying our business model for development related projects and moving to a more portfolio led approach across our development team in Europe, which will allow us to provide consistent support across a number of projects. This process does not relate to the construction business.”

Its developments business in the UK includes the mixed-use Smithfield scheme in Birmingham and the Elephant Park residential job in south London.

The Birmingham scheme, which includes more than 3,000 homes, was given the green light last month.