By Andrew Leslie, chief executive, The Association for Project Safety
DEPUTY Prime Minister Angela Rayner’s announcement of a nationwide housing target of 370,000 homes per year is a bold move to tackle the acute housing crisis in the UK. However, having a target is one thing; having the means to deliver it safely and efficiently is another. We at The Association for Project Safety welcome the initiative, but it does raise critical concerns about the industry’s capacity to meet these goals without compromising on safety and quality.
To meet the proposed housing targets, we need to see immediate key actions: namely
Training and Skills Development: Immediate allocation of funds and resources to training centres and educational institutions, with enforceable output targets, to develop comprehensive training programs and meaningful apprenticeships. This is crucial for building a skilled workforce capable of constructing the planned 1.5+ million homes needed over the next five years.
Planned and Selective Immigration (Short Term): Implement a planned and selective immigration policy to attract skilled workers from abroad, similar to the Australian model. This short-term solution would involve fast-track visa processes for skilled immigrants with proven construction experience.
Long-Term Construction Workforce Development: Enhance and expand apprenticeship programs in partnership with industry leaders and educational institutions to ensure a steady pipeline of skilled workers for future projects.
Moreover, the latest figures from the Health and Safety Executive (HSE) reveal a worrying rise in construction fatalities, with 51 deaths reported last year compared to 47 the previous year. There is an urgent need to thoroughly analyse these statistics to understand the root causes and ensure compliance with the Health and Safety at Work Act 1974 and Construction (Design and Management) Regulations 2015 – the rise in fatalities underscores the importance of stringent health and safety risk management and the need for prevention through design.
Meeting the new housing targets also requires a substantial increase in the skilled workforce.
The current industry landscape suggests a significant skills shortage. Major housebuilders like Taylor Wimpey and Persimmon have reported declines in completions. In 2023, 133,213 new homes were completed in the UK, a 12% decrease from 2022. To achieve the target of 370,000 homes per year, nearly three times the current annual completions are needed. The latest NHBC figures for 2024 show some improvement but still only achieving 50% of the target in the first two quarters.
Planning reforms, essential for identifying grey belt and facilitating new developments, will take time to implement. Investment in infrastructure, including power grids, water supply, and roads, is also critical but time-consuming. Without these foundational changes, meeting the housing targets will remain a distant goal.
The same is true of the investment in apprenticeships and training. This is vital to develop a skilled workforce. However, it requires significant funding, incentives, and time. The current workforce is ageing, and there is a notable gender imbalance in the construction industry. A robust UK Government PR campaign is necessary to attract younger individuals and diversify the workforce.
To meet the increased demand, the industry may need to shift from traditional construction methods to alternatives like timber frame construction or modular construction. However, this transition also requires a skilled workforce and a robust supply chain, both of which are currently lacking. Additionally, the adoption of new energy technologies faces limited supplier capacity.
And what of the economic implications? Shortage of skilled workers will inevitably drive-up trade worker prices, affecting build costs and scheme viability. This will have a knock-on effect on house prices, potentially making new homes less affordable.
In conclusion, while the Labour Government’s housing targets are ambitious and necessary, achieving them requires a multifaceted approach.
It appears as if no account has been taken of the time needed to implement changes necessary to facilitate increased outputs – particularly regarding planning reform and skills. We are calling for immediate investment in training and skills development, selective immigration policies, and an additional focus on retrofitting existing buildings.
These strategies, combined with stringent health and safety measures, are essential to deliver on the housing targets without compromising on safety and quality.
The time for action is now, and it is imperative that the government takes these recommendations seriously to ensure a sustainable and safe future for the construction industry.
