Solving The Construction Skills Shortage

For any developer or contractor, keeping construction jobs on schedule is no mean feat. There is the need to meet project timelines and keep within budget while also maintaining a high level of quality and safety. Adding to this, under Labour’s ambitious plans for infrastructure and housebuilding, is the requirement to ‘rebuild Britain’. Chancellor Rachel Reeves has thrown her support behind major schemes like the Lower Thames Crossing and a third Heathrow runway, while Deputy PM Angela Rayner is pushing to meet the contentious 1.5 million homes target. However, the construction skills shortage presents a significant challenge.

For developers and contractors, this enthusiasm is hindered by a harsh dose of reality: a dwindling talent pool. So, how can the construction industry meet housebuilding targets and avoid project delays when the number of skilled workers isn’t available?

In this blog, we take a closer look inside the construction skills shortage and what’s fuelling the problem. We explore whether construction materials themselves can help ease the strain and how modern methods like ICF could offer a practical solution to bridge the gap, help the industry meet high energy standards, and support some of the toughest targets yet.

Inside the Construction Skills Shortage

Fuelled by longstanding and more recent challenges, developers and contractors are finding it harder than ever to secure the skilled operatives they so desperately need. Naturally, the shortfall fuels competition for a qualified workforce, resulting in wage bidding wars as firms outmatch each other with counteroffers. In some cases, this struggle to recruit can force contractors to turn to higher-priced subcontractors, squeezing already tight budgets.

On an everyday level, this intensifying skills shortage provides a major headache for contractors. But, look at this on a much larger scale, and it means delays in much-needed infrastructure and housing which ultimately stalls economic growth.

So, what is fuelling the problem?

An ageing workforce

The construction skills shortage problem starts with an ageing skilled workforce.

The industry faces a continuous problem with the balance between the number of workers edging into retirement and a lack of youngsters entering the industry. Last year, the Construction Products Association published their Autumn forecast which looked at how, over the past five years, the construction sector has lost an average of 70,000 workers a year.

A large proportion of the losses are down to age. The report states: “UK construction employment in 2019 Q1 already had a major age demographic problem in the UK-born workforce, with a spike in employment in the 50-64 age range. This meant that UK construction was set to lose over 500,000 workers, over one quarter of the workforce, within 10-15 years.”^{^[1]}.

Not a desirable job

With an ageing labour force, a new generation is a key part of a future-facing strategy to replenish the shrinking supply of skilled workers.

Yet despite ongoing efforts to draw in future generations, the industry is still not seen as an attractive career choice. In the Construction Deconstructed 2024 report, by Deconstruction and YouGov, 68% of more than 2,000 UK adults polled said they would not consider a career in construction, associating building sites with words such as “dirty” and “strenuous”. A mere 3% considered construction one of the most important industries^[2].

Making a career in construction more appealing to workers is just one battle. Retaining them is another challenge entirely. As reported by the Construction Industry Training Board (CITB), while 2023 saw 200,000 new workers join the sector, 210,000 left ^[3]. A loss like this is one the industry cannot afford, especially with the CITB estimating that over the next three years, we need an extra 250,000 workers to keep pace with sector growth.

Overseas Contractors

The combination of Brexit alongside the pandemic, when travel was severely restricted, saw a definite decline in the number of EU workers coming to the UK to work in the construction sector. Add to that, the complex points-based immigration model in place and sky-high visa prices and the UK is a far less attractive option for overseas recruits. This combination of factors has created the perfect storm resulting in around 120,000 construction workers returning home, and many never coming back ^[4].

Canada is facing similar pressures, but it’s taking action – and that may come at the UK’s expense. The country known for its vast, picturesque landscapes has taken bold steps to confront its housing crisis head-on by relaxing immigration rules to attract construction industry apprentices from abroad, The CITB urged any trainees to resist the lure insisting opportunities in the UK are “here and now”, while others praised the scheme as an “interesting initiative” and one the “UK could learn from”^[5].

