£96 million are to be allocated to create tens of thousands of placements on building sites across the country to plug skills gaps and boost housebuilding.

Tens of thousands of placements will be created for aspiring construction workers in a £96 million boost to train new talent and build more homes.  

Funding is set to be allocated across the country to provide hands-on learning and boost employability for learners who start their construction courses from this September.  

The construction industry is facing significant shortages, with the latest Office for National Statistics figures showing that there are over 35,000 job vacancies - over half of which are due to a lack of required skills. 

Skills Minister Jacqui Smith said:  "We're removing the snobbery from hands-on learning and putting it on par with academic to break down barriers for young people to get rewarding jobs. 

"Our landmark vocational  qualifications and placements  will  create  a strong pipeline of workers  by  equipping  young people with the real-world skills that employers need and that will fuel the jobs of the future."

Announced in the Post-16 Education and Skills White Paper, V Levels will sit alongside A levels and T levels. Equivalent to one A Level, they will allow students to mix and match academic and vocational subjects if they do not yet know where they want to specialise.  

New subjects available from 2028 include V Levels in construction design, engineering design and engineering manufacturing, and Occupation Certificates in bricklaying, painting, and plumbing. 

A new sector-led group, ‘Qualification Practitioners', has been created to lead the way for the sector, shaping and sharing best practice as providers transition to the new qualifications. Providers will be required to have robust transition plans to support staff, students, and employers through the change. 

Commenting on the announcement, Dr David Crosthwaite, Chief Economist at BCIS: "While additional investment in construction training is a positive step, the latest workforce figures published by ONS this week highlight the more complex challenge facing the sector. 

"Although the overall construction workforce edged up in the first quarter of 2026 compared with the previous quarter, this was driven by a 6% rise in self-employment, while the number of employed workers fell by 3%.

"The wider picture also points to continued fragility in market conditions, with the total workforce 4% smaller than it was at the start of 2025, and 14% below levels seen 20 years ago. 

"Vacancies are down 12.5% year-on-year, while construction currently has one of the lowest vacancy ratios of any sector at 1.8 vacancies per 100 employee jobs. 

"This suggests firms may be exercising greater caution around recruitment amid subdued workloads and ongoing viability pressures.

"One of the biggest longer-term concerns is the loss of industry expertise and experience that cannot quickly be replaced through new entrants alone. 

"While expanding training provision is important, rebuilding capability across senior commercial, technical and project delivery roles takes time.

"At the same time, firms continue to face rising costs, financing pressures and wider increases in operating expenses, making confidence and a stable pipeline of work critical to supporting long-term recruitment and retention."