Wednesday 25 May 2016

LCCI says Mayor needs to grasp challenge of skills shortfalls

London Chamber of Commerce and Industry (LCCI) has urged new mayor Sadiq Khan and industry leaders to grasp the challenge presented by skills shortages in London.

It follows research that recruiters are struggling to meet rising demand, as firms compete for workers to keep housebuilding and infrastructure projects on track.

According the Recruitment and Employment Confederation (REC) those recruiting in London said wages were rising as a result.

Colin Stanbridge, Chief Executive, London Chamber of Commerce and Industry said: "More statistics highlighting skills shortages in the construction industry are nothing new; two years ago, London Chamber of Commerce and Industry, in partnership with KPMG, found that the construction sector was facing a major skills crisis.

"In 2014, our Skills to Build report concluded that, despite demand having driven the strongest pipeline of construction and infrastructure projects in the UK for decades, in London the industry was being held back by a 20% shortfall amongst skilled workers.

"Today, skills shortages across the sector have reached boiling point with 69% of recruitment agencies reporting the shortages of labourers and other tradesmen as one of the top two risks to their business.

"And building firms are not alone in their plight.

"Skills shortages have long plagued the manufacturing and engineering industries, digital and technology businesses are struggling to locate new workers with the specialist experience they need, and small businesses across the board are falling behind in the skills race.

"To safeguard London's economy against skills shortfalls, the new Mayor of London along with industry, must grasp the challenge. This means equipping much-needed skills in the next generation through honest, unbiased careers advice - with adequate, targeted funding.

"Whilst bricklayers enjoy their newly found earning potential, businesses are only finding it harder to hire the additional staff they so desperately need."

ENDS

Media contact
Katharine McGee
T: +44 (0)20 7203 1897
M: +44 (0)7827 241528
E: kmcgee@londonchamber.co.uk

NOTES TO EDITOR
1. LCCI is the capital's most representative business organisation with members ranging in size from multi-national companies to SMEs through to sole traders.
2. LCCI Chief Executive, Colin Stanbridge, is available for further comment and interview.
3. 'Skills to Build' can be found here