Construction among the sectors to benefit from new education reforms

Students as young as 14 will have access to technical education, skills training, work experience and industry connections, including those available within the construction sector, under newly announced reforms to the education system⁽¹⁾.

The government confirmed the changes will see regional mayors, local leaders, schools, colleges and employers collectively shape the new technical education pathways with the possibility of tailoring them around local industry needs and growth sectors.

The reforms fall under the government’s devolution agenda and purportedly give local leaders more influence over the education of young people in their areas.

Dr David Crosthwaite, chief economist at BCIS, said the measures are sensible and should encourage greater connections between young people and construction businesses but cautioned that they are just one step in a bigger path.

‘Broadening opportunities for younger students to pursue vocational and technical careers is welcome news for trade-based sectors such as construction. While apprenticeships already attract many people later in their education, these reforms create an opportunity to engage students earlier, broaden awareness of construction careers and ultimately widen the talent pool,’ he said. 

‘However, improving the education pipeline is only one side of the coin. The other side is ensuring employers have the confidence and capacity to invest in recruitment and training. That remains challenging while construction activity and project pipelines are relatively subdued, and cash flow is limited.

‘The next task for the government, and particularly the Chancellor, is to consider how cost pressures on employers can be eased. That won’t be straightforward given the competing demands on public finances and could make for an unpopular Autumn Budget ahead. That said, supporting employers and stimulating demand will be critical if the UK’s long-term construction skills strategy is to succeed.’

The reforms follow a recent National Audit Office (NAO) report which found that the government’s £625 million construction skills package, announced in March 2025, is expected to meet only part of the additional workforce needed to deliver its housebuilding and infrastructure ambitions⁽²⁾.

The NAO concluded that the government still lacks a sufficiently detailed understanding of future workforce requirements and warned that, without stronger workforce planning, labour shortages are likely to continue driving up construction costs and delaying major projects.

Official figures published by the House of Commons in July show that 743,000 young people aged 16 to 24 were unemployed between March and May 2026, an increase of 112,000 on the same period last year⁽³⁾.

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^{(1) GOV.UK – PM: ‘From today Britain will value the hard hat as much as the graduation cap’  - here}

^{(2) National Audit Office – Increasing construction skills  - here}

^{(3) UK Parliament – House of Commons Library  - here}