Changes to ITB grants.

Byline: COMMERCIAL PROPERTY

THE future of the CITB-Construction Skills Grants Scheme has been secured, after the industry-led board opted to make changes that will ensure the Industry Training Board can continue to provide financial help and support to employers during the economic uncertainty.

Last year, pounds 176 million was paid out to 23,500 construction firms in grants, to support training and help to improve the competitiveness of their business.

A record number of claims resulted in the initial forecasts of grants being exceeded by pounds 20 million.

While this is good news for the skills of the industry, it has prompted a review of the grants scheme by CITB-Construction-Skills and its sub-committees to ensure that it can continue to support business-critical training as the recession deepens.

The grants scheme is underpinned by a levy, which the government asks CITB-Construction-Skills to raise on employers. This system has the majority support of industry as the best way of maintaining standards within the industry.

However, with levy income expected to fall below original predictions in 2009/10, the CITB-ConstructionSkills board was forced to make tough decisions and prioritise those grants that best meet the industry's training requirements.

Core grants for apprenticeships and new entrants remain unchanged and CITB-Construction-Skills has promised to protect these from any further reviews of the scheme that may be necessary according to economic conditions.

A number of grants have been affected by the changes to the scheme. These include:

Reduction of the technical and professional achievement grant from pounds 1,000 to pounds 500.

Removal of the Investors in People grant - although existing plans will be honoured and companies who have already committed can apply to receive an Investors in People grant until July 31, 2010 (total of pounds 5,000).

Removal of the on-site assessment and training profiling grant (pounds 100).

The limit for short duration grants will be reduced from pounds 10,000 to pounds 5,000 per annum.

Removal of the health and safety test grant (pounds 17.50). Health and safety training will continue to be supported through the training and development plan and short duration routes.

Reduction in the supplementary payment rates for grants - with the exception of apprentice and new entrant grants from 25 per cent to 20 per cent.

Removal of grant for the CIOB site management and first line supervisor modules (pounds 250 per module).

The changes, which take effect from August 1, 2009, were made following extensive consultation with employers and industry.

Chris Jones, learning and development director at BAM Construct UK Ltd and chairman of the grants scheme working party and member of the training committee, said: "The record numbers of grant claims for 2008 means that we needed to take a serious look at the grants that we can provide.

"It is crucial that we continue to provide grants for apprenticeships and for new entrants because we cannot afford to create skills shortages within the industry.

"We need to be ready for an upturn when it happens and these changes have secured the grants scheme, which is good news for the industry."

Mark Farrar, chief executive of Construction Skills, added: "By making these necessary changes, we are guaranteeing help and support for businesses and we will continue to provide grants that will help steer the industry through these difficult times."

For more information on CITB Construction Skills grants, visit www.cskills.org/grants