Chris Acton is chief executive of engineering firm Clancy Consulting
The new Labour government has hit the ground running with numerous pledges that aim to “rebuild Britain”, as chancellor Rachel Reeves recently said.
“The 32 new Homebuilding Skills Hubs will see an investment in local training that is tailored to regional housebuilding needs”
Top of the priority list is to restore economic stability by increasing investment, improving infrastructure, building 1.5 million new homes and refining the UK’s industrial strategy that’s central to this mission. But what does this mean for the construction industry – the very businesses that do the building?
A simple fact is: none of the ambitious plans for housing and infrastructure can happen without the right people to deliver them.
Wherever you look, the numbers aren’t good. Checkatrade’s 2023 Trade Skills Index highlighted the so-called “missing million” – the 937,000 recruits to trades and construction needed by 2032 to fill the widening skills gap posed by Brexit and an ageing workforce.
Of this number, it’s estimated that 244,000 must be qualified apprentices.
In the short term, the Construction Industry Training Board (CITB) estimates that around 252,000 workers will be needed over the period 2024-28.
The British Chambers of Commerce has also noted the staffing issues at construction and engineering firms, with 82 per cent reporting recruitment problems in the second quarter of 2024, up from 69 per cent in Q1.
All of this data paints a stark picture. But there is a concerted and powerful effort from the government, industry and the education sector to address skill challenges head on.
Turning the corner
The government’s commitment to deliver 1.5 million homes during this parliament will increase demand for construction workers and have a knock-on effect on related professions, such as planners, architects, engineers, surveyors and environmental specialists.
That’s why the inception of Skills England is more than welcome. Its aim is to address a long list of skill challenges, many of which affect our industry; fix the overly complex skills system, which can be a barrier to many; and promote better cross-industry and educational collaboration.
The new dedicated skills body will also work closely with the Industrial Strategy Council, trade unions and local leaders to develop the UK’s much-needed industrial strategy.
Each and every young person or adult must be able to learn the skills they need to enter new professions or upskill in their existing sectors.
In particular, construction businesses need a highly skilled workforce to draw from if they are to build our homes, improve our infrastructure and drive economic growth.
The Home Builders Federation highlights that one in five builders is over 50 years old, underscoring the need for fresh talent. Given the ageing workforce, we also clearly need to better engage with the young generation of talent.
The recently announced creation of 32 Homebuilding Skills Hubs will see an investment in local training that is tailored to regional housebuilding needs.
With £140m in joint investment from the CITB and the National House Building Council, the hubs will be developed in areas with the greatest homebuilding need, according to the government.
The new hubs are designed to provide on-the-ground practical training, in conjunction with further education providers, for up to 5,000 young people per year via ‘fast-track’ apprenticeships.
The locations of these hubs have yet to be determined, but anything to galvanise young people to take up apprenticeships, while also addressing the regional imbalance of training provision across the country, is a welcome step forward.
But let’s not forget, we’ve been here before. We should embrace these policies, challenge and inform them where they are lacking, and create a lasting shift that turns words into action. Let’s see what 2025 holds…
