Tech skills gaps are costing UK businesses around £380,000 a year — and it’s even worse in cybersecurity Craig Hale | usagoldmines.com

• UK orgs are failing to deliver projects or losing clients and contracts due to a lack of skills
• 97% have adopted AI to some degree, but only 6% report workforce-wide AI literacy
• The solution is a combination of recruitment and training opportunities

More than one in three (35%) UK tech execs believe that the ongoing skills gap could be costing them at least £380,000 per year – a figure that’s even more pronounced when Pluralsight asked cybersecurity professionals, 41% of whom agreed with that estimate.

One of the most commonly cited factors leading to higher costs is that 40% have had to unexpectedly outsource work because they lacked the necessary skills within the organization, leading to budget overruns for 30% of the survey’s respondents.

Many have even failed to deliver key projects (39%) or lost clients or contracts altogether (27%) as a result of not having enough skills internally.

UK businesses are struggling to operate without outside help

Pluralsight also revealed that many UK organizations have likely rushed into AI without an appropriate strategy, causing spend to skyrocket without the tangible benefits. Nearly all (94%) have invested in at least some AI tools, but only 6% report AI literacy across the entire workforce.

Still, it’s good news for job applicants because recruitment doesn’t seem to have gone anywhere. More than four in five (85%) say they hired the same number (or more) junior tech professionals this year as before, and 10% have even significantly increased hiring. The biggest concern, shared by 88% of the survey’s respondents, is that there’s simply not enough junior talent entering the workforce.

“This means that businesses cannot rely on recruitment alone, but must invest in clear development pathways that prepare new talent and help existing employees continually build relevant skills,” Pluralsight Author Fellow Faye Ellis explained.

However, more than half (53%) of senior leaders are still unsure how to solve their skills gaps. Looking forward, the research paints a picture of the need to not overlook training existing workers for future skills, the importance of AI literacy as the way we work undergoes an evolution, and a continued investment in junior recruitment.