Potential skills gaps the Construction industry will face over the next 4 years

We review skills shortages data from a report published by the Construction Skills Network.

The Skills the Construction Industry Will Need

Reading through the Construction Skills Network five year outlook (2022-2026) by the CITB and Experian and it paints a picture of the skills the construction industry is going to need moving forward.  It’s broken into regions and interestingly the South East where SM5 Developments are based is close to the top of the regional growth rankings having the second largest share of construction output in the UK (London is 1st).

Overall, the report states that by 2026 an extra 266,000 workers will be required to meet the UK’s predicted construction output/growth with 23,000 of those projected for the South East meaning this region will need to recruit an extra 4,600 people per year. 

It goes on to state that all sectors within construction will find themselves experiencing recruitment pinch points as the UK is facing the tightest labour market it has seen for several decades.  2022’s vacancies were double the level we saw pre pandemic in 2019.

Brexit and further constrained migration policies have contributed to the skills gap in the industry.  The report goes on to say that the “largest increases in annual demand will be for occupations such as carpenters, joiners and construction managers as well as technical roles such as electronics technicians, civil engineering technicians, estimators and valuers as well as office based support staff.

This means that employers need to look at their recruitment processes.  Some suggestions the report makes are :

  • Attracting those workers with the in demand skills who have left back into the industry
  • Increase knowledge of the industry by starting early and working with schools, colleges and apprentices (SM5's Marketing Department are working with local schools and colleges to give talks about the benefits of careers in Construction)
  • Looking at their employment policies, company culture etc to improve retention
  • Move with the times – what technology can you implement into your company to improve your productivity?

Here at SM5 Developments we look at employment and recruitment trends to try and assess the market and the feel of what staff could be looking for.  We have always offered good working conditions and rates of pay to aid in the retention of our staff as we appreciate and understand that our staff make our company what it is.  The culture of our company is really important to us and we set out to run a company which has a family feel where everyone is treated fairly regardless of how big we are so that we can attract the right talent when we need to. 

We are always looking for new ways to help our staff and the industry so with this in mind we have partnered with Mates in Mind as our charity for 2023.  Mates in Mind charity exists to improve the mental health and wellbeing of workplaces across the UK.  In their own words they do this by “providing the skillsclarity and confidence to employers on how to raise awareness, improve understanding and address the stigma of mental ill-health within the workplace.”

They are doing amazing things within the construction industry and we look forward to offering more support to address the stigma of mental health within construction through them. 


 Melinda Smith
 17th January 2023
fit-out / refurbishment / maintenance / aftercare / bespoke furniture / leisure & retail / office / automotive / healthcare / retail / industrial


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