Although the Construction Industry Training Board last week published its own annual analysis of industry needs, the government is concerned that the structure of industry training is inadequate.
It has therefore tasked its own panel of industry leaders to address the skills pressures and other constraints that are limiting housebuilding and infrastructure development.
The Construction Leadership Council (CLC) has given the job to Mark Farmer, of real estate and construction consultancy Cast. He has been directed to identify actions that will help bring more workers to the industry. An advisory panel will be appointed to provide additional expert input.
The starting point for this work is his People and Money report, which he produced last year when he worked for Arcadis. That report set out a number of capacity issues that the sector faces. It identified training as a complicated area for the construction sector due to very high levels of self-employment and the fragmentation of the supply chain. It also set out how the construction labour model provides only weak long-term incentives for subcontractors to invest in training. It found that the current model creates barriers to the greater use of off-site construction.
Views are now being sought on how to best train a workforce that has a high level of self-employment and how to bring about greater use of off-site construction. The review will also look at how the industry can introduce measures that encourage more investment and new ways of working.
Mr Farmer said: “The construction industry's skills shortfall has been growing progressively and its ageing workforce now means affirmative action needs to be taken to avoid more acute issues in the future.”
Housing minister Brandon Lewis said: “The number of new homes is up 25% in the last year – and this is further proof we’ve got the country building again and delivering the homes the nation wants.
“This means thousands of jobs are now up for grabs and we’re determined to make sure that there are enough skilled workers to get the job done.
“Construction offers an exciting and rewarding career and we need to build a new generation of home grown talented, ambitious and highly skilled construction workers.”
Skills Minister Nick Boles said: "The government is committed to getting Britain building. We are investing in measures to cut red tape and increase the number of young people doing apprenticeships and traineeships to ensure we have a pipeline of skilled workers.
"As leaders in the industry, the council is best placed to advise on how to boost productivity in the sector and build the houses and infrastructure our nation needs."
The CLC is inviting comments on the following:
- Evidence of how the construction labour model and recruitment practices impact on incentives for skills development in the sector (including in the supply chain) and on the introduction of more novel techniques such as off-site construction.
- What business models and other arrangements could better support skills and skills pipelines in the sector?
- What measures could improve wider incentives for capacity investment and the introduction of new ways of working?
- What are the barriers and enablers to greater use of off-site construction?
- How could the range of participants in the UK housing market be broadened, including through the better introduction of institutional funds?
Submissions on these topics can be made sent to construction.enquiries@bis.gsi.gov.uk by 29th February 2016.
The Construction Leadership Council is:
- Nick Boles, minister of state for skills, Department for Business, Innovation & Skills (co-chair)
- Andrew Wolsteholme, Crossrail (co-chair)
- David Cash, BDP
- Mike Chaldecott, Saint Gobain
- Brian Morrisroe, Morrisroe Construction
- Mike Putnam, Skanska
- Simon Rawlinson, Strategic Forum for Construction / EC Harris
- Madani Sow, Bouygues UK
- Stephen Stone, Crest Nicholson.
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