- The need for business innovation is clear, as nearly half (49%) of the UK workforce are ready to quit for better professional development opportunities
- Almost a third (31%) of employees feel unprepared or undecided on future industry changes
- One in five employees lack confidence in their boss' leadership skills.
UK businesses are in for a reskilling reckoning, as new research reveals a workforce on the edge. The insights, from Arden University, found that nearly half (49%) of employees are ready to walk away from their current roles for better professional development opportunities elsewhere.
Going beyond representing current business turnover rates, this is a clear signal that a lack of innovation in workforce development is stalling business growth and threatening the national economy.
“Failing to offer meaningful upskilling isn’t just a retention headache; it’s an anchor dragging down economic performance,” says Steven Hurst, Director of Corporate Learning at Arden University. “This development gap is already costing the UK economy up to £39 billion a year in lost productivity1. When you factor in the digital skills gap, that figure swells to a staggering £63 billion in lost GDP annually2. Businesses that don’t invest in their people are now paying a high price for standing still.”
Are businesses equipped for the future?
The data also paints a picture of a workforce feeling exposed to the future. Over three in five (64%) employees believe that possessing up-to-date digital, technical or AI-related skills offers a distinct and powerful advantage in their professional lives.
However, almost a third (31%) feel either unprepared or undecided about how they will cope with imminent industry changes, such as the rapid rise of AI. This uncertainty hits at a time when 80% of employers3 admit they’re struggling to find candidates with the right skills, leading to unfilled vacancies and productivity slumps in vital sectors like construction and healthcare.
A further concern pertains to confidence in business leadership teams. A fifth (20%) of workers harbour doubts about their manager's leadership skills, highlighting a clear and pressing need for targeted management development to foster universal trust and drive organisational growth.
The untapped engine behind growth
In the midst of National Apprenticeship Week, Steven argues that apprenticeships are the untapped engine of growth that could solve this talent crisis.
While 50% of workers say they would consider an apprenticeship or upskilling programme if offered, some misconceptions die hard. Of those hesitant to sign up, 57% believe they are "too old", and 28% believe they already have all the skills needed for their role. Perhaps most worrying is the disconnect in confidence: only 17% of employees believe their employer would actually support them in taking this step.
“Yet, the business case for apprenticeships is unshakeable,” says Steven. “For every £1 invested in apprenticeships, the wider UK economy sees a return of £214. Apprentices contribute between £33,000 and £49,000 in productive value annually, often paying for themselves while they learn5.”
Beyond the balance sheet, 98% of employers report benefits ranging from boosted morale to better service delivery. “Compare this to the alternative – external recruitment costs averaging £4,100 per hire and the potential cost of a bad senior hire reaching up to 213% of their salary6 – and the choice becomes clear,” Steven adds.
“Apprenticeships are the strategic lever we need to pull to retain talent, spark innovation and stop billions of pounds from slipping through the cracks of a skills shortage.”
