A report from public-sector-owned built environment firm Scape Group found that nearly 85 per cent of public sector construction managers, and 58 per cent of private sector contractors and suppliers cite the current skills shortage as negatively impacting the quality of their workmanship, as well as one in ten citing it as critically impacting their ability to keep to budget.

Scape Group’s new ‘Sustainability in the Supply Chain’ report, which surveyed over 150 contractors, subcontractors and senior managers at public sector organisations highlighted the stark realities of a skills shortage that’s at “breaking point”.

Critically, the report highlights a profound juxtaposition between the public and private sector when it comes to how they define a healthy supply chain, and what their primary aims are. Within the public sector 70 per cent of those surveyed felt that providing long-term benefits for the local economy should be one of the biggest priorities, compared to 58 per cent within the private sector.

Similarly, 67 per cent of those surveyed in the public sector believed that local skills and suppliers is the most important element, whereas those surveyed in the private sector saw operational stability and minimising waste as more important factors.

Mark Robinson, chief executive of Scape Group, which is based in Nottingham but has premises in Rutherglen, said: “Our research has shown that the skills shortage is at breaking point, not only severely impacting the quality of what we are building but also our ability to build it on budget. While there is a mountain to climb to overcome this challenge, basic recommendations can be put in place to ease the burden, for example, 19 per cent of contractors and subcontractors still do not have an apprenticeship scheme.”

Rob Holt, managing director, Carillion Community Services, said: “With a supplier spend of around £3 billion, Carillion firmly believe our supply chain partners can help us to make a real impact in supporting the UK economy. But, as this report has shown, they need our continued support in order to be able to do so. Using these insights will therefore enable us to look at the practical ways in which we can all work together to assist the supply chain in achieving success.”

Dean Banks, managing director of construction services at Balfour Beatty, added: “Scape’s research reveals a widespread focus on sustainable construction; that means supporting local businesses, inspiring a diverse group of talented individuals into the sector and ensuring the future demand for skilled labour is met.”