Skilled worker shortages holding back Yorkshire's net zero ambitions, MPs warned

Shortages of skilled workers are hampering Yorkshire businesses and will hold back the region’s ambitions to play a leading role in the UK’s net-zero revolution, cross–party MPs have been warned.

Concerns about the issue were raised as dozens of Yorkshire business leaders attended a Parliamentary reception hosted by the CBI and Barclays in London on Tuesday and involving a panel event with regional MPs.

The event heard that recent research by CBI Economics had identified Yorkshire as a ‘hotspot’ for net zero jobs through plans such as the Humber Zero scheme to rollout projects such as carbon capture and storage pipeline infrastructure to reduce emissions.

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But Paul Fursey, general manager of the Phillips 66 Humber Refinery which is part of the Humber Zero plans, said he was concerned how net zero projects could be delivered across the wider region.

The panel of MPs at the CBI and Barclays event included Hilary Benn, Olivia Blake and Andrew Jones.The panel of MPs at the CBI and Barclays event included Hilary Benn, Olivia Blake and Andrew Jones.
The panel of MPs at the CBI and Barclays event included Hilary Benn, Olivia Blake and Andrew Jones.

He told the panel: “You talk about net zero, carbon capture storage and green hydrogen projects and green jobs and skills and opportunities. Where are the people going to come from that are going to build these? There are more scaffolders retiring than there are young people becoming scaffolders. It is not just about university jobs.”

In October, the CBI reported three-quarters of UK firms had been hit by labour shortages in the past 12 months, with 46 per cent of them unable to meet output demands as a result.

Hilary Benn, Labour MP for Leeds Central, said an increase in visas to foreign workers may be required.

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He said: “We are short of labour. We are short of scaffolders, we are short of nurses, we are short of people to pick and process fruit and vegetables. It is up to us to decide how many visas and permits are going to get issued.

“You have to do everything you can to encourage people to take up the job opportunities.

“But if you are still short and if there are people willing to come to the country to give their skills, we ought to have that conversation.”

Andrew Jones, Conservative MP for Harrogate and Knaresborough, said labour shortages were “the main issue that is raised with me with businesses I speak to in my constituency”.

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He said in addition to the introduction of a skills or points-based immigration system, more needs to be done to train British workers with relevant skills.

“I think part of this has to be making work pay and encouraging more people into the workforce in the United Kingdom,” he said.

“We have had a tendency to look elsewhere. We had 400,000 people come here last year - that is nearly a new Leeds every year.

“We need productivity - working smarter not harder so we get more output from the same number of people. This is about transition. Those who have been employed in industries in the past will have to have a very high-intensity programme to retrain for the skills of the future.”

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Labour MP for Sheffield Hallam Olivia Blake said one policy change she wants to see is skilled refugees being allowed to work while they await the outcome of asylum applications. “So many refugees are engineers and it seems so ridiculous they are barred from working. That is a cross-party issue I have been working with colleagues on because we have engineers sat at home not being able to help and give back. It just feels very wrong.”

Speaking after the event, Mr Fursey told The Yorkshire Post more needs to be done to promote the benefits of well-paid jobs such as being a scaffolder.

“This isn’t just a challenge for us, this is a challenge for UK PLC. Nobody is telling children and young adults to go into these industries. There are not enough people to deliver all these projects at the same time. As Hilary Benn said, we are going to have to provide visas to get that labour in.”

Apprenticeship Levy reform: Page 21