The sector skills grant for apprentices is to rise by £1,400 under proposals from training body CITB-ConstructionSkills.

In the year starting 1 August, payment for achieving NVQ level 2 will rise from £350 to £500; for NVQ Level 3 it will rise from £450 to £700; and grants for successful completion of the Apprentice Framework and Advanced Apprentice Framework, it will rise by £500 each, to £1,750 and £2,250 respectively. Over three years, this is a 17.5% increase, from £8,000 to £9,400.

Grants for undergraduates doing planned work experience, paid straight to the company, will rise from £100 a day to £185, and lump-sum payments from £5,000 to £8,750. The daily rate under a training plan will rise 25% from £20 to £25 per day. Along with the 25% extra for paying the levy on time, companies can now receive £31.25 a day for filing a training plan.

The news came as figures showed that 59% of construction employers said cost was the biggest barrier to training their workforce. Although 65% said it was the responsibility of the company to train staff, only 45% said they were prepared to invest in it.