The Government’s 2025 Spending Review (SR25) sets out the priorities for public spending for the upcoming years, with a clear message that trades are at the heart of Britain’s economic renewal.
This year, the Chancellor has outlined a few changes to trade workers including construction workers, electricians, builders and other skilled tradespeople. Here’s what you need to know.
Construction and housing
The Government announced it would invest £39 billion over the next decade to increase affordable and social housing. A further £10 billion will be invested through Homes England to unlock land for housing development.
This means that there will be more construction projects and therefore further demand for tradespeople.
With these SR25 commitments announced, now is the time to review business structures, VAT status and CIS compliance to ensure they’re positioned to take on bigger contracts.
Apprenticeships and traineeships
£1.2 billion per year will be invested towards vocational training and apprenticeships. This further investment will bring:
- Increased subsidies and grants for hiring apprentices
- Greater availability of upskilling schemes
- Long-term pressure to formalise trade qualifications
This signals a significant opportunity for both employers and workers in the trades sector. Businesses that are prepared to take on apprentices will not only benefit from financial support but will also play a key role in shaping the future workforce.
Digital transformation and innovation in construction
Another element of the SR25 is the Government’s push for greater digital innovation across infrastructure and construction. £3.5 billion has been allocated towards modernising construction methods and encouraging the use of digital tools such as Building Information Modelling (BIM) and automation technologies.
This investment means that tradespeople will increasingly need to be comfortable with new technologies. Upskilling in this area will be crucial for remaining competitive and meeting the demands of larger tech-integrated projects.
SR25 indicates a renewed national focus on skilled trades, calling for workers and businesses to get ready for further investments to facilitate growth in the industry.
How we can help
If you have any questions about how the SR25 will affect your industry, get in touch with a member of our team on: 01255 850 002 or email us at accounts@gwcox.co.uk.
