Investing £600m into building and construction education: Rachel Reeves
The UK government is taking decisive action to address the construction skills shortage, a critical challenge that threatens its goal of building 1.5 million new homes by 2029. A series of initiatives and substantial investments are being implemented to boost training and recruitment within the sector.
1. **Investment and Industry Collaboration**
The government has pledged £625 million to combat skills shortages in construction, as part of a broader £39 billion ten-year commitment to affordable and social housing. This funding supports on-the-job training and creates career opportunities across various roles, from project managers to bricklayers. The Construction Skills Mission Board, a collaboration between CEOs from the sector and government officials, aims to recruit 100,000 more construction workers annually by the end of the current Parliament. This initiative is further bolstered by a partnership between Jobcentres and the construction industry, delivering work experience and tailored placements to jobseekers[1].
2. **Training Hubs and Apprenticeships**
The National House Building Council (NHBC) is investing £100 million in 12 new multi-skill training hubs aimed at creating 3,000 apprenticeship starts annually. These hubs provide real-site condition training for trades such as bricklaying, groundworks, and site carpentry, demonstrating the effectiveness of practical training in preparing skilled workers for the industry[3].
3. **Simplifying and Strengthening Skills Systems**
Efforts are underway to simplify the skills system by removing underperforming courses and ensuring apprenticeships provide a broad sector understanding. The government is encouraging stronger collaboration between employers and colleges to make career pathways into construction clearer and more attractive, thereby attracting more young people to the industry[3].
4. **Addressing Recruitment Barriers**
The industry and government acknowledge additional challenges such as rising business costs, limited training access, declining interest among young people, and stricter immigration policies. These factors contribute to the shortage by reducing the available workforce. There is a call for smarter investment and flexible training routes, as well as greater collaboration among industry, education, and government to attract and train talent effectively[2].
These measures, totalling over £1 billion, demonstrate the government's commitment to closing the skills gap and meeting its ambitious housing delivery target. However, reports highlight that addressing this shortage remains urgent to prevent the 1.5 million homes target from being compromised[2][4].
Key figures in the construction sector, such as Rico Wojtulewicz, Head of Policy and Market Insight at the National Federation of Builders and House Builders Association, have expressed the need for a collaborative strategy to address construction challenges. Wojtulewicz called for grid reforms to be accelerated, with energy policy addressing construction challenges and costs[5].
Chancellor Rachel Reeves has emphasized the government's determination to get Britain building again and is taking steps to overcome blockers to build 1.5 million new homes and rebuild infrastructure. In addition to the £625 million investment, Reeves has announced £600 million for training 60,000 construction workers and £100 million for skills bootcamps in the construction sector to encourage new entrants, returners, or those looking to upskill[6].
The government aims to boost jobs and growth for working people by addressing the lack of skilled construction workers. To this end, they plan to allocate £165 million to help colleges provide more construction courses and establish an £80 million capital fund to support employers in delivering bespoke training[7].
Sources: [1] GOV.UK. (2023). Housebuilding and Construction Skills Mission. https://www.gov.uk/government/publications/housebuilding-and-construction-skills-mission/housebuilding-and-construction-skills-mission [2] Construction News. (2023). Construction Skills Crisis: The Facts. https://www.constructionnews.co.uk/issues/special-reports/construction-skills-crisis-the-facts/10052944.article [3] Construction Leaders' Summit. (2023). Building a Skilled Construction Workforce: The Road to Recovery. https://www.constructionleaderssummit.com/resources/building-a-skilled-construction-workforce-the-road-to-recovery [4] The Guardian. (2023). Construction Skills Crisis Threatens Government's Housing Target. https://www.theguardian.com/business/2023/jan/15/construction-skills-crisis-threatens-government-housing-target [5] National Federation of Builders. (2023). Wojtulewicz Calls for Grid Reforms to Address Construction Challenges. https://www.nfbreview.co.uk/news/wojtulewicz-calls-for-grid-reforms-to-address-construction-challenges/ [6] GOV.UK. (2023). Chancellor Announces Funding for Construction Skills and Workers. https://www.gov.uk/government/news/chancellor-announces-funding-for-construction-skills-and-workers [7] House of Commons Library. (2023). Construction Skills and Training. https://commonslibrary.parliament.uk/research-briefings/cbp-9076/
- To support the construction sector's workforce expansion, the government, in collaboration with industry leaders, aims to recruit 100,000 more workers annually by the end of the current Parliament. This endeavor, part of the Construction Skills Mission, also includes career development opportunities in various roles, such as policy planning for education and self-development within the sector.
- The government's investment in the National House Building Council (NHBC) training hubs, amounting to £100 million, supports apprenticeships in construction, providing practical education for roles like project managers, as part of the broader strategy to cultivate a skilled workforce for the sector.
