Britain warned by industry leaders of job losses over skill levels

Industry leaders warning graduates that new jobs will go to other countries if there is a lack of skilled workers in Britain.

The University and College Union (UCU) has urged the government to invest more in higher education to provide jobs growth and help get the country out of a double dip recession.

There is a danger that unless the UK produces more highly-skilled workers then there is a risk many of the jobs available to graduates will be given to workers from abroad. The UCU is also concerned about the amount of applicants to university having decreased by 7.7%.

A recent study by the Institute for Public Policy Research (IPPR) found that the cost to the government of someone studying three A levels and a degree is £25,000, but the over the course of their life that graduate will pay back on average £227,000 to the Exchequer. The increase of tuition fees for university and the scrapping of Education Maintenance Allowance means’ many students are put off higher education or find it difficult to attend.

The UCU pointed out that to provide the best graduates, the government needs to step up their investment into education. Currently the UK invests just 1.7% of public expenditure on tertiary education, compared to 2.3% in France, 2.8% in Germany and 3.2% in the USA.

The UCU general secretary Sally Hunt said: "With 80% of new jobs by 2020 likely to be professional or technical, the UK must invest now in the next generation or risk losing out in the race for economic growth.

"This research highlights the folly of reducing public investment in our colleges and universities.

"Instead of cutting places and making it more expensive to study, ministers need a strategy which harnesses further and higher education to provide a window of opportunity for the next generation."

Source: Pareto.co.uk, Saturday 23rd June 2012