Mark Wakeford, managing director of Rugby-based construction and civil engineering firm Stepnell, is worried that a difficult return to growth for the UK construction sector – which many industry experts are already predicting could take several years – will be further hindered by the Coalition’s reductions in Government spending and Government agencies funding.
“Construction firms throughout the UK have been badly affected by both public and private sector cuts and the West Midlands has been hit particularly hard,” says Mark. “Although I’m confident there will be some private sector growth over the next 12 months, I am concerned that the Government’s decision for significant further reductions in capital spending during these tough times will cause a significant negative impact and may lead to further job losses.”
In December 2010, the Federation of Master Builders (FMB) warned that the VAT increase would result in the loss of 11,400 UK construction jobs over the next decade. Figures released earlier in the year by the Construction Skills Network also showed that construction output in the West Midlands had declined dramatically, falling by a massive 22 per cent since 2009.
“The long-term repercussions are potentially huge,” says Mark. “The construction sector suffers from a significant impending skills disaster which needs to be urgently addressed. However, if construction jobs continue to be lost at the rate the FMB is predicting, there won’t be enough skilled workers left to help the industry get back on track when the economy has improved.”
In recent years, Stepnell has made extensive efforts to help tackle the construction industry’s skills shortage. The company set up a pioneering skills academy at Earl Mortimer College – formerly Minster College – in Leominster, Herefordshire, while carrying out a £20 million Building Schools for the Future Pathfinder project at the site. The skills academy gave young people interested in construction careers the opportunity to get their first taste of the industry through a structured training programme which included a series of construction-related activities and work experience placements. The initiative recently received national recognition, winning the prize for Integration and Collaborative Working at the National Constructing Excellence Awards – the industry’s equivalent of the Oscars.
“We know that the future of our business, and the construction industry as a whole, depends on our ability to attract fresh talent,” explains Mark. “Exposing over a thousand young people to our exciting industry and promoting careers that most do not understand has been a resounding success. For Stepnell identifying people with a flair for construction at an early age and helping to develop their skills is one of our top priorities. These are the main reasons why we helped to set up the pilot skills academy at Earl Mortimer College. We’re very proud of the success it has already achieved and would like to see more of our counterparts establishing similar schemes.”
Despite the uncertainty currently facing the construction industry, Mark still feels that there is reason for optimism.
“Although there will undoubtedly be less new-build construction projects coming on-stream in 2011, I still expect there will be refurbishment opportunities as many customers will look to make the most of their existing buildings, rather than relocating to new ones. I firmly believe that we will see a gradual improvement over time. It’s vital though that while we concentrate on the present, we continue to look forward and take the necessary steps to safeguard the future by nurturing the talents of the next generation of construction workers.”
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