Home > News and blogs > New insights reveal a projected 120,000 technical skills gap

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A guest blog from Dr Ian Hancox, Co-Director for the UK Institute for Technical Skills & Strategy and Director of Research Technology and Technical Strategy at the University of Warwick explores technical skills gap in future-facing industries.

New data from an independent report reveals that the UK needs up to 120,000 extra technical professionals by 2035.

The Technical Skills Landscape in the Digital and Technologies sector report provides in-depth technical workforce analysis into the six frontier industries: Advanced Connectivity Technologies (ACT), Artificial Intelligence (AI), Cyber Security, Engineering Biology, Quantum Technologies, and Semiconductors.

It identifies projected shortfalls across the six frontier industries within the digital and technologies sector.* (See table)

By 2035, artificial intelligence is expected to require up to 38,700 additional technicians, followed by cyber security (21,000) and quantum technologies (20,700). Engineering biology is also projected to need up to 20,700 technicians, alongside semiconductors (18,900) and advanced connectivity technologies (1,500).

These high-growth industries play a key role in modern science, research and innovation, and could experience significant shortfalls in years to come if the skills gap isn’t addressed within the next decade.

Investment in infrastructure and innovation

The technical workforce insights from Frontier Economics have come at a time when the UK Government has announced significant investments into AI, Cyber Security, Engineering Biology, and Quantum Computing in recent months. Billions has been committed to infrastructure and innovation. Digital skills and talent is also high on the national agenda as more people with specialist technical skills are needed to support this growth.

With the UK’s unemployment rate expected to climb to around 5.3%, youth joblessness near 16%, and ‘Not in Employment, Education or Training’ (NEET) figures approaching 1 million, some of these challenges can be addressed by developing clearer and alternative technical career pathways.

Now the Growth and Skills Levy has replaced the former Apprenticeship Levy, there is greater flexibility and focus on technical training. Coupled with an investment drive to unlock new jobs and apprenticeships, the renewed national focus on careers and skills is a step in the right direction, but we must ensure technical skills are prioritised.

By redesigning technical career pathways, more young people will kick-start a technical career in the digital and technologies sector, it’s one of the ways organisations can work together to help tackle the projected 120,000 technical skills gap in digital and technologies sector.

What does redesigning technical career pathways mean?

Currently, between 63% and 73% of people working in the six frontier industries enter with a degree, compared to around 40% across the wider economy.

This reflects the strength of the UK’s university system and its central role in developing current and future technical talent. However, UK universities have seen a drop in degree enrolments, where does this leave the future workforce?

Creating alternative routes into these industries is vital to future-proof talent and upskill the technical professionals needed in years to come.

Apprenticeships, degree apprenticeships, T Levels and V Levels (from 2027), funded through the Growth and Skills Levy will make it easier for more people to start a career in emerging digital and technology industries.

Employers that recognise the value of these career routes and explore how the Growth and Skills Levy could support recruitment, retention and succession planning will strengthen their own workforce whilst tackling the ‘widespread’ technical skills gap identified in this report.

Strengthening data for skills forecasting

The report also highlighted fragmented and inconsistent workforce data available for Advanced Connectivity Technologies (ACT), Artificial Intelligence (AI), Cyber Security, Engineering Biology, Quantum Technologies, and Semiconductor industries.

Without effective data, workforce planning will remain patchy, potentially widening skills gaps further.

The data that does exist shows that 40% of the UK Semiconductors workforce is expected to retire within 15 years. In addition, men hold around 78% of roles relevant to these six industries, with persistent under-representation of ethnic minorities and disabled people being reported.

Enhanced and consistent data reporting of technical roles in the six frontier industries would improve skills forecasting and provide valuable insights into diversity challenges, so they can also be addressed.

Creating job-ready professionals

The projected 120,000 technical skills gap is far-reaching, impacting industry, SMEs, public services, and universities and research institutions. Central to this challenge is a misalignment in skills taught in universities and those required in practice.

Gaps in practical skills such a proactivity and innovative thinking has been identified, whilst current placements and degree apprenticeships provide relevant, but uneven and inconsistent training, often concentrated in specific disciplines.

The report highlights the need for greater connectivity between educational pathways and the skills needed in industry. It recommends a more connected approach, including continuous professional development and deeper collaboration between universities, Centres for Doctoral Training (CDTs), and industry partners.

The role of professional bodies in tackling the skills gap

Professional bodies and their members have a key role to play in bridging this gap. By supporting a more consistent approach to technical workforce analysis across frontier industries, they can strengthen skills forecasting and mapping.

Increased investment in training opportunities, alongside improved working conditions for technical professional, such as better pay, clearer progression pathways, and greater job security within higher education, would also drive meaningful change.

Finally, engaging in outreach activities to raise awareness of technical career pathways from an early stage can help inspire the next generation of professionals and build a more sustainable talent pipeline.

Download the report

Download policy recommendations

*Projected shortfalls across the six frontier industries within the digital and technologies sector

​​Frontier industry ​2025 ​2030 ​2035 
​ACT​0 – 100​100 – 700​300 – 1,500
​AI​600​3,500 – 7,900​6,600 – 38,700
​Cyber security​600 – 1,000​3,700 – 8,400​6,900 – 21,000
​Engineering biology​300 – 600​2,000 – 5,800​3,700 – 17,000
​Quantum technologies​200 – 500​1,000 – 5,500​1,900 – 20,700
​Semiconductors​400 – 900​2,700 – 7,400​5,000 – 18,900​

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