Blackfriar: '˜Unprecedented' skills gap that could damage economy

Each of them could potentially find a job in the North of England’s software sector.

Blackfriar became aware of the true scale of the opportunities in the North’s tech sector when he chatted to Hugh Campbell, the Manchester-based founder and managing partner of GP Bullhound, the technology investment bank.

According to Mr Campbell, around 50,000 software development jobs are waiting to be filled across the North. He believes Northern technology firms must work harder to ensure local graduates fill these roles.

The well-travelled Mr Campbell told Blackfriar: “One of the things I would like to see is the local tech companies feeling a responsibility to pass on their learnings to the next generation.”

His comments also highlight wider concerns about the need to provide a skilled workforce for the sectors experiencing growth.

A new report from the UK Commission for Employment and Skills makes grim reading for everyone who is worried about the skills gap.

The study found that firms are facing an “unprecedented” shortage of skilled workers. Thousands of vacancies could remain unfilled because companies can’t find the right staff.

This is terrible news for the UK’s economy, at a time when we are facing intense competition from emerging markets.

The number of posts left unfilled across the UK has increased by 130 per cent since 2011, according to the commission. An acute shortage of skilled workers has been reported in sectors such as electricity, gas, water and construction.

Douglas McCormick, one of the group’s commissioners, said: “The UK has witnessed exceptionally strong job creation in the past few years, creating jobs at a faster rate than any other EU country.

“However, this growth has been accompanied by stalling productivity levels. Evidence from the survey suggests that developing the skills of the existing workforce to take advantage of new technology and digitisation will be critical if the UK is to finally close the productivity gap.”

So what’s the solution? Steve Hill, the director of external engagement at The Open University, believes businesses and universities must consider new ways of ensuring that the workforce has the training to ensure economic growth.

Mr Hill said: “The UK is a highly-skilled economy but the pace of technological and economic change means that there is a growing need for up-skilling and retraining current employees.

“Both business leaders and universities should consider the multiplicity of learning options they can employ to keep pace with these changes.

“Part-time learning remains an under exploited strategy for up-skilling and re-skilling the UK’s current workforce, which has the potential to provide tremendous value.

“Investing in learning drives productivity and growth while contributing to the retention of businesses’ most valuable assets – their staff.”

Whenever Blackfriar speaks to business leaders, he hears a familiar refrain: We want to grow but we are struggling to find the right staff.

Something has gone badly wrong.

To Blackfriar, part of the answer can be found in the classroom.

Schools need to forge closer links with business. Careers advice must also be informed by industry, or at the very least, somebody with a firm understanding of the sectors that are set to enjoy rapid growth.

Without this input, teenagers could be channelled into careers that don’t allow them to achieve their potential, and don’t serve the greater economic good.

Training must be seen as a life-long process for every worker.

But, as Mr Campbell observed, Yorkshire’s firms must also be willing to pass on the fruits of their experience to the leaders of the future.