Jessica O'ConnorA new agreement between the Department for Work and Pensions (DWP) and the Construction Industry Training Board (CITB) will provide more than 40,000 on-the-job placements and aims to support over 100,000 new workers entering the construction industry annually by the end of the current Parliament.
Signed earlier this week at the newly launched Green Plant Academy at the Earl’s Court Skills Centre in West London, the agreement is part of the Government’s Plan for Change to increase employment and support the delivery of national housing and infrastructure targets.
The partnership will see Jobcentres work more closely with the construction sector to offer tailored work experience and training that meets the needs of employers and jobseekers.
The Government will contribute £100m toward the industry placements, with an additional £32m in funding from CITB.
The placements will include roles such as project managers, bricklayers, and electricians, and are designed to help address skills shortages in the sector.
This announcement is part of a wider employment strategy, including a £1bn package to support disabled people and those with health conditions into work.
This is a significant increase from the £275m spent in 2024/25, with funding expected to exceed £1bn by 2029/30.
The measures were discussed at the first meeting of the Construction Skills Mission Board, co-chaired by Deputy Prime Minister Angela Rayner and Construction Leadership Council co-chair Mark Reynolds.
The government also announced a £625m investment to tackle sector-specific skills shortages.
This funding is expected to support the creation of up to 60,000 new jobs in skilled trades including engineering, electrical work and joinery.
From August, a new construction foundation apprenticeship programme, supported by £40m, will offer young people a pathway into construction careers.
Deputy Prime Minister and Housing Secretary Angela Rayner said: “Building 1.5 million homes takes investment, skills, and a government that’s ready to roll up its sleeves to deliver. And that is exactly what we are doing.
“Our Plan for Change commits to delivering the biggest boost for affordable and social housing in a generation, which we’ve backed with a £39bn investment over ten years.
“We’re working hand-in-hand with industry to recruit thousands more workers into skilled construction jobs, and thanks to our Make Work Pay reforms we will ensure these jobs are more secure and better rewarded.”
Work and Pensions Secretary Liz Kendall said: “I am determined that our young people have the best start in life. To do this we must give them the tools they need to get ahead.
“This agreement, alongside our record funding will do just that. Our welfare reforms will see the biggest investment in a generation to support disabled people into secure, well-paid work.
“Our Plan for Change will deliver the jobs, homes and opportunities we need to build a stronger and more prosperous Britain.”
Education Secretary Bridget Phillipson said: “The construction sector is on the frontline in our mission to grow the economy, giving more people skilled jobs building the homes and infrastructure we need.
“Through our Plan for Change we are determined to break the link between background and success, so that more young people can get on in well paid careers.
“The Construction Skills Mission Board will make sure we hear directly from employers about what their skills needs are, driving our reforms and helping more young people achieve and thrive.”
Tim Balcon, CEO, CITB concluded: “Opportunities in construction are for everybody, whatever their background. By working together, we can widen the talent pool, bring in more diverse voices, and encourage more people to consider a career in construction.
“Every year, over 100,000 people receive construction training. I want many more of them to forge lasting careers in the sector. This is why the partnership with DWP is so vital, as it helps ensure individuals are not just trained but truly prepared for careers in construction.
“The government commitment to addressing the housing shortage, improving the country’s infrastructure, and investing in construction skills mean this is a real boom time for our industry.”
