Thousands More Construction Workers Needed to Meet UK Housing and Energy Upgrade Goals

London - The UK government’s plan to improve energy efficiency in homes and build new housing will require a significant increase in construction workers over the next five years, according to new insights obtained by the BBC.

Labour has pledged to upgrade and insulate five million homes within five years to help families reduce energy bills and tackle fuel poverty. To meet this target, an estimated 140,000 extra workers will be needed annually to retrofit both social and private housing.

Separately, the government aims to build 1.5 million new homes by 2030. Meeting this goal would require roughly 61,000 new construction workers each year.

Currently, the government is investing £600 million to train up to 60,000 skilled workers — including engineers, bricklayers, electricians, and joiners — by 2029, addressing existing shortages in the construction workforce.

Tim Balcon, chief executive of the Construction Industry Training Board (CITB), says the industry has the ability to meet current demand but cautions it will take time. He explains that training coordination is challenging because the sector involves many different subcontractors and training providers working separately. "Everyone wants to do the right thing but they aren’t always working together," he says.

At a housing development in Southall, west London, the BBC spoke to several people involved in the construction process. Will Cunningham, 24, a plumbing apprentice, shared that it took him four months and applying to more than 20 companies before he found work. “They often look for experience first,” he explained. “It’s hard to start, but once you get in, it’s not so bad.”

The CITB’s forecast suggests that an additional 240,000 construction workers will be needed nationwide over the next five years, and this figure could rise depending on how ambitious government housing and energy upgrade policies become.

The Warm Homes Plan, which aims to improve energy efficiency in homes, including installing heat pumps, also relies heavily on increasing the number of skilled installers. However, data indicates that applications for heat pump installations have declined in 2025, despite steady growth since 2021.

Ian Berney, managing director of RG Taylor Engineering, highlighted delays in planning approvals as a bottleneck that could slow down construction projects and affect recruitment. He predicts many sites may remain inactive next year unless approval processes speed up.

Mike Keaveny, director of land and development at Grainger, pointed out that labour shortages have made building more expensive and forced developers to adapt. His company is increasingly using off-site construction methods, such as pre-fabricated bathroom pods and panels, which improve efficiency and reduce waste, particularly in high-rise buildings.

Mr Balcon also stressed the importance of retaining skilled workers and improving productivity. The construction sector recruits about 200,000 workers each year but also loses the same number annually. Improving worker retention and productivity could reduce the need for so many new recruits.

He added that current recruitment methods often rely on word-of-mouth, limiting job visibility, and said a regional approach is needed to target areas with the highest demand. “In London, the demand for construction is enormous,” he noted.

A spokesperson for the Department for Energy Security and Net Zero said the recent energy crisis has shown the urgent need for home upgrades. They highlighted ongoing training efforts for 18,000 workers in heat pumps, insulation, and renewable energy technologies, with plans to train thousands more. Further details on the Warm Homes Plan will be announced later this year. 

(Credit: Reporting by BBC News)