Skills lacking for major infrastructure plans
The UK Government and wider economy do not have the skills and capacity to deliver ambitious plans for major infrastructure in the next five years, according to a new report.
The Public Accounts Committee (PAC)’s study has called for the government to set out how it will address these issues and ensure future projects offer value for taxpayers’ money in the long term.
According to the committee, skills shortages in technical and engineering disciplines are “set to worsen” as gaps in the UK’s workforce are compounded by competition from major global development projects.
Project management and design are also areas of concern, and skilled professionals in senior positions in particular. Of 16,000 project professionals that need to gain accreditation from the Government’s major project leadership academy, only 1,000 had done so at the time of the PAC’s report.
The PAC’s inquiry heard that the scale of investment, £805bn-worth of costs across 244 projects, is unprecedented.
Despite this level of investment, the PAC believes government departments are failing to devote the time and effort needed to ensure they maximise the value that comes from projects. Only 8% of the £432 billion spend on major projects in 2019 had robust impact evaluation plans in place and around two-thirds had no plans at all.
Dame Meg Hillier MP, Chair of the Committee, said:
“Over the coming years, Government spending on major infrastructure projects is set to rise to unprecedented levels. Such projects present unique and novel challenges which Government must navigate if it is to secure value for public money. Without a robust market for essential skills in place, these are challenges the UK will fail to meet, as shortages push costs up in a globally competitive environment.
All too often we see projects and programmes that are poorly managed and delivered late and over budget. The failure to ensure projects have robust impact evaluation plans in place is symptomatic of the short-term mentality dominating these processes. The Government must encourage cross-departmental learning if we are to avoid repeating past mistakes.”
Commenting on the report, Yselkla Farmer, CEO of BEAMA, said:
“Investment in skills across the UK economy is not only essential for success, it is existential when we face a global competition. Both investment and skills are critical for the major infrastructure projects that will deliver on our Net Zero targets and an energy system that is fit for the future. Manufacturers are doing the best they can to build their capacity and cultivate talent, but without greater support from Government through a clear and stable policy landscape, the UK will fail to compete in an international market.”
Transport + Energy recently announced a new initiative, Transport + Energy Skills, in partnership with the WMG at the University of Warwick. The project will highlight the sectors’ shortage and provide insight, information exchange and solutions to progress a major re-skill, up-skill and new-skill of workers, to fit the way industries are changing and ensure UK companies are competitive. Find out more here.
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