Skills for GrowthMark Farrar, Chief Executive, CITB-ConstructionSkillsOctober 2012

What we do

• Labour market & other research

• Occupational standards

• Advice to companies

• National Construction College

• Assessment & testing

• Careers advice/apprentice recruitment

• Industry funded grant scheme

Who we work with - youWho we work with

Construction industry structure

2011

Private housing

Infrastructure

Public Non-Housing

Public housing

Industrial

Non-Housing R&M

Housing R&M

Commercial

Job losses

• 45,000 jobs go this year

• Public sector falls off a cliff -25% public housing -24% public non-housing

• A “lost generation” for construction?

16-19 year olds down 52% on 2008

Reductions in Apprenticeships

2006/07 2007/08 2008/09 2009/10 2010/11 2011/120

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

England

Scotland

Wales

So why construction for growth?

• £2.84 return for every £1

• Higher job return

− 40% more than

manufacturing

− 75% more than

financial services

• Local jobs

• 90p spent locally per £1 wages

4,500

2,100

2,600

3,500

5,7004,300

7,200

3,700

5,000

1,200

1,8004,500

Size matters

Number of new recruits required annually

Investing in jobs – £1bn gives

• Industrial c. 11,000

• Infrastructure c. 15,000

• Public Housing c.18,000

• Housing R&M c. 32,000

• Eight sites

• £1.5bn per year output

• 17,000 FTE peak (2018)

• £100 million training

• NESA – skills alliance

New Nuclear Build

• Up to £3bn

• Avoiding the Aussie

experience

• Cut the Carbon and

Green Deal Skills Alliance

New - potential of Green Deal

• People – not just software• Training needed – supply

chains

• Industry/Government

leadership needed

Building Information Modelling

• LEP engagement

• Public procurement

• Our ‘client-based’ approach

• University Technical Colleges

Supporting local growth and jobs today

So,

• The industry can create

significant growth & jobs

• Opportunity to embed new

approaches into the national

skills system

• Government & Industry working

together can give more young people a chance