LABOUR SHORTAGE
● 29% say there’s not enough support from training providers; ● 34% have hired a young apprentice in the past three years; ● 52% haven’t hired an apprentice at all; ● End Point Assessment completion has dropped from 55% (2017/18) to 35% (2022/23); and ● business owners often spend significant time supervising apprentices due to insufficient training quality. Poor access to financial incentives ● 64% say financial support isn’t adequate for trade-based apprenticeships; ● 7% have accessed the Apprenticeship/ Skills and Growth Levy; ● 32% cite lack of time or guaranteed work as reasons for not training apprentices; and ● 21% access CITB training or funding, and the £1,000 grant is widely seen as insufficient. Missed earnings If the sector’s current vacancies were filled – equating to an extra 195,000 workers – the RMI sector alone could boost revenue by £9.6 billion and add £4.1 billion in additional gross added value (GVA). That’s a 4.3 per cent increase on the sector’s current £96 billion annual contribution. The benefits wouldn’t just be confined to London and the South East. Over 70 per cent of the GVA uplift would be seen across England’s regions, making a strong case for targeted investment to level up the country. Finding a way forward TrustMark recommends four actions to close the construction and RMI skills gap: ● improve training and curricula; ● simplify recruitment processes; ● raise awareness of financial incentives; and ● promote upskilling in renewables and clean heat.
A shortage of skilled workers threatens the long-term stability of many small businesses
VACANCIES HINDER RMI SECTOR
N early half – 45 per cent – of all repair, maintain and improve (RMI) firms report at least one current vacancy, with: ● micro businesses reporting one vacancy; ● small firms reporting over three vacancies; and ● businesses actively looking to grow report five vacancies. The research – commissioned by TrustMark and conducted by Eureka! Research, with economic analysis from Oxford Economics – collected responses from more than 1,200 RMI businesses. It found that a shortage of skilled workers is limiting the UK’s RMI sector, hampering net zero goals, and threatening the long- term stability of thousands of small firms. Many businesses turn down work due to labour shortages, with 52 per cent scaling back due to staffing constraints. Relying on subcontractors has become a common workaround (used by 37 per cent), but
even that is under strain, with 56 per cent struggling to find reliable subcontractors.
A ticking clock The sector’s workforce is ageing: 21% of the UK workforce is over 55, climbing to 44% in the RMI sector. Nearly a quarter of older workers expect to retire or semi-retire within three years. Without a clear succession pipeline, close to 40,000 businesses could exit the sector in the next decade.
Three bottlenecks Cumbersome recruitment ● 44% want a more transparent hiring process; and ● 39% say bureaucracy and paperwork are major barriers to recruiting apprentices. Training and support ● 22% cite a lack of suitable apprenticeship courses;
Full report Scan the QR code for the full report
The researchers argued in the report that collaboration across government and industry is essential to building a competent, future-ready workforce.
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