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CITB cuts funding and grants

9 Dec 25 The CITB says that grant cuts are needed because demand for training support is outstripping levy income.

CITB chief executive Tim Balcon

The ɫèֱ Industry Training Board (CITB) has today announced a series of changes to the funding and grant system.

The decision does not appear to have gone down well with the industry.

The CITB says that there has been a 36% increase in demand for its services over the last four years due to the success of initiatives like employer networks and the new entrant support team (NEST). Over the same period, the levy rate has not changed.

Consequently, at current levels, demand for support will exceed levy income, the CITB said.

Some of the funding and grant changes will come into effect from Thursday 8th January 2026. These include:

  • Removal of short course training grant, with employer networks as the main replacement funding route and a small number of courses to still be grant funded.
  • The scope of what is funded by employer networks is changing, as well as a reduction of the rate to 50% match funding
  • Funding for level 7 qualifications and attendance grant from long qualifications will be stopped
  • All non-apprentice achievement grants will be £600.

Further changes will come into effect from Wednesday 1st April 2026. These are:

  • Large employers will be moved to a single large employer funding offer
  • Large employers will no longer be able to access employer networks.

CITB chief executive Tim Balcon said:  “First and foremost, we want to apologise for the short notice for some of these changes. This was done to avoid surge claiming that will put our ability to support employers at risk. We had planned to transition our funding model gradually, giving employers time to adjust. The pace of demand growth means we need to act faster than we intended – and faster than we would have liked.

“While it is good news that there has been an increase in demand for our services, we have maintained the same Levy rate. This balanced against the increased demand means it’s necessary to bring forward changes to ensure we’re delivering the greatest value for the greatest number of employers.

“We appreciate this is a change for employers at a challenging time. We want to assure you we are here to support you – to find out how, please visit the CITB website or contact your local CITB engagement advisor.”

The response on social media has been lively.

Daniel Roche, boss of Hull- based MB Roche Civil Engineering, posted: “Really disappointed with CITB decision to stop funding training groups. So many have been totally vital for small firms helping wade through grants & training. Poor form.

Tony Ellender, professional development manager at Balfour Beatty, said: “More excuses to stop us getting our own money back... And just after the industry voted to keep them for another three years! When will we learn?”

Kathy Evans, director and owner of Hampshire drylining specialist Gypsum Limited, described the announcement as a “shit sandwich”. She posted: “For an already fragile industry with a real skills shortage throughout, along with the need for continued training, this is a pretty crappy decision.

ɫèֱ procurement consultant Pamela Cunningham said: “Please be mindful CITB ‘only’ have £78.9m reserves and can't possibly help any more than they already are.”

However, CITB countered that its reserves are decreasing and expected to be close to its reserves policy floor of £50m by 31st March 2026. “As a charity and arm’s-length body we must maintain a minimum reserve level of £50m,” a spokesperson said.

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