Research reveals the crucial role apprenticeships play in delivering social value for construction firms.
- 329 contracts worth £3.2bn generated £860m in social value, highlighting the impact of apprenticeships.
- Apprenticeships accounted for 16.4% of community contributions, showcasing firms’ commitment to training.
- Public and private sector projects showed increased investment in social and community outcomes.
- Regional differences identified, with the West Midlands leading in apprenticeship training.
Recent research underscores the significant contribution of apprenticeships to the social value delivered by construction firms. An analysis of 329 construction contracts, amounting to a combined value of £3.2 billion, found that these contracts generated £860 million in social value, highlighting the pivotal role of apprenticeships.
The report, commissioned by Social Value Portal for Scape, identified apprenticeships as comprising 16.4% of contractors’ community contributions over the past year. Despite the challenging economic landscape, investments by firms in training schemes have risen from 17% in 2020 to 27% in the current year. This rise demonstrates a commitment to enhancing social and community results.
The contracts analysed involved both public sector projects, subject to social value legislation, and private developments prioritising social outcomes. Among these, 282 projects facilitated over 15,600 weeks of apprenticeship placements across the UK, signifying a widespread embrace of apprenticeships.
The report, however, spotlighted a regional skills divide. The West Midlands emerged as the leading area, delivering an average of 10 weeks of training per £1 million of contract spend, followed by Wales with nine weeks. Conversely, despite having the highest contract value, London recorded just 4.5 weeks of training per £1 million. Industry voices highlighted issues with local councils’ requirements for apprenticeships, which are seen as detached from the realities of construction projects.
Nathan Goode of Social Value Portal commented positively on the industry’s year-on-year growth, recognising the construction sector’s role in fostering positive societal and environmental impacts. Yet, challenges remain, particularly in aligning local government expectations with construction realities. Similarly, Scape’s CEO Mark Robinson pointed to opportunities for collaboration between government and industry to ensure best practices are implemented nationwide.
Additional data from Fusion21 further illustrated the sector’s commitment to social value, with 114 apprentices placed in various trades and 815 volunteering days organised for community projects. Moreover, donations, including materials and financial contributions, totalled £803,741.
It is evident from these findings that while considerable progress has been made, there remain opportunities to refine and enhance the contribution of apprenticeships across the UK.
Apprenticeships are a crucial element in driving social value within the construction industry, with room for further improvement nationwide.
