Offsite training levy doubles in engineering construction

Aaron Morby 5 years ago
Share

Engineering construction contractors have backed a hike in the sector’s offsite training levy.

Presently the offsite workers make up 53% of the workforce and last year demand for training for offsite workers was more than double the amount of income raised through the offsite levy.

To fill the funding gap sector skills body, The Engineering Construction Industry Training Board, has won support from 75% of levy payers to raise the offsite levy rate from 0.14% to 0.33% of total gross payroll.

The levy rise will be phased in gradually, rising to 0.2% payable in 2021, 0.27% payable in 2022 and 0.33% payable in 2023.

The site levy rate will remain unchanged at 1.2%.

At the same time, the ECITB has taken significant steps to reduce its overhead and operating costs, which as of 2018 had fallen by £1.3m since 2016, while 99.4% of levy raised in 2018 went directly into supporting training.

The ECITB is also improving its levy intelligence and collection methods to ensure that all companies in scope pay the levy and can make training claims as efficiently as possible.

Workload forecasts suggest the engineering construction industry will deliver £600bn worth of infrastructure projects across the country in the next decade.

ECITB chair Lynda Armstrong said: “Our employers recognise the need to pull together as an industry to address the challenges set out in our new strategy.

“There is huge demand for high-quality training across our industry and an acute need to replace an ageing workforce and ensure we can attract enough skilled workers.

“With demand for training outstripping available funding, we need to increase the level of funding available if we are to continue to meet training demand from employers and support growth in the industry.”

 

Latest news

Morgan Sindall to build former Willmott Dixon leisure job

New contractor appointed on
14 hours ago

Graham consortium wins £400m Manchester job

Equitix consortium to now work up DBFO plans for University of Manchester’s Fallowfield Campus
10 hours ago

Keltbray looking to sell infrastructure business

£378m turnover rail, energy and highways business up for sale
21 hours ago

Innovative viaduct building method used for first time in UK

HS2 contractors will build nine viaducts in Delta Junction using special cantilevered process
21 hours ago

Unite buys London site to fast-track 444-bed student scheme

£800m to be spent on London development pipeline in next five years
21 hours ago

CITB awards £2.5m of contracts to management consultant

Three outsourced deals in the last year for "project leadership and management consultancy"
21 hours ago

Village centre approved for 6,000-home new town plan

Hampshire's Welborne Garden Village plan has been in the pipeline for two decades.
20 hours ago

£3m fine after cherry picker demolition death

Court rules after tragedy during decommissioning of gas rig
21 hours ago

BAM plans wave of job cuts at UK Construction arm

Co-op Live arena plunges Bam Construction to £19.5m first-half loss
2 days ago

Robot tunnel builder goes into administration

Hypertunnel was hoping to revolutionise how underground structures are built
2 days ago

Wates to build £86m Guildford Council housing scheme

40% of the 248 homes will become council homes under partnership deal
2 days ago

“Scrap CITB” say three quarters of construction firms

Payroll giant Hudson Contract calls for CITB to be absorbed into new Skills England training body
2 days ago

£100m Prestwich Village revival approved

Vinci and Willmott Dixon in chase for Muse-led regeneration scheme
2 days ago

Carbon negative asphalt aggregate trialled on M11

Skanska and Tarmac test CO2 absorbing aggregate material on stretch of Essex motorway
2 days ago

Father and son sentenced over covid construction loan fraud

Bristol builders given suspended jail sentences over bogus Bounce Back Loans
2 days ago

Beck Interiors files administration notice

Supply chain has suffered delayed payments from £139m-turnover luxury fit out specialist
3 days ago

Green light for York Central civil service office hub

£60m office project accelerates York Central goods yard redevelopment
3 days ago

Blenheim House Construction enters administration

Administrators looking at options on present projects
3 days ago

Profits rise at Esh Group with more to come

Contractor confident about year ahead as market conditions move in right direction
3 days ago

Piling specialist Van Elle sees housing orders rise 30%

Mark Cutler says firm on course to deliver 10% annual sales growth
3 days ago

HS2 to spend £100m shutting sites where work never started

Remediation of sites no longer needed for cancelled Phase 2 will take three years
4 days ago

Willmott Dixon wins £61m deal for new Army dog unit

Contractor to revamp Kendrew Barracks in Rutland
3 days ago

Stockport advances 4,000-home Town Centre East plan

Council seeks consultants to steer plan for 280-acre area in the city
3 days ago

ISG sale imminent as buyers set-up UK holding company

South African nutrition entrepreneur and Australian partner primed to take over
4 days ago

CR Construction wins £210m Manchester towers

Construction to start next year on four blocks ranging from nine to 34-storeys
4 days ago

Southern Housing to rationalise supply chain following merger

Firms put on alert for £1.7bn construction framework renewal
4 days ago

Decision delayed on 52-storey Isle of Dogs tower

Hong Kong developer plans 460 flats block next to Millwall Inner Dock
4 days ago

Go-ahead for £850m North London estate rebuild

Flagship Edmonton housing estate redevelopment will deliver 2,000 new homes
4 days ago

Mace lands £184m Oxford Science Park contract

Contractor to build trio of laboratory and office buildings
5 days ago

Worker paralysed in 30ft fall during electricity pylon demolition

Specialist firm fined £240,000 after court hears linesman attached lanyard to a loosened steel section
4 days ago

Contractor services