CITB-ConstructionSkills future-proofs Grants Scheme

After months of consultation with the industry, the CITB-ConstructionSkills Board has approved a new look Grants Scheme, which will provide £113m grant funding for businesses that train. The revised Grants Scheme has been redesigned to be future proof for the industry, ensuring employers have the right skills, in the right place at the right time. 

Following a series of changes to the scheme last year, the Industry’s Training Board carried out a fundamental review to make sure that the scheme continues to provide relevant training grants that help businesses increase their productivity, compete at the highest level post-recession and, importantly, improve upon and maintain Health & Safety standards. Work on reducing the organisation’s own cost base is being pursued simultaneously.

Chris Jones, Learning and Development Director at BAM Construct UK Ltd, Chairman of the Grants Scheme Working Party and member of the Training Committee and Board said:  “The recession has changed our industry significantly and we need to make sure that we continue to keep pace and provide training that will help businesses to succeed and prosper. New skills are required and the board has been tasked with providing a grants system that is fair to all and to help businesses take advantage of new and exciting opportunities that are on our doorstep.

“Our Grants Scheme has served us well for 40 years, but it is in everyone’s business interests to review it, to make sure that it is relevant for a modern and progressive industry.” 

Following extensive consultations – the industry-led board has approved a new scheme, containing a number of changes. These include: 

• Setting the total apprenticeship package at £9,000 over 3 or 4 years to simplify the Scheme
• Setting a maximum of £6,000 support for undergraduates in their placement year  
• Setting a single achievement rate of £275 for vocational qualifications at level 2 and above  
• Limiting the average number of grant aided training days on a training plan and short duration training at three days – slightly above the current industry average. For example for 100 employees, 300 days maximum grant.  There will also be a 3 day limit on training days for Labour-only Sub-contractors 
• Awarding an additional £7.50 per day for Technical and Professional students  
• Setting a 10 per cent supplementary payment across all grant rates to simplify the scheme  
• Plant technical tests to be preserved but rates to be reduced by 25%  

In addition, the Board took the opportunity to encourage innovation in the industry, by agreeing that 1% of the grants budget will be allocated to create a development fund that will help employers to keep up with and deliver the Future Skills agenda and other new initiatives. These measures combined will ensure that the construction industry is supported through the downturn, and primed to take advantage of new opportunities that may come along after recovery. 

The new scheme will be rolled out in August 2010 and businesses will find it far easier to access grant, as the categories have been streamlined to make the whole process far simpler. 

Employers will receive further information about the 2010/2011 changes in July 2010. The CITB-ConstructionSkills website will be updated with the full terms and conditions and how to claim and will be available on 2 August 2010.

Mark Farrar, Chief Executive of ConstructionSkills, said: “It is essential that we maintain investment in the current and future workforce, but with falling levy income and increased demand for grants, the Board has had to review the scheme. The board recognises that in doing this, tough decisions had to be made. The need to minimise the impact on new entrants, in particular apprenticeships, is one area that has caused much debate. However, the board has made every effort to keep apprenticeship grants at the highest rate affordable given competing priorities and the need to plan for the future.

“I can assure all employers that these decisions were not made lightly or without extensive consultation with industry representatives. The new look Grants Scheme will not only safeguard the skills we have now, but will also help construction employers to explore new skills and training needs for the future.”

These changes to the Grants Scheme form part of an overall plan to ensure that CITB-ConstructionSkills moves forward on a firm and sustainable financial footing. With the organisation facing lower income from falling levy payments and reduced public sector funding opportunities, the Board noted the progress to date to drive up other sources of income and cut overheads. This has resulted in a number of job losses across the organisation, a prioritisation of activities and other efficiency measures. The result will be a 10% reduction in operating expenditure in 2010 overall.

For more information visit www.cskills.org/grant

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For more information about this release please contact Jessica Hope on Jessica.Hope@cskills.org / 0300 456 5407

 www.cskills.org

About ConstructionSkills 

ConstructionSkills is the Sector Skills Council (SSC) for the construction industry. As a partnership between CITB-ConstructionSkills, CIC and CITB Northern Ireland, we are UK-wide and represent the whole industry from professional consultancies to major contractors and SMEs. 

Established as an SSC in 2003, ConstructionSkills is working to deliver a safe, professional and fully qualified construction workforce through the industry’s Sector Skills Agreement. We are responsible for raising employer engagement in training, implementing industry-led skills solutions, securing appropriate funding, producing labour market data, and developing standards and qualifications that meet employer needs.  

ConstructionSkills is a well run and high performing Sector Skills Council, supporting a sector which is central to the UK economy, generating over 8% of GDP and a turnover of more than £210bn a year. ConstructionSkills is helping construction employers during the downturn and working to maintain skills so the industry can respond when the upturn begins.