The FMB made the warning after a recent update from the Construction Products Association which forecasts construction activity to fall 2.5% this year.

This downfall is stemming from the impact of the Middle East conflict which is expected to cause inflation.

This in turn will likely raise the costs of material and labour, something which the FMB warns is worrying smaller builders the most.

“This CPA forecast of an 8% fall in repair and maintenance work will hit small, local firms like our members the hardest,” said Brian Berry, CEO at the FMB.

“Furthermore, our research proves homeowners are being put off doing building work due to a lack of trust in the industry.

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“A mandatory licensing system would give homeowners confidence to hire trustworthy and legitimate builders — which is what the sector desperately needs right now.”

As such, the FMB — along with the HomeOwners Alliance — is urging the government to do more to ease homeowners’ concerns, and by extension cushion the fall for construction firms.

Paula Higgins, CEO of the HomeOwners Alliance added: "The government can help counter that by restoring trust and making it easier to find reliable builders through licensing.

“That would be good for the economy, support the construction sector and help homeowners maintain safe, comfortable homes, knowing they won’t be ripped off by rogue traders."