Failure to invest in staff training will cost the UK economy £42 billion a year

A lack of investment in upskilling workers for the future of work is estimated to cost the UK economy £42.1 billion a year, according to an independent study commissioned by Capita Learning.

The study by Norstat, Europe’s largest independent research firm, found that less than a third (31%) of companies believe their employees are being supported with the reskilling needed to meet the demands of their roles driven by technology, including artificial technology, intelligence, robotics, internet of things, 3D printing and quantum computing will be disrupted.

commenting on the results, Costi Karayannis, Managing Director, Education & Learning at Capitasaid: “The pace of change is faster than ever – and employees risk being left behind if they are not supported by employers to not only survive but thrive in the workplace of the future.

“What this study shows us is that many employers are woefully unprepared and there are legitimate concerns that large sections of the UK workforce will be left behind in the coming revolution.”

The Capita Learning study surveyed HR decision makers in 1,000 UK companies and separately interviewed 1,500 employees to gather their insights into current and future learning and development needs.

The study found that a lack of learning and development opportunities could stifle growth by up to 14%. Based on the UK’s current annual GDP, this represents an estimated £42.1 billion in lost growth opportunities as a direct result of these deficiencies.

The study showed that less than a fifth (17%) of companies are already fully implementing technologies related to the fourth industrial revolution, while only 36% are implementing them in some form.

Only a third of employees (33%) believe they have all the skills needed to excel in their role, with 28% of HR decision makers accepting a lack of a “learning culture” within the organization .

Karyannis added: “The Confederation of British Industry has highlighted how UK employers are under-investing in relevant technology and calculated our current productivity challenge. Our study revealed a significant lack of corporate acceptance and awareness.

“Only when companies take learning and development seriously and offer skills relevant to the workplace of the future will companies be able to increase productivity not only for themselves but for the economy as a whole.”