A CBI/TCS report has highlighted the UK’s rapidly accelerating digital talent gap and claims that the country is missing out on £63 billion a year as companies struggle to find people with digital skills.
The report, entitled report “Delivering Skills for the New Economy” warns that the skills gap could jeopardise the country’s competitiveness, deter investment and limit people’s ability to access the jobs and services that technology offers.
CBI/TCS, which surveyed 250 businesses, found:
- More than two thirds (67 percent) of companies across the UK have unfilled digital vacancies
- About a third (31 percent) are confident UK businesses will be able to access the digital skills they need in the next three to five years
- More than 60 per cent of larger firms surveyed said their digital skills needs are set to skyrocket over the next three to five years. While smaller businesses’ (69 percent) needs are likely to peak over the next year or two.
Most companies surveyed are taking action to tackle their digital skills shortages with 56 per cent of businesses confident they are spending enough on addressing their digital skills needs right now. But, almost half of businesses (46 per cent) are fishing in the same pool, by trying to hire outside of their organisation as the main way to access the digital skills they need.
Matthew Fell, CBI Chief UK Policy Director, said: “Technology is changing the way we live and work, creating millions of jobs and adding £184 billion to the UK economy. Yet this new data reveals most firms are struggling to fill digital roles across all sectors and skills levels – with demand set to skyrocket in the next few years.
“Digital skills are absolutely fundamental to getting people ready for the future of work and helping companies make the most of the opportunities technology brings. It’s essential we tackle the UK’s digital skills crunch now to remain internationally competitive, and promote the UK as the number one place for businesses to invest.”
“Ensuring people have basic digital skills will transform lives, open up job opportunities and help people across society access public services online. It’s important that no-one is left behind as our workplaces change and that everyone has the skills to benefit from the new economy”, he added.
What’s clear is that companies are struggling to hire people with basic or advanced digital skills. Currently, one in five firms are still unable to find employees with basic digital skills – such as writing documents using a word processor or using spreadsheets effectively.
And advanced digital skills are increasing in demand across all sectors. 55 percent of larger firms are reporting challenges in recruiting software engineers and 61 percent are struggling to hire data analysts.
Shankar Narayanan, VP and Head – UK and Ireland, Tata Consultancy Services, said: “In today’s digital economy, there are two key focuses for sustainable talent development: encouraging students to understand what it takes to pursue a successful career in technology and giving employees the best possible training opportunities.
“TCS is focused on developing STEM skills in communities all around the UK. Our skills programmes like Digital Explorers, which help children connect day-to-day interactions with consumer technology to the IT tools and skills which power them, are helping to grow the UK’s digital talent pool.”
