Background to the report

The construction sector plays a vital role across society and the wider economy by building and maintaining homes and critical infrastructure, such as schools, roads and hospitals. In June 2025, there were 1.9 million construction jobs covering roles such as electrical installation, plumbing, bricklaying and surveying. More than five out of every six people joining the construction workforce do so from another career.

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The government expects demand for construction workers to expand significantly by 2030. In March 2025, the government announced an initial £625 million funding package for up to 60,000 more skilled construction workers by 2029. This brings together initiatives designed to encourage more students to move into construction roles, improve their employability and increase the number of courses available. It also aims to improve employer engagement, critical to training and employing workers, and the quality and capacity of those providing training and qualifications, such as further education colleges.

Scope of the report

This report assesses the government’s progress since launching its construction skills package. It examines:

  • challenges facing the sector, roles and responsibilities, and the government’s understanding of current and future skills gaps
  • the package of funded initiatives announced by the government
  • how well the government has set itself up to deliver initiatives

Video summary

Emma Willson, the report’s director, summarises our findings.

Conclusions

At this early stage of the construction skills package, the government needs to manage significant risks to achieve its aspiration for up to 60,000 more construction workers by the end of this Parliament. Through the package, the government is trying to tackle long-standing construction skills shortages through a welcome mix of well-evidenced and more innovative initiatives.

However, success is uncertain and also depends on how potential workers, providers and employers respond to the demand for construction skills. Delivering the construction skills package, alongside industry actions and other interventions, will influence whether the government meets its major housebuilding, warm homes and infrastructure commitments.

The government has now put in place a clearer framework and better data to understand performance across the package. As it learns from how the package progresses, the government will need to review assumptions and be prepared to reprioritise across its portfolio of initiatives. It also needs to develop a consistent, complete approach to understanding workforce demand and supply.

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Press release

View press release (13 Jul 2026)

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