Local skills deficits and spare capacity
This report commissioned by the LGA estimates that not meeting the skills needs of employers could lead to a potential loss of £120 billion in economic output by the end of the decade.
The research for the LGA by the Learning and Work Institute (L&W) also reveals that by 2030 there could be:
- 5.1 million low-skilled people chasing 2 million low-skilled jobs – a surplus of 3.1 million low-skilled workers;
- 12.7 million people with intermediate skills chasing 9.5 million jobs – a surplus of 3.1 million people;
- 17.4 million high-skilled jobs with only 14.8 million high-skilled workers – a deficit of 2.5 million.
Stephen Evans, Chief Executive of Learning and Work Institute, said:
“Improving skills is central to making the 2020s a decade of growth.
“Other countries have continued to invest in skills, while progress in England has stalled over the last decade, the result of large cuts in England’s adult education budget which has left us lagging behind other countries and the number of adults improving their skills at a record low.
“We now need a decade of investment, in order to boost life chances, economic prosperity and to level up the country. That investment needs to be delivered through a partnership between national and local government, employers and trade unions. The cost of inaction is large and growing: it is time for action and investment in lifelong learning.”