On 6 July, the draft Industrial Training Levy (Engineering Construction Industry Training Board) Order 2026 was tabled by the Minister of State (Department for Work and Pensions), the Rt Hon Sir Stephen Timms MP, in the House of Commons.

On 14 July, the Rt Hon Baroness Smith of Malvern, the Minister for Skills, then spearheaded the Grand Committee debate, which took place in the House of Lords. 

Sir Timms said at the Commons: “It is estimated that the UK needs an additional 40,000 engineering construction workers, and this order will play an important part in supporting major infrastructure projects nationwide.

“In addition to industry support, the proposals before the House have received the full support of the devolved Governments of Scotland and Wales. 

“They recognise, as we do, that the ability of the ECITB to raise and invest levy income is vital to ensuring that employers across all three nations can access the engineering construction skills that they need.”

Baroness Smith told the Grand Committee debate: “The engineering construction industry is critical to the delivery of the government’s wider ambitions for economic growth, clean energy and energy security. 

“It provides the skilled workforce needed to build, maintain and operate major energy and industrial infrastructure across Great Britain.

“Maintaining the ECITB’s ability to raise and invest levy income is vital to ensuring employers across all three nations can access the engineering construction skills that they need.”

Baroness Smith added: “An estimated £137.9 million will be raised in levy over 2026 to 2028, which will be invested in supporting the skills needs of the engineering construction industry. 

“That investment will fund vital programmes to widen participation, raise skill levels, increase opportunity and to maintain occupational standards for the industry.”

Andrew Hockey, chief executive of the ECITB, said: “The ECITB received the overwhelming backing of industry for its levy 2 proposals last November with engineering construction companies voting resoundingly in favour of its proposed levy rates for the next three years.

“The subsequent consultation on the ITB Reform does not detract from the urgent need to attract, develop, qualify and retain skilled workers within the engineering construction industry (ECI) now.”

Hockey added: “Our new strategy sets out how the ECITB will rise to meet the challenges of an increasingly complex and fast-changing external environment and deliver positive, long-term outcomes for our levy payers, the wider workforce and the country.

“Our approach aligns with the UK Government’s mission-driven focus – particularly its goal to transition to clean power and stimulate sustainable economic growth in doing so.”

Facing no opposition, the Levy Order was affirmed by both Houses of Parliament. The legislation coming into effect will be applied to levies raised in respect of 2026 to 2028. These will be payable in 2027, 2028 and 2029 respectively.”