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Response to challenges from Hudson Contract

CITB welcomes the unanimous judgment of the Court of Appeal which provides a clear statement of the law. The Levy due from Hudson will enable CITB to invest in skills for the future of the construction industry.

Hudson Contract Services Ltd’s 2019 annual accounts state that it has CITB Levy assessments for the financial years 2016, 2017 and 2018 totalling over £27.4m so we fully recognise the significant implications of this issue.

CITB welcomes constructive challenge and suggestions from construction employers on how the organisation works in partnership with the industry to attract people into construction and to support the training and development of the workforce. In mid-March, CITB opens an industry-wide consultation, including a round-Britain roadshow, to seek employers’ views on the strategic plans for 2021/24. Through this consultation, construction employers will shape how the CITB Levy is used to the benefit of the entire industry.

That said, CITB rejects the untrue allegations made by Hudson:

 Its figures for grants paid to micro, small and medium-sized employers are inaccurate. For example, its figures for 2018-19 omit the £6.2 million covered by the Skills & Training Fund which allows small employers to apply for grants of £5-10,000. It also omits the multi-year “flexible and structured funded awards” where CITB committed in 2018-19 to make payments of £540,000 to micro, small and medium-sized employers.

 It omits to mention the costs of training paid to 1,400 employers via the 86 CITB-funded local and sector-based training groups.

 It alleges that CITB’s levy proposals “scraped through” industry in 2017. In fact, 76.9% of levy payers supported CITB’s levy proposals.