A recent report from the Construction Industry Training Board (CITB) has found that over the last three years, the number of migrants working in UK construction fell 15%, from over 326,000 to just 280,000.
However, while the number of non-UK born workers in construction declined from 305,000 in 2019 to 280,000 in 2020, CITB’s Migration in UK Construction 2021, reported that this fell in line with employment trends in the industry at the time of the pandemic.
Meanwhile, in its fourth migration study, conducted in 2020, the CITB found that 40% of employers planned to upskill more UK workers, while 30% were going to create more pay as you earn (PAYE) jobs, and 16% would create more apprentices in response to the end of freedom of movement within the EU.
What’s more, the construction industry has detailed plans, within the Construction Leadership Council’s Industry Skills Plan, on how it will seek to grow the workforce domestically and reduce dependence on a migrant workforce. However, this plan was disrupted by the pandemic and made it harder for many employers to commit resources to training.
In addition to these issues, Office for National Statistics (ONS) data shows year-on-year wage rises peaked at +13.4% nationwide in May 2021, supporting anecdotal evidence that labour shortages are driving up prices. A further problem for employers is uncertainty as to whether workers, both UK and migrant, will return to the industry post-COVID.
Using the PBIS
When free movement ended with the UK leaving the EU, it was replaced with the Points Based Immigration System (PBIS).
The PBIS means that anyone wanting to enter the country to work must meet specific requirements which they will score points for. Visas are then granted to those who score enough points.
Though overall employers say that their reliance on migrant workers has fallen, it is important that construction employers are still able to use the new PBIS when needed.
However, the latest UK Visas & Immigration data shows that only 654 construction employers were licensed to use the system in October 2021. CITB estimates that, in total, 90,000 construction firms employ non-UK workers.
Some small- to medium sized enterprises (SMEs) are unwilling or unable to engage with the PBIS due to the cost and time taken to sponsor a single skilled non-UK born worker, with it being both an expensive process and some employers reporting that it took eight to ten weeks to sponsor a migrant worker through the system.
To make matters worse, key trades with skills shortages, including insulators, dry liners and asbestos workers, still do not qualify for the Skilled Visa Route, despite meeting the right criteria.
However, data published by the ONS in November 2021 suggested that despite being down on 2019 levels, more non-EU migrants arrived in the UK than left in 2020, while migration from the EU to the UK turned negative for the first time since 1991.
This trend was reflected in the construction industry where the number of EU migrants fell by 16% compared to a decline of just 4% of non-EU migrants.
