Last week, Chancellor Rachel Reeves announced plans to invest over £600 million into training new construction workers. (Read more).

"More than 35,000 jobs in construction remain unfilled—yet the government wants to build 1.5 million homes."

This is welcome news, given the current skills shortage stands in stark contrast to the recent government pledge to build 1.5 million homes. The Office for National Statistics estimates there are currently already more than 35,000 jobs to be filled in the construction sector, and many employers are struggling to find staff with the skills needed to fill these vacancies before the surge on homes and cleaner energy infrastructure.

The focus on NEETs (people not in education, employment, or training) remains high on the political agenda, and with it the potential loss of skills and reverberating effects on the economy. So we have the people, but they need the skills.

Today, in a speech to Whitehall, Andy Burnham, Mayor of Greater Manchester, will call out an education system not fit for today’s young people. He will call for a clear pathway into technical vocations for the two-thirds of young people who do not pursue a “traditional” route through university.

As a leader in construction skills, NOCN Group echoes these sentiments. Investment in construction skills and training must go hand in hand with wider reforms to the education and skills system, which currently overemphasises the university option over vocational colleges or specialist training centres. It also fails to sufficiently invest in upskilling of the existing workforce to create the enter level jobs and improve productivity.

In order to maintain the “steady flow” of construction workers the government talks about as part of this £600m training package, changes need to be reflected further along the chain. We must ensure that our UK education and skills system is geared to feed this flow of new talent and meet the government’s ambitious housing target. Investing in these pathways for young people will be a key part of promoting growth, employability, and productivity.

We are pleased to see that one of the key provisions of this new support is funding for 10 Technical Excellence Colleges in England. However, these centres will only meet the high standard indicated in their title if they hone-in on the needs of today and embrace emerging methods in technologies and AI. This includes a crystal-clear directive for quality and competency, as well as strong focus on green energy infrastructure.

The need to build new homes is high, but so too is the requirement to retrofit our existing housing stock. This will require both practical experience for learners, as well as specific training on upgrading skills to deliver Net Zero. Retrofit is more than a buzz word. It’s a crucial step in making sure our homes are efficient, sustainable, and cost less to run; ensuring that we have the workers with the right skills to take on this challenge is crucial.

The influx of funding into training construction workers in England also includes skills bootcamps, financial support for apprenticeships, shorter duration apprenticeships, and local skills improvement plans (LSIPs). Again, a welcome step.

When the rising cost of living is already threatening the aspirations of today’s young people and making some qualifications and apprenticeships prohibitively expensive, the government cannot afford to get this wrong.