Professional Services' skills gap widens

According to the Association of Professional Staffing Companies (APSCo) skill shortages in professional services continue to “pose a clear risk to UK prosperity.”

With overall employment levels nudging record highs UK professional recruitment firms had 4% more vacancies on their books in December 2015 than the same period the previous year. Conversely, vacancies in engineering and IT dipped by 14% and four per cent respectively in December 2015, compared to the same month in 2014.  

APSCo’s figures also reveal that median salaries across professional services continue to climb steadily, increasing by 5.5% year-on-year but with huge disparities between sectors. Banking for example posted a rise of 10.4% which is close to the 11% salary uplift we noted in the legal sector over the last 12 months. The ONS recently which found that average earnings in the UK grew at an annual rate of 1.9% in the three months to November 2015.

Ann Swain, Chief Executive of APSCo commented

“Despite reports that the UK faces a 'cocktail of threats' in 2016, Ernst & Young's Item Club has forecast that Britain's economy will grow 2.6% this year, and our members are confident that, against this backdrop, overall hiring levels will continue on their upward trajectory. UK unemployment is currently at a 10-year low and I firmly share the opinion of PwC’s chief economist, John Hawksworth, who recently went on record to say that the UK economy continues to be a remarkable job-creating machine.”

“At a time when the UK is suffering from highly publicised skill shortages across sectors as diverse as construction, education and healthcare it is no wonder that professional salaries continue to climb. The war for talent is raging as organisations scramble to get their hands on the best people to facilitate future growth and productivity.”