Home Building services news £600m funding to train 60,000 construction workers

£600m funding to train 60,000 construction workers

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The government has pledged a £600m investment to enhance construction training, ensuring the industry has a steady pipeline of skilled workers.This commitment includes £100m of new funding to establish 10 Technical Excellence Colleges, alongside £165m to help existing colleges expand their construction course offerings.Reports Contract Journal

Additionally, £100m will be allocated to expanding Skills Bootcamps, providing opportunities for new entrants, returners, and those looking to upskill within the industry.

Every Local Skills Improvement Plan (LSIP) area will benefit from a £20m investment to foster partnerships between colleges and construction firms. This initiative will increase the number of industry-experienced teachers in colleges, ensuring future construction workers receive high-quality training from experts in the field.

Construction will also be a key sector for the new foundation apprenticeships, launching in August 2025 with £40m of dedicated funding. These apprenticeships will encourage more young people to enter the industry and progress into advanced apprenticeships, equipping them with the skills needed for long-term careers.

As part of this initiative, employers will receive £2,000 for every foundation apprentice they hire and retain in the industry, in addition to fully funded training costs through the new Growth and Skills Levy.

A further £100m in government funding, supported by a £32m contribution from the Construction Industry Training Board, will provide over 40,000 industry placements annually. These placements will support Level 2 and Level 3 

learners, including those studying NVQs, BTECs, T-levels, and advanced apprenticeships, ensuring they are ‘site-ready’ and addressing the industry’s ‘leaky pipeline’ of learners who do not transition into the workforce.

The Government also will sponsor a new Construction Skills Mission Board co-chaired by Government and Mark Reynolds, Executive Chair of Mace. The Board will be empowered to “develop and deliver a construction skills action plan and provide strategic leadership to the construction sector.”

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.”

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