Skills gap could fuel outsourcing growth

Figures from e-skills has revealed a 50 per cent drop in IT students over the last five years

The UK skills black hole is widening with a 50 per cent slide in IT students over the last five years and 140,000 new recruits needed to satisfy demand, according to IT skills body e-skills.

The National Outsourcing Association (NOA) has expressed its concerns saying that companies need to fill the gaping hole at the lower-skilled end of the industry immediately.

Martyn Hart, Chairman of NOA, said: “At present the IT industry is struggling to recruit the next generation to the profession, as the ‘nerdish’ image of an IT worker puts off many youngsters from entering the industry.”

Hart explained as skills move to low labour cost areas, the UK has to react by developing the skills and competencies necessary to develop new products, designs, technologies. In turn this will mean better education, training and entrepreneurship.

“The IT industry may rectify this image but this is a long term project. So how can the IT skills gap be plugged in the shorter term? One solution is outsourcing and/or offshoring,” he added.

He continued to say that by choosing an offshore supplier, companies can employ low-cost specialists to carry out work that they can not complete in the UK and that the high end management work tends to stay in the UK.