In the recent ‘Mini Budget’, the Government set out its ambition to achieve an economic growth rate of 2.5 per cent, through “a concentrated effort, using every tool at government’s disposal”. While this is a desirable aspiration, the Mini Budget appears to have overlooked a significant piece of the puzzle: ensuring that we have workers with the right skills in the right places at the right times.
It is well documented that many sectors and places are currently struggling with skills shortages. At the same time, the amount spent by employers on training their employees has fallen 28 per cent in real terms since 2005, from £2,139 to £1,530 per year (less than half of the EU average). Even before the COVID-19 pandemic, 39 per cent of employers had provided no training to their staff in the previous 12 months.
