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Britain’s Skills Shortage – A Crisis Waiting to Happen?

Posted by David Mowat, MP for Warrington South, at 15:53, Thu 2 September 2010:

As an Engineering graduate myself and one of an alarmingly small number of MPs with a Scientific or Engineering background, I am always keen to do what I can to promote the cause.

Consider this: The Office for Budget Responsibility (the new independent forecasting body) recently announced that as a result of the budget measures that have so far been announced, the Public Sector in the North West will shed some 70,000 jobs, but that the Private Sector in the region will create 200,000 new jobs, by 2015.

To put that into context, that means in the next 5 years, all 75 parliamentary constituencies in the North West must create 2,667 jobs each. If we are to do that at the same time as rebalancing our economy away from financial services, we will need more engineers. There are a number of industries in which the North West excels: Defence, Advanced Manufacturing and Nuclear to name but a few. These are the industries that need to drive future economic growth, but we are poorly placed to take advantage of that growth.

25 years ago, Britain produced some 20,000 engineering graduates every year. That figure has barely risen in a quarter of a century, yet the number of people who attend university has increased five-fold since then. Successive governments (of both colours) have failed to address this imbalance.

Why does this matter? Because if big industrial powerhouses like BAE systems or AstraZeneca are to grow in the next 5 years, the extra jobs they create could be taken by people from other parts of the country, or abroad and not by people from the North West.

This is already happening. Oil giant Shell has to recruit its engineers from Russia and when the National Grid needed to make changes to our transmission and power engineering systems across the grid recently, they had to go hunting for their engineers in – wait for it – Zimbabwe! France and Germany already produce 50% more engineers per year than we do. In India and China it is many times more.

Creating jobs can only help the North West and Warrington if those jobs are taken up by people from the region. The government needs to act swiftly to address this skills shortage in order to prevent a “lost generation” of graduates, with good academic qualifications, but without the necessary skills needed to succeed.

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