Understanding the Industrial Training Levy for Northern Irelands Construction Sector

In a move that reinforces the commitment to skill development within Northern Ireland's construction industry, the Department for the Economy has introduced the Industrial Training Levy (Construction Industry) Order 2025. This statutory rule, effective from September 1, 2025, to August 31, 2026, empowers the Construction Industry Training Board Northern Ireland (CITB NI) to continue its mission of fostering a robust training culture across the sector.

Key Highlights:

• Levy Details: The levy rate is set at 0.55% of payroll costs, maintaining the same rate as the previous year. This consistency aims to provide stability for employers while ensuring continued investment in workforce training.

• Exemption Threshold: Employers with payroll costs below £80,000 are exempt from the levy, offering relief to smaller businesses within the industry.

• Consultation Process: CITB NI conducted a thorough consultation with industry stakeholders, receiving unanimous support from the board and employer members to maintain the levy rate.

• Regulatory and Financial Considerations: The rule does not introduce new policies or increase burdens on businesses, negating the need for a Regulatory Impact Assessment. Employers retain the right to appeal levy assessments through an industrial tribunal.

• Local Adaptation: While similar to its counterpart in Great Britain, the levy rate in Northern Ireland is tailored through local employer consultations, ensuring relevance and acceptance within the region.

This initiative underscores the strategic vision of CITB NI to embed a training culture within the construction sector, ensuring that both current and future employees are well-equipped to meet industry demands. By sustaining the levy rate and exemption thresholds, the government aims to balance between fostering skill development and supporting business viability.