Contractors are already shifting resources into other areas as the industry is braced for bad news about schools spending in next week’s budget.
One contractor told the Enquirer: “BSF has been a great source of turnover for us but those days are now over.
“We have to target resources in areas where work is going to come through on site and there are too many question marks over schools at the moment.”
Another said: “BSF was the area to be in during the last few years but now all the talk is whether it’s worth putting together bids when none of the work looks like getting off the ground.”
All schemes that have not reached preferred bidder stage could be put on hold pending the results of a review of school building procurement.
Treasury secretary Danny Alexander told the House of Commons yesterday that the BSF programme was “heavily over-committed” and “tough decisions” would have to be made.
Schemes left in limbo could include about £2bn of projects approved by the previous government as far back as last summer.