Brexit starts to bite on skilled staff
North East firms are struggling to recruit skilled staff and a quarter have seen increased staff turnover since the Brexit vote, says Lloyds Banking Group.
Lloyds and London business membership organisation London First surveyed businesses nationwide on the impact of Brexit on business recruitment and access to skills across the UK.
The skills shortage is proving to be an issue for regional businesses, with 37% saying it had impacted their activity.
Almost half said it had affected their revenue growth and business expansion, and 38% said it had made it harder to respond to customer needs.
But the region still recorded the lowest percentage of firms experiencing recruitment challenges in the UK, with three-quarters of those surveyed in London saying they had experienced problems.
The biggest skills gap was for technical and job-specific skills, management skills and foreign languages, closely followed by project management and problem-solving skills.
Many thought these gaps would persist over the next 18 months, reflecting the UK’s long-term challenge in tackling its skills shortages.
Nick Williams, Lloyds Banking Group ambassador for the north, said: “Access to the right skills, be it literacy, digital or practical, is absolutely crucial for businesses.
“Both private and publicsector organisations have a role to play in nurturing the next generation of talent and working together we can develop the skills the region needs.”