Local skills shortages could last longer just as demand increases and dedicated European funding ends, the LGA has warned.
A survey of its member councils revealed demand is increasing for skills in new industries such as renewables, green technology, digital and cyber, while firms are struggling to fill essential roles such as hospitality, care work and logistics.
The number of people who are economically inactive or not in employment, education or training is also on the rise in many areas, according to the survey, partly because of post-pandemic health issues, and a lack of career options and apprenticeships.
The LGA also highlighted concerns about an average seven-month gap between the imminent ending of the European Social Fund – a key source of investment into skills training and jobs creation, which must be spent by the end of this year – and its replacement, the UK Shared Prosperity Fund, the employment and skills element of which, for most areas, is due to start in 2024.
Mayor Marvin Rees, Chair of the LGA’s City Regions Board, said: “Our survey reveals councils’ deep concerns about being able to meet demand and plug urgent skills gaps, whether it be for growing green jobs to meet net zero targets, or for filling essential vacancies in our health and care workforce.
“The Government needs to match this urgency by giving councils and combined authorities the vital, long-term and consistent funding they need, on time, to encourage people back into the workforce, match jobseekers with employers and safeguard the future of our local economies.”