London Daily

Focus on the big picture.
Sunday, Nov 09, 2025

UK employers feel the strain of missing skilled workers

UK employers feel the strain of missing skilled workers

Frustrated with England's education system, Simon Biltcliffe spends a lot of time training new hires at his marketing firm in the "soft skills" he and many employers say the country's sluggish economy badly needs.

Finding that new starters often struggle to think on their feet, he sets them workplace challenges to learn to solve problems at pace and in teams. Many don't adapt, leading to high attrition after three- and six-month reviews.

Across Britain, Biltcliffe's frustrations are shared by businesses who say the nation's schools, technical colleges and apprentice schemes are not turning out the workers they need, from software coders and designers to skilled machinists.

"There needs to be a step change," Biltcliffe said, speaking at the offices of Webmart - which advises clients on the carbon footprint of their marketing operations - in an industrial estate in Barnsley, a former coal town in northern England. Neighbouring businesses include an IT security firm and other companies far removed from the region's mining past.

Biltcliffe described the education system as "not fit for purpose" in a changing economy where the growth of automation and artificial intelligence will make creative skills and adaptability all the more important.

While Britain boasts world-leading universities, top scientists and a growing share of young people who continue academic studies after 18, less than a fifth of 25-64 year-olds have a vocational qualification, compared with more than half in Germany, according to the Organisation for Economic Co-operation and Development.


Finance minister Jeremy Hunt is expected to address this skills shortage in a budget statement on Wednesday that he will frame as a growth plan for Britain's economy - still the only one in the Group of Seven yet to recover its pre-coronavirus pandemic size.

But past attempts to train up more workers have seen the problem get worse by some measures, and any big improvement to the post-16 skills system is likely to take years.

The shortage of qualified workers is not unique to Britain but it has been exacerbated by the country's exit from the European Union, which has created more paperwork and cost for employers hiring workers from the bloc. That has contributed to a surge in unfilled vacancies to record levels last year.

Digital roles are growing four times faster than the workforce as a whole, and there are an average of 173,000 vacancies per month for digital occupations, costing the economy tens of billions of pounds each year, according to the government.

Biltcliffe and other employers argue that changes need to be made not only in post-school training, but in schools themselves, which they and some educational campaigners criticise for increasingly promoting memorisation for tests at the expense of creative thinking and practical learning.

The Edge Foundation, which seeks to improve ties between education and employers, says time for subjects such as computing and practical science work has been squeezed over the past decade, and that 71% fewer pupils studied design and technology courses to exam level in 2022 than in 2010.

Subjects that have seen big increases over the past decade included geography and history.

Despite the focus on exams, around 100,000 people leave school every year without required standards in English and maths and Britain has one of the highest rates of young people not in education, employment or training among the world's leading economies.


"We don't do nearly as well for the 50% of school leavers who do not go to university as we do for those who do," Hunt said in January.

In response to a question from Reuters about the Edge Foundation data, the education ministry said every state-funded school was "required to teach a broad and balanced curriculum."


TRAINING REVAMP


Without a rapid overhaul of the training system, Britain's pool of highly skilled adults is likely to shrink further relative to other countries, the OECD has warned.

Employers groups are calling on Hunt to tackle a key part of how training is funded in his budget speech.

Since 2017, firms with an annual pay bill of more than 3 million pounds have been required to pay an Apprenticeship Levy - a tax placed in a fund the companies can draw on for training.

Employers say they often cannot find suitable training courses, and over 2 billion pounds of unused funds raised have gone to government coffers.

A House of Commons Library report said in January that the government acknowledged the number of apprenticeships had fallen since the levy was introduced, but argued that the quality of apprenticeships had improved.

The Confederation of British Industry, a business lobby group, wants Hunt to allow firms to invest the money in a wider range of training, not just apprenticeships, citing its own research predicting nine out of 10 British workers will need to retrain by 2030 to adapt to changes in the economy.

The Treasury said on Saturday that Hunt will announce training for older people returning to work that would be more flexible and shorter than other programmes, alongside the expansion of a scheme for reskilling in industries such as construction and technology.

Corporate leaders acknowledge employers also need to do more themselves, and prioritize training even in lean times.

"Training is the first thing that goes when the budget is squeezed," Robert West, head of education and skills at the CBI, said.


BRIGHT SPOTS


At Webmart - with 43 staff and annual sales of about 20 million pounds - Biltcliffe says getting new hires up to speed in how to engage with clients or meet deadlines acts as a brake at a time when demands are getting ever more immediate.

"You're slowing down really quite a lot to go at the pace of the education system," he said of his company, which began as a print management firm in 1996.

Olly Newton, executive director of the Edge Foundation, says there are bright spots, including schools trying out new ideas.

"I think there's a real head of steam to do something different," Newton said.

One such school is the publicly funded XP in Doncaster, 20 miles from Barnsley.

Children joining XP at age 11 immediately go on a trip to the mountains of England or Wales to learn to cope with new challenges and the importance of teamwork.

Inspired by project-based learning schools in the United States, XP sends students out of classrooms to dig into issues such as migration or the impact of the closure of the local mining industry, requiring them to engage with adults and understand the world around them.

