National Federation of Builders response to investment package of £600 million to train 60,000 construction apprentices
Chancellor Rachel Reeves has announced £600 million in investment to train up 60,000 construction apprentices.
Richard Beresford, Chief Executive of the National Federation of Builders (NFB), said:
“The Chancellor has followed up her push for planning reform with considerable new funding to train more construction apprentices, demonstrating her understanding that without business certainty and high-quality training, new learners will struggle not only to be trained, but most importantly, to be retained.
As SMEs train 73% of construction apprentices, the Chancellor now needs MHCLG, DEFRA. DESNZ, DfT, and DBT to support her ambitions. These departments must work together to ensure that SMEs, the trainers and retainers, are able to win pipelines of work so they can afford to take on apprentices, support their growth and establish meaningful careers.”
The Government has announced that the funding will include:
- £100 million of new investment for 10 new Technical Excellence Colleges
- £165 million to help colleges deliver more construction courses.
- £100 million of funding for new entrants, returners, and upskilling within industry
- £20 million for Local Skills Improvement Plans (LSIP)
- New foundation apprenticeships funded by £40 million
- A further £100 million of government funding for the Construction Industry Training Board (CITB)
- £80 million capital fund to support employers to deliver bespoke training
Rico Wojtulewicz, Head of Policy and Market Insight at the NFB and House Builders Association (HBA) added:
“The Chancellor should be commended for recognizing that growth is primarily driven by business certainty and people, rather than tax breaks. Funding for colleges and trainers is particularly welcome, as they play a critical role in ensuring apprentices receive the highest-quality training.
However, without support from other government departments, these ambitions will fail. Education reforms must not prohibit or deter experienced construction workers from teaching in colleges or academies simply because they are deemed unqualified. Planning reform must shift its focus beyond large developers onto the 99% of housebuilders who train 7 in 10 apprentices. Grid reforms need accelerating, with energy policy addressing construction challenges and costs. Both environmental and procurement policies require continuous review.
For too long, years have been wasted trying to solve individual issues, and while we have already seen action from Labour to promote that, it is now time to get around the table and thrash out a deliverable strategy.”
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