Government Confirms £24 Billion Roads Funding Settlement for 2026–2030

In the government’s Spending Review, Chancellor Rachel Reeves announced a landmark £24 billion capital funding package allocated to National Highways and English local road authorities between 2026–27 and 2029–30 (FT.com). Averaging £6 billion per year, this is one of the most significant five-year infrastructure investments in recent times.

Despite broader fiscal pressures, including a recent 0.3% dip in GDP, the commitment ensures dedicated resources for essential road improvements

What This Funding Will Deliver

The £24 billion settlement is designed to:

• Maintain and enhance local roads and motorways, addressing chronic maintenance backlogs
• Fund digital traffic management systems and smart-weather mapping for reliable journeys
• Improve safety in high-risk zones with targeted interventions
• Support net-zero objectives through EV infrastructure and climate-proof road networks

Transport bodies like RAC have branded it a “golden opportunity” to shift from reactive pothole filling to proactive road resilience management

Industry Impact & Skills Demand

Sector Growth and Skills Shortages

The UK construction sector continues its recovery, with output up 0.9% in April 2025 and a 3.8% compound annual growth rate projected through 2029, headed toward £204 billion by 2029.

However, employment remains slightly below pre-pandemic levels - 2.14 million workers in Q4 2024, down from 2.148 million in early 2024, and with roughly 35,000 job vacancies reported.

What Workers & Employers Should Know

This stable investment window signals strong demand for skilled workforce ready to deliver.

Mandatory Certifications

Expect uptake in:

• NRSWA (street works operatives & supervisors)
• SHEA Gas, Water, Power – essential for utilities collocated with roads
• Traffic Management, Temporary Works, First Aid, Manual Handling, Working at Height

These certifications are key to being allowed on site and ensuring safety compliance.

Opportunities for Upskilling

Businesses should begin mapping skills gaps now. Workers with current training certifications will be in the best position for tenders and contracts aligned with the new funding cycle.

From Pragmatic Consulting

A spokesperson for Pragmatic Consulting commented:

“This funding settlement offers a rare level of visibility and opportunity for UK infrastructure and maintenance. The industry must use this time wisely: training your workforce now means you’re not just ready, you’re ahead.”

Conclusion

• £24bn is a long-term, reliable investment in roads and mobility
• Construction output is up and forecast to stay on a strong growth trajectory
• Skills in NRSWA, SHEA, and site safety will be in high demand

Pragmatic Consulting is already preparing employers and employees through accredited and practical training.

Want to stay ahead?

Start your workforce planning now. Deliver projects safely and profitably with training in: NRSWA, SHEA, Traffic Management, and more.

Get in touch Today!

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