"Our students are more reflective than a lot of adults," Claira Salter, XP's principal, said. "Our students can walk into any interview with confidence and talk about themselves."

By the time they leave XP at 16, all pupils have experience of speaking to groups of 250 people about their work.

Last year, all 50 students who graduated from XP stayed in education or went into employment or training while Doncaster's not in education, employment or training rate for 16-17 year-olds stood at nearly 5% in early 2022.

"We're interested really in things that go on beyond normal school life and equipping kids for their future," Salter said.

Newsletter

Related Articles

0:00
0:00
Close
Tom Cruise Arrives by Helicopter at UK Scientology Fundraiser Amid Local Protests
Prince Andrew and Sarah Ferguson Face Fresh UK Probes Amid Royal Fallout
Mothers Link Teen Suicides to AI Chatbots in Growing Legal Battle
UK Government to Mirror Denmark’s Tough Immigration Framework in Major Policy Shift
UK Government Turns to Denmark-Style Immigration Reforms to Overhaul Border Rules
UK Chancellor Warned Against Cutting Insulation Funding as Budget Looms
UK Tenant Complaints Hit Record Levels as Rental Sector Faces Mounting Pressure
Apple to Pay Google About One Billion Dollars Annually for Gemini AI to Power Next-Generation Siri
UK Signals Major Shift as Nuclear Arms Race Looms
BBC’s « Celebrity Traitors UK » Finale Breaks Records with 11.1 Million Viewers
UK Spy Case Collapse Highlights Implications for UK-Taiwan Strategic Alignment
On the Road to the Oscars? Meghan Markle to Star in a New Film
A Vote Worth a Trillion Dollars: Elon Musk’s Defining Day
AI Researchers Claim Human-Level General Intelligence Is Already Here
President Donald Trump Challenges Nigeria with Military Options Over Alleged Christian Killings
Nancy Pelosi Finally Announces She Will Not Seek Re-Election, Signalling End of Long Congressional Career
UK Pre-Budget Blues and Rate-Cut Concerns Pile Pressure on Pound
ITV Warns of Nine-Per-Cent Drop in Q4 Advertising Revenue Amid Budget Uncertainty
National Grid Posts Slightly Stronger-Than-Expected Half-Year Profit as Regulatory Investments Drive Growth
UK Business Lobby Urges Reeves to Break Tax Pledges and Build Fiscal Headroom
UK to Launch Consultation on Stablecoin Regulation on November 10
UK Savers Rush to Withdraw Pension Cash Ahead of Budget Amid Tax-Change Fears
Massive Spoilers Emerge from MAFS UK 2025: Couple Swaps, Dating App Leaks and Reunion Bombshells
Kurdish-led Crime Network Operates UK Mini-Marts to Exploit Migrants and Sell Illicit Goods
UK Income Tax Hike Could Trigger £1 Billion Cut to Scotland’s Budget, Warns Finance Secretary
Tommy Robinson Acquitted of Terror-related Charge After Phone PIN Dispute
Boris Johnson Condemns Western Support for Hamas at Jewish Community Conference
HII Welcomes UK’s Westley Group to Strengthen AUKUS Submarine Supply Chain
Tragedy in Serbia: Coach Mladen Žižović Collapses During Match and Dies at 44
Diplo Says He Dated Katy Perry — and Justin Trudeau
Dick Cheney, Former U.S. Vice President, Dies at 84
Trump Calls Title Removal of Andrew ‘Tragic Situation’ Amid Royal Fallout
UK Bonds Rally as Chancellor Reeves Briefs Markets Ahead of November Budget
UK Report Backs Generational Smoking Ban Ahead of Tobacco & Vapes Bill Review
UK’s Domino’s Pizza Group Reports Modest Like-for-Like Sales Growth in Q3
UK Supplies Additional Storm Shadow Missiles to Ukraine as Trump Alleges Russian Underground Nuclear Tests
High-Profile Broodmare Puca Sells for Five Million Dollars at Fasig-Tipton ‘Night of the Stars’
Wilt Chamberlain’s One-of-a-Kind ‘Searcher 1’ Supercar Heads to Auction
Erling Haaland’s Remarkable Run: 13 Premier League Goals in 10 Matches and Eyes on History
UK Labour Peer Warns of Emerging ‘Constituency for Hating Jews’ in Britain
UK Home Secretary Admits Loss of Border Control, Warns Public Trust at Risk
President Trump Expresses Sympathy for UK Royal Family After Title Stripping of Prince Andrew
Former Prince Andrew to Lose His Last Military Title as King Charles Moves to End His Public Role
King Charles Relocates Andrew to Sandringham Estate and Strips Titles Amid Epstein Fallout
Two Arrested After Mass Stabbing on UK Train Leaves Ten Hospitalised
Glamour UK Says ‘Stay Mad Jo x’ After Really Big Rowling Backlash
Former Prince Prince Andrew Faces Possible U.S. Congressional Appearance Over Jeffrey Epstein Inquiry
UK Faces £20 Billion Productivity Shortfall as Brexit’s Impact Deepens
UK Chancellor Rachel Reeves Eyes New Council-Tax Bands for High-Value Homes
UK Braces for Major Storm with Snow, Heavy Rain and Winds as High as 769 Miles Wide
×