Sectors including technology, banking and medicine are at risk of shortages of highly skilled workers, according to a report published by recruitment firm Hays, which placed the UK in the top five countries facing talent shortages, alongside New Zealand, Portugal, Canada and Switzerland.
The analysis concluded that the UK has a “pressing need” to address its skills shortages, which have got worse in the past few years for a number of reasons.
“To ensure the UK can continue to compete on the global stage, it needs a steady supply of talent with the right skills,” said Nigel Kirkham, the chief executive of enterprise solutions at Hays.
One way of trying to plug the skills gap is the skilled worker visa, which enables employers to recruit from abroad. Here’s a closer look at it.
What is a skilled worker visa?
The skilled worker visa was introduced in 2020, allowing employers to recruit skilled workers from outside the UK to fill vacancies and also allowing them to bring their families to the UK.
The standard minimum salary requirement is £38,700 but, subject to criteria, people can be granted visas for jobs that pay at least £30,960 and between 70 per cent and 90 per cent of the going rate for the job.
The visas last for up to five years and potentially can be renewed indefinitely. Workers are not entitled to most benefits and do not become eligible for a state pension.
Which sectors are on the shortage list?
The immigration salary list sets out the occupations that are in short supply.
The list is part of the UK’s immigration rules and is used to make it easier for employers to sponsor skilled non-UK workers under the skilled worker visa.
- Managers and proprietors in forestry, fishing and related services – only “fishing boat masters”
- Chemical scientists – only jobs in the nuclear industry
- Biological scientists – all jobs
- Social and humanities scientists – only archaeologists
- Graphic and multimedia designers – all jobs
- Laboratory technicians – only jobs requiring 3 or more years’ related on-the-job experience. This experience must not have been gained through working illegally.
- Pharmaceutical technicians – all jobs
- Artists – all jobs
- Dancers and choreographers – only skilled classical ballet dancers or skilled contemporary dancers who meet the standard required by internationally recognised UK ballet or contemporary dance companies. The company must be endorsed as being internationally recognised by a UK industry body such as the Arts Councils (of England, Scotland or Wales).
- Musicians – only skilled orchestral musicians who are leaders, principals, sub-principals or numbered string positions, and who meet the standard required by internationally recognised UK orchestras. The orchestra must be a full member of the Association of British Orchestras.
- Arts officers, producers and directors – all jobs
- Agriculture and fishing trades not elsewhere classified – only jobs in the fishing industry
- Welding trades – only high integrity pipe welders, where the job requires 3 or more years’ related on-the-job experience. This experience must not have been gained through working illegally.
- Boat and ship builders and repairers – all jobs
- Stonemasons and related trades – all jobs
- Bricklayers – all jobs
- Roofers, roof tilers and slaters – all jobs
- Carpenters and joiners – all jobs
- Construction and building trades not elsewhere classified – only retrofitters
- Care workers and home carers – all jobs, except jobs with a working location in England are only eligible in this SOC 2020 occupation code where the sponsor holds registration with the Care Quality Commission and is currently carrying on a regulated activity. Private households or individuals (other than sole traders sponsoring someone to work for their business) cannot sponsor Skilled Worker applicants.
- Senior care workers – all jobs, except jobs with a working location in England are only eligible in this SOC 2020 occupation code where the sponsor holds registration with the Care Quality Commission and is currently carrying on a regulated activity.
- Animal care services occupations not elsewhere classified – only racing grooms, stallion handlers, stud grooms, stud hands, stud handlers and work riders
- Fishing and other elementary agriculture occupations not elsewhere classified – only deckhands on large fishing vessels (9 metres and above) where the job requires the worker to have at least 3 years’ full-time experience in using their skills. This experience must not have been gained through working illegally.
Why is the UK facing a skilled worker shortage?
There are a number of reasons for why Britain does not have as many skilled workers as it needs. Chronic underinvestment in training both by companies and government is one, as is the higher cost of living, which has meant people can’t afford to pay for training and are unwilling or unable to risk mid-career changes of direction, especially if they involve a drop in pay.
Brexit led to workers from EU countries returning home and rising living standards in some eastern European countries has closed a lot of the pay differential between them and the UK, making immigration less appealing to skilled workers.
The coronavirus pandemic led to increases in the number of economically inactive people of working age and of people with chronic illness who became unable to work. The last cohort has been enlarged by capacity constraints in the NHS.
What’s more, the UK has an ageing population, with 19.17 per cent of the UK population aged over 65 years old as of 2022. That means nearly a fifth of the UK’s population, many of them skilled, is above retirement age, further diminishing the workforce.
- An earlier version of this article referred to the shortage occupation list as if it was still in force. In fact it was withdrawn in April 2024 when it was replaced by the immigration salary list. We apologise for the error.