CITB announces levy consultation

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Contractors and other construction businesses are to be consulted on the cost of the Construction Industry Training Board’s (CITB’s) training levy.

The board announced yesterday (29 July) that it would be restarting consensus engagement in September on levy proposals for 2026-29.

It will canvass views on how funding for training is generated and on how training is provided for apprentices.

Announcing the consultation, the CITB said it also wanted to ensure exemptions and reductions stayed “current and appropriate”.

The skills body added that “all employers can have a say during the consultation phase” from mid-September via a dedicated online portal called Citizen Space.

Feedback will be reviewed by an independent group of industry representatives and external specialists. Their recommendations will ultimately be submitted to the government.

Levy negotiations will be “fundamental” in deciding how the construction sector tackles the UK’s shortage of skilled workers, the CITB said. In its industry outlook for 2024-28, published in May, it highlighted the construction sector’s need for more than 250,000 extra workers by 2028.

CITB chief executive Tim Balcon said: “Reaching industry agreement on the levy through consensus is critical for British construction. CITB can only provide the skills system that the industry desperately needs with their input and support, so it’s important that we hear from employers and prescribed organisations to help shape our proposals.

“With the industry set to grow over the coming years, bolstered by a new government committed to getting Britain building again, ensuring our workforce has the skills and training required to take advantage of this opportunity is essential.”

The consultation process, which occurs every three years, comes at a time of uncertainty and challenges for the CITB.

In May last year, education regulator Ofsted assessed the body as requiring improvement, although an interim inspection last week noted “significant progress”.

In June last year, the government launched a review into the CITB by leading industry figure Mark Farmer. He was asked to consider the ongoing need for the CITB, as well as the Engineering Construction Industry Training Board, and the effectiveness of the levies that fund them.

But the review process has been delayed by the resignation of Robert Halfon as skills minister in March, as well as July’s general election.

Farmer told Construction News he could not comment. The Department for Education and four tier one contractors were also approached for information.

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