INDUSTRY UPDATE NEWS
Good news for the construction industry is that this year will be booming, according to Glenigan’s Construction Industry Forecast 2025-2026. The forecast predicts growth of: ● 8% in 2025 ● 10% in 2026. The growth will come from greater confidence in the industry amid a more stabilised political and economic landscape after the 2024 general election. In private housing, due to improved household income, the forecast predicts housing Construction boom predicted
More apprentices in less time
T he National House Building Council (NHBC) and Construction Industry Training Board (CITB) have committed to increasing their capacity to train construction apprentices: ● NHBC will spend £100 million on 12 construction training centres in the next four years ● CITB allocated £40 million of levy money to support another 20 training centres if industry partners take the lead as CITB no longer delivers direct training directly. If the initiatives succeed, there could be 5,000 more construction apprenticeships available every year by September 2028, with 3,000 in the 12 new NHBC training centres, to train bricklayers, roofers, plasterers, scaffolders, electricians, carpenters – among other trades. NHBC has four training centres – in Cambridge, Newcastle, Hull and Tamworth – offering qualifications in 15 months. Roger Morton, Director of NHBC’s training hubs, said: “Our intensive training will produce skilled tradespeople faster, equipping them to hit the ground running from day one.”
The plan to use the training centres to train more apprentices in roughly half the time comes down to improved competence frameworks and standardisation, according to CITB. The news has been met with approval from the government, however, some industry stakeholders are less certain about it. For example, David Crosthwaite, Chief Economist at the Building Cost Information Service, noted that a condensed qualification would likely lower drop-out rates. “However, one has to ask, how can what once took twice as long, now be delivered in half- the time? Are there going to be quality issues as a result of shortening the training period? “In terms of the numbers, 5,000 apprenticeships a year will not be enough to cover those expected to retire/leave the industry annually, so at best, this is not adding additional workers to an industry that has seen close to 350,000 leave the sector over the last five years. “In my opinion, this initiative will not have a major impact on the realisation of 1.5 million new homes over the next five years, as promised by the government.”
starts to rise by: ● 13% in 2025 ● 15% in 2026.
Glenigan’s Economic Director Allan Wilen said: “The construction sector is on track for growth from 2025, fuelled by a combination of improved
consumer confidence, increased household
spending, and strategic fiscal changes announced in the recent Budget. These factors are set to drive activity in consumer-related verticals such as private housing, retail, and hotel and leisure. “The Budget’s adjustments to fiscal rules, allowing for higher levels of capital investment, will also unlock significant public sector and infrastructure projects, providing a much- needed boost to government-
funded initiatives over the next two years.” Scan the QR code for the report.
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