Government announces £600 million construction skills package.
The UK government has revealed a £600 million construction skills package focusing on training 60,000 construction workers by 2029, with the establishment of 10 new Technical Excellence Colleges. This initiative aims to address the shortage of skilled workers in the industry by providing advanced technical training in trades and engineering.
Chancellor Rachel Reeves highlighted the importance of preparing the workforce for key construction projects such as building new homes and expanding infrastructure like the third runway at Heathrow. She recognized the critical need for engineers, bricklayers, electricians, and carpenters to make these projects a reality. Reeves emphasized the government’s commitment to overcoming obstacles hindering progress and ensuring a skilled workforce is in place to tackle looming challenges.
A significant portion of the funding will support the construction of New Technical Excellence Colleges, with £100 million allocated for this purpose. These institutions will offer specialized training to equip individuals with the necessary skills for various roles within the construction sector. Additionally, £165 million will be channeled into expanding construction course offerings to cater to a growing demand for skilled workers.
Furthermore, the Skills Bootcamps initiative will receive an extra £100 million in funding, providing short-term training opportunities for newcomers to the industry or those seeking to upskill or re-enter the workforce. Local Skills Improvement Plan areas across the country will benefit from £20 million to establish partnerships between colleges and construction firms, enhancing training opportunities and fostering collaboration.
The government plans to launch foundation apprenticeships in construction in August 2025, supported by £40 million in new funding. Employers are set to receive financial incentives for retaining apprentices under this scheme. Additionally, the construction industry will see over 40,000 industry placements annually, targeting Level 2 and Level 3 learners. This joint funding initiative with the Construction Industry Training Board (CITB) aims to offer a range of vocational qualifications to prepare individuals for on-site work.
To oversee the delivery of these initiatives, a Construction Skills Mission Board will be established, co-chaired by the Department for Education and Mace executive chair Mark Reynolds. This board will develop a comprehensive action plan and provide strategic direction for skills development in the construction sector. Reynolds commended the substantial funding package, emphasizing the importance of industry commitment to achieving the government’s growth objectives.
Overall, the government’s £600 million construction skills package represents a concerted effort to address the shortage of skilled construction workers in the UK. By investing in training, education, and industry partnerships, the initiative aims to equip the workforce with the necessary skills to support critical construction projects and sustain long-term growth in the sector.
