The construction industry could be given a much-needed boost and Britain's poor education standards tackled if government ministers work to get the school rebuilding programme back on track, the Confederation of British Industry (CBI) has announced.

The business group says that ongoing delays to the Building Schools for the Future (BSF) programme are inflicting both short and long-term damage to the economy. It says ministers need to demonstrate they are determined to deliver their £45 billion plan to rebuild every secondary school in England, which is already considerably behind schedule.

The CBI believes many local authorities are unsure about BSF and that there has been inadequate leadership of the programme.

This, it says, is damaging pupils' education as BSF is intended to provide much-needed improvements such as modern science laboratories and high-quality sports facilities, as well as better-designed corridors and lavatories that can help cut bullying.

The CBI has voiced concerns about basic skills levels in the UK, with only 45% of young people leaving school with a C grade or above in English and maths at GCSE level. It is also concerned that only around three per cent of pupils go on to study chemistry and physics at A-level. The CBI believes BSF could boost education standards and improve pupils' success in the world of work.

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It also warns that delays to BSF are adding to the problems faced by the construction sector as the economy hits a downturn, as well as compounding the long-term economic impact of low educational attainment levels.

In a new report, More than bricks and mortar, the CBI expresses support for the aims of BSF, but warns that the programme's original goal of transforming education must not be lost.

The report says the government's target of having 100 BSF schools open by the end of the financial year 2008-09 looks highly unlikely to be met, with only 13 schools having opened so far.

Susan Anderson, CBI Director of Public Services, said: "Moving BSF forward is essential as it will deliver real benefits in improving education standards and also help our construction industry weather current economic conditions.

"We need to see a real drive from the government and an end to avoidable delays in the procurement process. BSF is well behind schedule but much faster progress could be made with the right political leadership. The money is already available - but we need to see action.

"It is no wonder that doubts are being expressed about the long-term future of BSF when it has been so slow at delivering thus far. But if ministers want to secure the programme's long term viability - regardless of whether or not they are in their job after the next election - then they have one last chance to show their political will.

"The fact that accelerating the programme will also bring economic benefits at a time of considerable uncertainty ought to help concentrate their minds."

(CD/JM)