GCS latest: Vince Cable says addressing loss of skills from industry is his key priority

Vince Cable

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The loss of skills from the construction industry during the downturn has been a 鈥渉orror story鈥, the business secretary Vince Cable has said.

Addressing the Government Construction Summit in London, Cable said improving training and apprenticeships in construction was his main priority for the sector through the government鈥檚 industrial strategy.

When asked what his main message to the construction industry was, Cable said: 鈥淚鈥檇 like the industry to start thinking five or ten years ahead [鈥 If I was to pick one area as a key priority it would be skills - what could bring the sector鈥檚 recovery to a shuddering halt is a lack of skills.鈥

The construction industry has lost 350,000 people since its peak before the recession.

Cable admitted the government cut capital expenditure 鈥渢oo hard, too fast鈥 after the financial crisis.

鈥淲e have rebuilt it but not enough.鈥

Cable said he now expects the construction industry to enjoy 鈥渁 period of sustained growth and recovery鈥.

The other areas of focus through the industrial strategy are improving procurement, access to finance and the industry鈥檚 use of technology, including BIM.

Cable said he was 鈥減leased鈥 with the initial work of the Construction Leadership Council charged with implementing the strategy.

When asked, Cable did not say whether or not he supported the finding鈥檚 Sir John Armitt鈥檚 review of long-term infrastructure planning for shadow chancellor Ed Balls, but he said government infrastructure planning 鈥渋s now more co-ordinated鈥 following the appointment of Lord Deighton as Treasury commercial secretary.

Armitt鈥檚 review, published last September, recommended the setting up of an independent National Infrastructure Commission designed to assess and plan for the UK鈥檚 infrastructure needs.

Cable said: 鈥淚鈥檝e invested political capital in getting the opposition on board with our infrastructure planning.

鈥淗opefully that will mean it will continue even if there鈥檚 a change of government.鈥

Andrew Wylie, chief executive of Costain, also called for long-term planning by the industry.

鈥淥ur infrastructure decisions will impact the second half of the 21st Century. If we think we can compete without HS2 or a world class hub airport we鈥檙e deluding ourselves.鈥

Wylie said he believes the construction industry 鈥渉as the best opportunity in a generation to move forward鈥 thanks to better collaboration with government.

CITB to dip into reserves to tackle skills gap

The industry鈥檚 training and skills body CITB has pledged to dip into its reserves over the next two years to pay more training grants and help the industry tackle it鈥檚 skills crisis.

The CITB鈥檚 new chief executive Adrian Belton told the Government Construction Summit in London that his two priorities on taking up the role were increasing training grants and simplifying the levy system.

Belton said: 鈥淚 want to cycle more money into training.

鈥淲e will dip into our reserves this year and probably next so we鈥檙e giving the industry back more than we鈥檙e taking in levies.鈥

On the levy system, he said CITB will aim to 鈥渟implify鈥 it over a 鈥渢hree year programme鈥, but was unable to provide any detail as the process has just begun.