New initiatives launched to boost the UK STEM talent pipeline
When recently asked for their perceived reasons behind current skills shortage, STEM professionals universally cited a lack of a joined-up approach between the education system and employers as the key contributory cause.
…cited the lack of a joined up approach between the education system and employers for the UK skills shortage
Key cited reason for the UK skills shortage
Source: Matchtech 2023 Candidate Survey
As evidenced in our last quarterly report, UK STEM graduate outputs have largely flatlined whist Engineering and Technology apprenticeship achievements continue to decline.
In support of bolstering collaboration between employers and education and training facilitators, several recent initiatives of note have been launched seeking to address some of these key challenges within Engineering.
In April 2024, the Royal Academy of Engineering kicked off its Engineers 2030 initiative 1 – an industry-wide call for significant changes to drive the future of this profession. The initiative will seek to:
- Determine the foundational knowledge, skills and behaviours engineers and technicians need to tackle 21st-century global challenges.
- Understand the systems, cultures, and policies currently in place in the UK to deliver this.
- Define the principles for how education and skills systems need to change to be effective in developing engineering skills to meet global challenges.
1. The Royal Academy of Engineering - Engineers 2030: https://raeng.org.uk/events/2024/march/engineers-2030-rethinking-engineering-and-technology-skills-for-the-21st-century
In addition to Engineering 2030, the academy further unveiled two resources to bolster its initiatives. Firstly, a ‘reimagined degree map’ has been collaboratively crafted by the academy and Engineers Without Borders UK, aiming to redefine engineering education.
And secondly, the academy has partnered with the Engineering Professions Council and Siemens to develop a sustainability toolkit. The academy notes that “this toolkit will equip academics with the necessary resources to seamlessly integrate sustainability principles into their teaching methodologies, ensuring that future engineers are well-prepared to address the complex challenges of tomorrow.”
Additionally, the UK government recently announced that it will invest £60m to enable up to 20,000 additional apprenticeships in England 2. Key changes, from 1 April 2024, include:
- The removal of all costs associated with SMEs’ utilisation of apprenticeships for those aged up to the age of 21.
- Increasing the proportion of large company unused Apprenticeship Levy funds that can now be transferred to other businesses, including SMEs (from 25% to 50%).
In terms of recent SME participation trends within apprenticeship initiatives, it is notable that the number of all-occupation apprenticeship starts in small businesses has plummeted since the introduction of the Apprenticeship Levy in 2017, with 107,410 apprenticeship starts in SMEs in England in the last complete academic year (2022/23), compared to 241,000 in 2016/17 - a fall of 55%.3 And in terms of achievements from 2018/19 onwards, numbers can be seen to have similarly declined, to 51,340 in 2022/23 (a reduction of 59% from 125,900 in 2018/19).
SME (non-ASA Levy funded) apprenticeship starts: total
While the government's initiative is a positive step, it may not be enough to fully address the significant decline in SME apprenticeship adoption.
Of the 45,090 all-subject apprenticeship achievements in 2021/22, the number across the two core STEM occupational groups numbered 11,800 – 26% of the total achievements amongst SMEs that year: 4
- Engineering & Manu Tech: 9,490 achievements in 2021/22
- IT & Communication: 2,310
SME (non-ASA Levy funded) apprenticeship achievements: total
Key takeaways and recommendations:
With the UK education system continuing to output insufficient numbers of entry-level talent within STEM occupations, a growing number of collaborative initiatives are being put into place to try and address the systemic issue. With the government largely relying on employers self-funding this change, however, an increasing number of collaborations are focusing on delivering against individual company needs.
One such example is a new initiative being launched by Matchtech and one of its key Defence clients – the LEAP Programme initiative. The LEAP Programme is a structured, 2-year applied training and development programme for individuals with an engineering background, offering a transformative opportunity to transition into the dynamic field of systems engineering.
Collaborative programmes such as these – bespoke to the employing organisation, helping them to fast-track people with potential into areas of acute need – form just one part of the complex jigsaw of sourcing and developing the talent that organisations need - notably at entry, junior and mid level.