Skills Shortage Threatens UK Housebuilding Targets

UK Housing Construction

UK: The UK Government has announced a EUR 39 billion allocation for social housing alongside its pledge to build 1.5 million new homes in England by 2029. However, a significant skills shortage in the construction sector poses a major challenge to achieving this target. The Office for Budget Responsibility estimates that only one million homes will be built in this period, well short of government expectations.

The Construction Industry Training Board projects that an additional 250,000 construction workers will be needed by 2028, with bricklaying identified as a critical gap. Despite initiatives to train up to 60,000 new workers through a EUR 600 million investment, concerns remain about whether this will be sufficient, particularly given the ageing workforce and reduced EU labour supply after Brexit. With over 35,000 vacancies currently unfilled, the sector faces increasing pressure as demand for housing grows. Addressing the shortage will require sustained collaboration between governments, businesses, and education providers to ensure long-term workforce development.

Source: Wienerberger