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Birmingham Post
Birmingham Post
Business
Lauren Phillips

Wales falling more than 20 years behind London in race for highly skilled jobs

Levelling up skills across Wales could take decades to catch up with London, the latest ONS data has revealed.

It found that it would take more than 20 years for adults in Wales to reach the same level of skills as those in London.

Almost three in five (59%) of workers in London are classed as highly-qualified (those who hold a qualification at NVQ level 4 or above, including degrees and higher-level technical qualifications), compared to just two in five (38%) in Wales.

According to Government data, there will be almost 200,000 more jobs requiring higher technical skills in the economy over the next five years.

However, workers in Wales have a quarter less (24%) higher level qualifications than workers in the south of England, and over a third fewer than Londoners (36%).

The findings suggest that workers outside of London could be at an increased disadvantage on the jobs market as higher technical qualifications become increasingly important to employers.

In Wales, the higher level skills gap is worsened by sectors of the economy facing major staffing woes, including those that need high level technical skills like engineering, professional services or IT.

Across the UK, Wales was the joint lowest-performing nation for skills alongside Northern Ireland.

However, the data showed that Wales will take almost double the time, at 21 years, to reach the same level of highly-skilled workers as London, compared to Northern Ireland which models suggest would take 12 years.

Global education technology company Emeritus, which carried out the analysis of the ONS data, is now calling for businesses to plug the gap in highly-skilled workers in Wales through investing in adult education and training for those already in work.

The company, along with IOD Wales and the CBI, want businesses to make use of the government funding that is already available to Welsh businesses, such as the Flexible Skills Programme, to retrain and upskill staff.

General manager of UK & Europe (Enterprise) at Emeritus, Anand Chopra-McGowan, said: "This data paints a worrying picture and should serve as a wake-up call to businesses and politicians. When businesses don’t invest in training up and developing the skills of their workforce, everybody loses out.

"Last month saw the first time since records began that there are more job vacancies than unemployed people in the UK. It’s clear that we’re reaching a dangerous cliff-edge but it doesn’t have to be this way. The Welsh Government is already investing in more training opportunities, giving businesses funding that can be used to upskill their staff.

"Adults in Wales have a golden opportunity to develop the high-level skills to thrive in their careers. If businesses across Wales do their bit, upskill a generation of their workforce, then Welsh workers and the Welsh economy will reap the benefits."

Ian Price, CBI Wales director, said: "Skills are key to growth and productivity and there is an urgent need for more skills investment in Wales if levelling up is to be successful.

"The good news for Wales is that there is a continuing strong demand for highly skilled graduates to drive the economy forward. But a question mark hangs over whether the education system is adequately preparing young people for the modern-day workplace."

He added: "Welsh businesses, in conjunction with Government, have a key role to play in meeting these demands. Investing in skills training both for young people and continuous learning for adult learners is now more important than ever."

Joanna Price, nations manage at the Institute of Directors Wales, said: "The link to increasing productivity in Wales is for businesses to focus on the gap in leadership skills. Good governance and business collaboration, together with government support on investment for businesses to access the right leadership training is needed. If we get this right, productivity and job creation will follow."

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