Last reviewed 10 June 2021

The Construction Industry Training Board (CITB) has confirmed that Construction Levy rates will remain the same for 2022–25 under proposals confirmed by the CITB Board last month, but with industry support to be measured this summer.

The final proposals are that the Levy is assessed at the pre-pandemic rates of: PAYE at 0.35%; and net paid (taxable) CIS subcontractors at 1.25%.

In addition, 40,000 employers with a wage bill below £120,000 will continue to be exempt, with 14,000 seeing a 50% reduction due to having a wage bill of between £120,000 and £400,000.

The final stage of CITB’s three-yearly statutory consultation takes place between 14 June and 15 August on the Levy proposed to fund CITB support for construction skills over the next three years.

The following “Consensus” question will be asked: “do you agree that the Levy Proposals are necessary to encourage adequate training in the construction industry?”

Steve Radley, Director of Strategy and Policy at CITB, said: “To support employers, Levy bills were cut by half for 2021, with the Consensus process delayed by a year to focus on supporting immediate skills needs. We have since had clear feedback from industry, including the 14 Prescribed Organisations, that CITB should proceed with Consensus this year.”

The role of the Prescribed Organisations is to present the Levy Proposals to their Levy paying members and seek their views on them.

Of 33,000 Levy-paying employers, around 7000 have said that they are represented by these organisations, which include the Federation of Master Builders (FMB), the National Federation of Builders (NFB) and the Civil Engineering Contractors Association (CECA).

Full details of Consensus 2021 can be found on the CITB website.