Research reveals “social value” of schemes to help young people access the construction industry
13 May 2015
to begin young people on a career in the construction industry return social
value equivalent to £6.51 for every £1 invested – a study by London South Bank
University (LSBU) has revealed.
developing a Social Return on Investment (SROI) metric, researchers were able
to put a monetary value on increased employment for young people in the sector
– which includes increased income tax revenues, better health and a reduction
in welfare benefits.
research reports on a Knowledge Transfer Partnership (KTP) project between LSBU
and the Construction Youth Trust delivered in partnership with Willmott Dixon.
analyst Jemma Bridgeman – who was the KTP Associate assigned by LSBU to the
project - said: "This is the first time that anyone has been able to put a
value on young people's future within the construction industry.
economic downturn had a devastating effect on construction, with 400,000 job
losses and a plummet in the number of apprenticeships. At the same time local
authorities and their contractors in the construction industry are required to
explain how they will achieve social value as part of bids through the enactment
of the Social Value Act 2012. However until now no standard model for SROI
believe this new methodology will become standard practice in the industry as social
value becomes a key consideration alongside price in the future."
research that informed the SROI took place at the Summerfield Community Centre
in Birmingham. The Construction Youth Trust and Willmott Dixon worked in
partnership to deliver an Open College Network entry level practical
construction skills course for eight young people. Six participants were not in
education, employment or training at the start of the course and two were in
part time employment.
course culminated in the young people working alongside Willmott Dixon and
Construction Youth Trust staff to carry out improvement works at the community
centre. The SROI value of £1: £6.51 is based on investment of £5,000 from the
Willmott Dixon Foundation and Willmott Dixon staff time valued at £5,800.
Graham, Construction Youth Trust Head of Business Development, added: "Construction
Youth Trust conducts research in partnership so that we can evaluate the value
of our interventions; conduct research on behalf of industry; contribute to and
influence the policy debate; and develop and share best practice.
real value to communities and to our economy of industry and expert-led
community provision is more than simply financial – it is crucial we capture
and share the soft and hard outcomes to evidence change. I'm proud that
Construction Youth Trust has partnered to develop a methodology for the
construction Industry to achieve this."
a result of the project, Jemma Bridgeman has been employed as a Wales Project
Coordinator by Construction Youth Trust which has pledged to continue to work
with the construction industry to develop the SROI methodology further.