The contractor said this morning that the move is the next step in the implementation of its strategy to focus on engineering and manufacturing.

It is understood the job losses will be focused on back office roles and the closure of some regional offices.

A company statement said: “Laing O’Rourke today announced it is consulting with UK-based employees on a proposal to establish a more competitive business structure across its UK operation, ensuring its project delivery teams are supported by a leaner and more operationally-focused functional overhead.

“It is likely that the proposals will result in a reduction in the number of employee roles in its support functions and a streamlining of its regional office networks.

“The company may therefore have to make circa 200 redundancies.

“The proposal will allow the organisation to increase its focus on winning and delivering the £9.2 billion of major projects and strategic frameworks currently on its order book.

“There will be no impact on client service levels as we continue to deliver world-class projects on their behalf.”

The move follows O’Rourke’s decision to sell its profitable Australian operation.