Plans to give local areas greater influence over skills provision have been announced by the government.
A total of 39 Local Skills Improvement Plans (LSIPs) have been unveiled across England, covering the next three years. The plans are designed to match training provision more closely with regional labour market demand. The reforms aim to give local leaders a stronger role in identifying the skills needed in their areas and shaping the training available to meet those needs.
The plans were announced before Andy Burnham became prime minister, but are expected to remain central to the government’s approach to skills, given the new administration’s focus on devolving powers to local areas and strengthening the link between training and regional economic needs.
For construction, the move could help tackle longstanding concerns that colleges and training providers do not always deliver the skills employers require, particularly as demand grows for workers on housing, infrastructure and retrofit programmes.
The LSIPs are intended to ensure training providers work more closely with employers to identify local priorities and create clearer pathways into employment. They also seek to improve opportunities for people to gain the skills needed for jobs in their own communities, reducing skills shortages while supporting regional economic growth.
The reforms build on the government’s wider agenda to devolve powers over skills and employment to local areas, with mayors and combined authorities expected to play a greater role in coordinating training provision alongside employers and education providers.
Locally responsive system needed
Construction bodies have consistently argued that a more locally responsive skills system is needed to help address shortages across a range of trades and professional roles. Better alignment between training and employer demand has also been identified as a key factor in improving recruitment and reducing unfilled vacancies.
CIOB has urged Burnham to empower regional leaders to develop skills locally for the construction industry as part of his devolution agenda. Chief executive Victoria Hills said there was a longstanding case for devolving more skills funding and decision-making to combined and local authorities to address local skills gaps and enable opportunities.
Speaking to Construction Management, she said: “CIOB has consistently acknowledged that regional leaders are best placed to understand local demand and the skills required to deliver priorities like retrofitting, housing and infrastructure.”
The LSIP announcement comes as the industry continues to face significant workforce challenges, with employers needing to recruit hundreds of thousands of additional workers over the coming years to meet demand from major infrastructure, housing and net-zero projects.
Further details of how the local skills plans will operate are expected as the government develops its wider programme of skills reform.
