The annual report sets out expected construction demand over the next five years and the implications for the construction workforce.

The Outlook shows growth is expected to return to the industry over the medium-term, but that it continues to face ongoing pressures in recruiting and retaining the workforce it needs. The short-term picture for construction is challenging, with uncertainty and cost pressures affecting activity.

Meeting future demand will require sustained focus on recruitment, training and supporting people into construction jobs. This includes both attracting new entrants and replacing workers leaving the industry, and will require collaboration across industry, stakeholders and Government to meet the demands of the workforce.

The Outlook provides a UK-wide view, alongside insights for nations and regions, helping industry and stakeholders understand where demand is likely to be strongest and how workforce needs may change over time.

CITB has been producing the Construction Workforce Outlook since 2006/2007 to provide evidence and insights into the number of workers needed to meet forecasted demand. It is still the only report of this type for the construction industry and is compiled using a range of both backward- and forward-looking data.

Having a view on changes in the construction workforce and the need for extra workers is a core part of helping CITB better understand future training needs.

The Construction Workforce Outlook represents a significant component of CITB’s Industry Picture that explains the current and future circumstances of construction, the skills and people needs and where targeted action can have the greatest impact.

As set out in Industry Picture, too few people are entering the sector, too many experienced workers are leaving, and productivity improvements have not been sufficient to close the gap. This will increasingly put a strain on the industry’s capacity to deliver on housing, infrastructure and retrofit commitments.

However, recent initiatives such as Raising Income through Skills and Education; Training Access Fund; and Flexible Workforce Development Fund in the Tackling Child Poverty Delivery Plan 2026-2031 are examples of how the Scottish Government is supporting skills and training for targeted groups to help them into work. There is also the UK Government’s Jobs Guarantee in Central and East Scotland, along with Local Growth Funds in five regions of Scotland that demonstrate a willingness to support workforce development.

Ian Hughes, CITB engagement director Scotland, said: “Our latest Construction Workforce Outlook highlights where construction skills demand is expected to grow across Scotland, offering the evidence needed to guide workforce and skills planning in a period of significant opportunity and challenge. The construction industry is faced with balancing short-term business uncertainty while ensuring there are enough skilled workers to meet the expected demand for longer-term opportunities.

“Together, alongside the Scottish Government and industry stakeholders, we can ensure the construction sector is equipped to deliver for Scotland’s future.”