Shaun Wadsworth Provides Update on the CITB Consensus Levy

Shaun Wadsworth, CFA training manager, provides an update on the CITB Consensus Levy 2025 and why the construction industry approves

The Construction Industry Training Board (CITB) has recently concluded its 2025 Consensus process, a statutory consultation held every three years to determine whether the construction industry supports CITB’s proposed levy rates. This process is a legal requirement under the Industrial Training Act 1982 and is central to whether the CITB can continue collecting the levy from employers.

The Consensus involves two main voting groups: Levy-registered employers (wholly or mainly engaged in construction activity) and Prescribed Organisations (such as large trade bodies and federations like the FMB, Build UK, and FIS). While the 2025 process resulted in approval, the journey revealed deep fractures in industry confidence, especially among SMEs and trades like floorlaying, where the levy’s perceived return on investment remains questionable.

Throughout this process the CFA supported and lobbied on behalf of its members and the wider sector to ensure their voice was heard on this matter. Levy registered businesses had the chance to feed back to CITB directly and also through CFA, who in turn provided all data and comment to Build UK, our direct access to consensus reporting.

So, was CITB Consensus achieved? In broad terms, yes. Overall, 67.2% of likely Levy payers agreed with the proposal. Results also must be measured in terms of how much Levy payable is paid by supportive employers and this was 72.0% in favour. Both measures must be higher than 50% for Consensus to be achieved. Based on business size, large and medium employers agreed across similar percentage marks whilst micro and small businesses did not.

When it came to the Prescribed Organisations (PO) and their support of CITB Consensus, 10 out of 12 organisations agreed to support the Levy, including Build UK who lobby on behalf of the flooring sector and other specialist trades.

Looking specifically at the flooring sector, from the levy registered employers that engaged, 77% agreed to support the Levy proposals. The CFA fed this back to Build UK directly but also added additional comment too: “The CFA fully supports the need for an industry training board and are active in the training, apprenticeships, and competency spaces, where their influence can currently potentially be felt. We support this levy proposal but equally agree with findings within the recently published Industry Training Board (ITB) review summary report that ‘Poor performance going forward should not have the protection of another full ITB review cycle period and should be subject to early intervention by government and industry.’

“The CFA enjoys a good relationship with CITB and its positive influence has been directly felt in terms of a recent review of the National Occupational Standards and delivery support in Scotland. Currently, as our sector begins its journey in relation to installer competency, we are also enjoying really strong support from CITB. But we remain incredibly disappointed that as an industry, despite strong engagement and delivery as a trade body and sector, we cannot benefit from any meaningful grant support in terms of other floor laying training and delivery. It is deemed out of scope when we can measure and are actively working to close our 17% skills and labour gap, so this seems an unsatisfactory imbalance that we will continue to lobby for review.”

Despite the challenges, these are positive signs. The CITB has increased the levy exemption threshold, ensuring that 84% of in-scope employers are either exempt or pay a reduced rate, yet still have access to full training support. Additionally, the CITB has committed to enhancing transparency and engagement, particularly with smaller firms.

In April I wrote about the ITB review completed by Mark Farmer, highlighting some of the notable recommendations suggested, and I hope that over the next 3 years CITB will feel they can integrate those recommendations along with responses from the likes of Build UK around fundamental change.

If not, I feel the relationship gap between the floorlaying sector will continue to widen. After all, out of CFA members only a very small percentage of employers fall within scope, wholly down to the parameters set by CITB, something that hinders the likelihood of additional financial and operational support to CFA members and the wider sector.

But with an ageing workforce, record numbers of new labour required, more competition for new entrants and large building and infrastructure targets set, CITB really do have a critical three years ahead of them.

There is also increased works on competency which will inevitably lead back to training and how it is financed and then you have large shifts in other areas of education and qualification with lFATE having officially transferred all functions to Skills England, the new agency targeted to build on the work lFATE has done to work with employers to shape skills training in England.

Further information on CITB levy, competency standards, training and qualification is readily available through the CFA Training Guide, free to download from the CFA website.

0115 950 6836
shaun@cfa.org.uk
www.cfa.org.uk