The Government has announced a £600m investment to train 60,000 more construction workers by 2029, HM Treasury has revealed.
This initiative aims to address skills shortages and support the construction of 1.5 million homes.
Reforms include funding for Technical Excellence Colleges, foundation apprenticeships, and an expansion of Skills Bootcamps.
Chancellor Rachel Reeves said: “We are determined to get Britain building again, that’s why we are taking on the blockers to build 1.5 million new homes and rebuild our roads, rail and energy infrastructure.
“But none of this is possible without the engineers, brickies, sparkies, and chippies to actually get the work done, which we are facing a massive shortage of.
“We’ve overhauled the planning system that is holding this country back, now we are gripping the lack of skilled construction workers, delivering on our Plan for Change to boost jobs and growth for working people.”
The reforms include £100m for 10 Technical Excellence Colleges, £165m for more construction courses, and £100m to expand construction Skills Bootcamps.
Businesses will receive £2,000 for each foundation apprentice they retain.
An additional £100m from the Government and £32m from the Construction Industry Training Board will fund 40,000 placements for learners each year.
Education Secretary Bridget Phillipson said: “Skills are crucial to this government’s mission to grow the economy under our Plan for Change, and nowhere is that clearer than in the construction industry.
“We are being held back by the largescale skills shortages in the construction sector which is a major barrier to the delivery of the growth mission.
“These measures will break down barriers to opportunity for thousands of young people, helping them to thrive in – and build – their local communities.”
Reaction:
Mark Reynolds, executive chair at Mace:
“This is fantastic news and demonstrates that Government is committed to working with the construction industry to deliver 1.5m homes by the end of this Parliament and its ambitious plans for infrastructure delivery.
“It’s a hugely significant funding package, and the establishment of the Construction Skills Mission Board will enable us to collaborate with Government to drive change at pace.
“Understandably, construction firms across the country are looking for certainty of pipeline before they commit to investing in new jobs and skills – but this investment by the Chancellor will be critical in giving them the confidence they need.
“There is now no excuse – industry must embrace the Government’s growth mission and match their ambition.
Tim Balcon, chief executive at CITB:
“We are delighted with the support the Government is giving the construction sector with increased investment.
“This package will provide vital support, where it is needed most – it will cut straight to the heart of the construction industry being able to address the challenge of building 1.5m new homes for people that desperately need them.
“As an industry, we now need to grasp this opportunity and play our part in delivering it.
“I genuinely believe this is a once-in-a-generation chance to us to recruit and train our workforce – equipping more people with the skills they urgently need now and in the future.
Steven Boyes, deputy CEO at Barratt Redrow:
“Construction faces a long-standing skills shortage at a time when we are challenging ourselves to build even more much-needed new homes across the country.
“I started out as a trainee on a Barratt Homes’ construction site 47 years ago, and so welcome this significant, long-term investment in skills, which will create real opportunities for people of all backgrounds to build a successful career in homebuilding.”
Leo Quinn, chief executive at Balfour Beatty:
“We welcome this positive announcement today and the Government’s focus on skills in construction and infrastructure – sectors that are key to driving the UK’s growth.
“Balfour Beatty and others are investing heavily in skills, but gaps remain, and they’ll only grow as the demand for critical infrastructure – to support clean, secure energy and better connectivity – ramps up.
“As NISTA takes shape, we’re looking to it to take a holistic view of both skills and supply chain needs to ensure the industry is ready to deliver the infrastructure pipeline.
“We’re also keen to see the full details of the Growth and Skills Levy, which could make a real difference.”
