Almost 80% of building firms had problems recruiting staff during 2006, according to the Chartered Institute of Building's (CIOB) annual skills shortage survey.

The survey found that 72% of respondents expected that demand for construction would increase over the coming year and that they would not be able to recruit enough skilled workers to meet it. About 68% felt that the existing workforce was not sufficiently skilled.

Recruitment difficulties were reported at all levels in the industry but the greatest problems were reported at both management and at craft/trade levels.

Michael Brown,  CIOB deputy chief executive, says: "A combination of small numbers leaving university (having studied related subjects) and a buoyant global construction industry have both been factors in the skills shortages we now see. We believe that the recruitment of non-cognate graduates is fundamental to plugging the gap and growing the industry. If we also exploit young people's potential by giving them meaningful responsibility in their careers this would aid both retention and development.”

The survey found that 91% of respondents felt that the numbers of migrant workers in the industry had increased during 2006, and that the bulk of these workers came from Eastern Europe.

The results suggest that migrant workers might not be plugging the skills gap in the area that needs them the most. Migrant workers were reported to be most commonly found among labourers where recruitment appears to be less of an issue; and were perceived as very rare among senior management where recruitment is seen as very difficult.