Teaching activity

In the News Teaching Activity – what are the economic problems caused by a regional skills gap? (Jan 2025)

Elizabeth Veal

16th January 2025

The UK faces a growing "skills chasm" between its regions threatening to stifle economic growth nationwide.

The regional disparity in skills and qualifications poses significant economic challenges for the UK. As London and the south-east attract a disproportionate share of highly qualified workers, regions like East Yorkshire and the West Midlands struggle to keep pace, limiting their ability to attract high-skilled jobs and investment. This imbalance risks creating a two-tier economy, where opportunities and prosperity are concentrated in the south, leaving other areas behind. Experts warn that bridging this gap requires coordinated efforts, including investment in education, infrastructure, and regional job creation to ensure balanced and sustainable growth across the country.

Warning of ‘skills chasm’ amid huge UK regional divide in qualifications | Education | The Guardian

1. What is the projected percentage of adults with degrees by 2035 in London compared to Hull and East Yorkshire, according to the report by the Learning and Work Institute?

2. How does the "skills chasm" between regions, as described in the article, contribute to slower economic growth and increased economic inequality in the UK?

3. Discuss the specific policies or strategies suggested in the article to address the regional skills gap and foster more equitable economic growth across the UK.

Download our suggested answers for this resource here

Elizabeth Veal

Liz has taught Economics for over 25 years, including several years as Head of Economics at leading schools.

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