New construction GCSEs welcome but no silver bullet without stronger demand

Plans to introduce new vocational GCSEs⁽¹⁾ could help strengthen the industry’s future skills pipeline. However, action on education needs to be matched by measures that support construction demand, according to BCIS.

The proposed qualifications, planned for 2029 and beyond, could introduce more young people to careers in building and construction at an earlier age. This comes as skills shortages and an ageing workforce remain significant concerns for the industry.

Dr David Crosthwaite, chief economist at BCIS, welcomed the announcement but said increasing the supply of construction skills is only part of the challenge.

He said: ‘Introducing vocational construction GCSEs is a positive move and recognises the importance of engaging young people with industry pathways at an earlier age. Construction’s skills time bomb is a real concern, and this is a practical step towards strengthening the talent pipeline.

‘But education alone is not a silver bullet. Employers also need to be in a position to train and recruit, which means addressing the cost of employment and, crucially, stimulating demand.’

Despite expectations for a recovery in 2026, demand for new construction has softened. Client uncertainty, higher materials and fuel costs and elevated borrowing costs are affecting viability and constraining investment appetite in several areas of the market.

Dr Crosthwaite said there was no guarantee that stronger demand and increased recruitment capacity would be in place in the coming years, given continued geopolitical and economic uncertainty and supply chain pressures.

‘Construction activity responds to investment, and recruitment decisions are similarly driven by employers’ expectations of near-term workloads,’ he said.

‘Proactive investment in education therefore needs to be matched by a steadfast commitment to infrastructure and housing, continued planning reform and careful consideration of how new levies affect development viability.

‘The government must also address energy costs for construction product manufacturers, whether through greater investment in green energy production or more targeted support, particularly for gas-dependent sectors like brick production.

‘Building the skills pipeline is essential, but those skills ultimately need a healthy construction market in which to be put to work.’

Vocational GCSEs will be nationally set and are expected to eventually replace Technical Awards typically taken alongside traditional GCSEs.

A consultation on the new qualifications is expected later this year, with proposed subjects remaining provisional. The government is also launching a National Mission on Work Experience and has called on employers to provide an additional 200,000 work experience placements.

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^{(1) GOV.UK – New Vocational GCSEs unveiled in major shake-up to hands-on learning for teens  - here}