Business and government leaders join forces to address skills gaps and drive economic growth through construction-focused initiatives.
The construction sector is set to play a central role in the government’s economic growth agenda as business leaders and ministers unite to address the urgent need for skills development.
In a conference call with over 80 top employers, including major construction firms like Balfour Beatty, Berkeley Group, and Mace, Education Secretary Bridget Phillipson and Business Secretary Jonathan Reynolds outlined their vision for tackling skills shortages and preparing the workforce for the challenges of the future. The government’s new Plan for Change places skills at the heart of efforts to rebuild the economy and meet ambitious targets for growth, including plans to deliver 1.5 million new homes during this parliament.
Skills Hubs to boost construction workforce
The Department for Education has already taken significant steps to bolster the construction workforce by unlocking £140m of industry funding, including a substantial £100m investment from the National House Building Council (NHBC). This funding will be used to establish 32 Homebuilding Skills Hubs, creating over 5,000 apprenticeships each year for critical construction roles. These hubs will ensure young people and career-changers alike have access to high-quality training and a direct pathway into the construction industry.
This initiative comes at a time when the construction sector is grappling with a growing skills gap, driven by rising demand for housing and infrastructure projects. Employers are being urged to partner with the government to invest in training opportunities that will equip workers with the skills needed for modern, high-quality construction.
Putting employers at the centre of skills reform
To address fragmentation in the current skills system, the government announced the creation of Skills England, a new body that will collaborate closely with employers to identify the skills needed for economic growth. Education Secretary Bridget Phillipson emphasized that the construction sector—a key driver of local and national development—must be equipped with a pipeline of skilled workers to meet future demand.
Opportunities for young people
The Plan for Change prioritises ensuring young people have access to high-quality training opportunities that lead to good jobs. Industry placements and apprenticeships will play a pivotal role in bridging the skills gap, with a particular focus on trades essential to construction, such as bricklaying, carpentry, and engineering.
The government’s recent decision to maintain critical qualifications in subjects like manufacturing and engineering reflects its commitment to ensuring no student is left behind during the transition to T Levels—the new gold standard for technical education.