Gender Inequality

Gender inequality adds to the construction skills shortage picture. While significant strides have been taken, the industry is, in reality, still male-dominated. Reports show that women make up just 15%^[6] of the construction workforce, leaving a huge opportunity to diversify and grow the recruitment base. By encouraging more women and girls into the field by challenging outdated stereotypes, we can chip away at 2028’s quarter-of-a-million-worker shortage.

A lack of training opportunities

We can only encourage fresh talent into the industry by offering training courses. Construction apprenticeship programmes are opening up and down the nation to meet these training challenges, with local strategies implemented to help people access pathways in their area. While these schemes are a welcome development, time is not on our side. Fast-track training programmes are in place such as the Homebuilding Skills Hubs, NHBC’s Multi-Skills Training Hubs, and the government’s new measure to cut red tape. While this will enable up to 10,000 ^[7] more apprentices to qualify every year, for onsite teams already under pressure, what’s missing is a readily available solution.

Construction Skills Gap — Image Courtesy – Nudura ICF

Can Construction Materials Ease the Construction Skills Shortage?

This is where working with alternative construction methods can ease the burden. A lot of commonly used building materials often require highly skilled and specific trades. With fewer trained personnel to call on, components can pile up on-site with no one able to install them. One such example is through the use of bricklayers as indicated by the Federation of Master Builders’ (FMB) State of Trade Survey, which showed that 28% of members reported difficulties recruiting them in Q3 and Q4 of 2024 ^[8].

One solution could be found with Modern Methods of Construction (MMC). A report last year by Skills England into driving growth and widening opportunities recognised that output per construction worker lagged behind the economy average ^[9]. However, it also identified that MMC has ‘the potential to reduce construction’s reliance on skilled labour pools and drive productivity in the sector.’

For developers, the choice of MMC should be considered carefully. Not all MMC systems are equal, modular offsite systems such as timber-framed houses have been seen as a favourite in the MMC market, yet they do have their drawbacks. Timber-framed buildings require a manufacturing unit within a factory with operatives skilled in this type of construction. For developers, they would have to consider the significant upfront costs and planning requirements when purchasing modular systems. Finally, there are the logistical factors to take into account, with large modular properties requiring specialised transportation requirements and planned arrival on site.

ICF Construction econekt — Image Courtesy – Econekt

How Can ICF Help the Skills Shortage?

An alternative for developers is to look at an on-site build method that is simplistic in it’s nature.

Thanks to its straightforward design, ICF fabrication is quick to learn, and the core principles are consistent across all systems. This makes it simple to train both experienced builders and apprentices which reduces the need for skilled construction workers. ICF consists of large blocks made from an insulating material. To construct the walls, the blocks stack and interlock via a raised castellated edge. Not only does this make the wall very quick and easy to construct it also removes the requirement to apply mortar.

ICF walls are typically built in stages, although this will depend on your design and chosen blocks. With most projects, you build the walls to first-floor height before pouring concrete into a central cavity in the block. Once the concrete sets, the build continues until you reach the desired height. Details such as windows, doors and services are cut into the blocks as you build the wall which, due to the block’s material, can be cut using standard tools.

Add in the fact that an ICF building presents a strong building where you can easily achieve a high level of quality and it’s not hard to see why this system is an ideal solution for tackling the construction skills shortage.

Meeting High Energy Standards

One other benefit for contractors to use ICF is the thermal performance the build can achieve. In recent years, energy efficiency has been a key focus for developers with the introduction of the Building Regulations Part L uplift measures and forthcoming Future Homes Standard.

ICF blocks are made from two layers of an insulating material which, when combined, with the concrete sitting in direct contact with the block delivers a finished build with high energy performance levels. The walls can achieve U-values around 0.18W/m².K, and Y-values as 0.02 W/(m2.K) when assessed with certified junction psi values and airtightness levels of 0.33m³/h.m² at 50 pascals.

Bridging the construction skills shortage gap is no quick fix. However, with ICF’s easy-to-learn design, developers and contractors have a valuable option for resource-stretched jobs. Bringing teams up to speed quickly, reducing overhead costs and keeping projects moving, ICF helps to ease the load and make a dent in the UK’s housebuilding and infrastructure targets.

For more information about ICF construction, get in touch with the ICFA team today by emailing us at hello@icfa.org.uk