Select committee ‘absolutely right’ to highlight workforce impacts

April 21, 2023

UKHospitality welcome a new report from the Business, Energy and Industrial Strategy (BEIS) Committee that said a shrinking labour market was restricting the UK's economic growth.

The committee’s report, which UKHospitality gave evidence to, said that investment in our workforce was crucial.

It also highlighted the importance of flexible work and the over 50s.

Responding to the report, UKHospitality Chief Executive Kate Nicholls said: “The BEIS select committee is absolutely right to highlight in its report that labour market challenges are restricting our economic growth.

“Nowhere is that more keenly felt than in hospitality, where we have a proven track record of generating growth but are currently being held back by damaging labour shortages.

"Enormous vacancies, 48% higher than pre-pandemic levels, are forcing venues to reduce opening hours or even days, curtailing our huge potential.

“As the Committee’s report notes, retaining older workers is absolutely crucial to a thriving workforce and hospitality’s flexible work patterns are well suited to accommodating those needs. That’s why we launched an over 50s guide for businesses and continue to advocate for Government to extend the apprentice NIC benefit to the over 25s.

“We absolutely agree that policy development on skills and labour markets is best done in partnership with businesses and we stand ready to assist the Government on tackling ongoing labour shortages and filling crucial vacancies.”