Debate contribution: Skills Gaps between Young People and Businesses

Debate contribution by Dr Caoimhe Archibald on 30 September 2025.

MLA

Dr Caoimhe Archibald

Party at the time

Sinn Féin

Date

30 September 2025

Type

Debate contribution (made as a minister)

Business

Private Members' Business

Heading

Skills Gaps between Young People and Businesses

Assembly identifier

Official Report component 5142962

Read the official Assembly record

Text

Go raibh maith agat, a Phriomh-Leas-Cheann Comhairle.

I really welcome the opportunity to respond to the motion today, and I welcome any opportunity to speak about skills. I say this all the time because it is true: skills underpin and are critical to the delivery of all four of my economic objectives. Skills are a key driver of productivity, developing people's skills and helping people to take good jobs. New skills will be needed to deliver on the transition to net zero, and, by ensuring that we invest in skills across the North, we can improve regional balance. That is why, last year, we invested £250 million in our universities, including £13 million specifically for the Magee expansion and £310 million for our colleges. I have continued, despite our challenging budgetary situation, to prioritise investment in skills development and to fight for as much funding as possible to put towards it. My Department provides a range of skills programmes. Last year, £12 million from the skills fund supported 20 projects, including Step Up, which provides training, mentoring and careers advice for young people not in education, employment or training. We have committed a further £7 million this year to continue and expand that important work. I was also delighted to launch the apprenticeship inclusion challenge fund in October last year. Funding of up to £100,000 over 18 months will go to six successful applicant organisations from across the business, community and education sectors. Just last Friday, I was in Derry for the opening of the new WOMEN'STEC facility in the north-west, which is delivering on one of the challenge fund projects. Significant investments are also being made to boost digital and cyber skills across the region. They include Allstate's £16 million upskilling initiative and Queen's University's new cybersecurity AI tech hub.

Apprenticeships have seen impressive growth, with a 39% increase since 2019, and higher-level apprenticeships having increased eightfold since 2017. In addition, new initiatives, such as the apprenticeship inclusion challenge fund and the apprenticeship action plan, ensure that apprenticeships are more accessible and inclusive. In recent months, I published the green skills action plan, which provides a clear framework for collaboration on future green jobs. That approach will help to create clearer pathways into training and employment, particularly for young people currently not in education, employment or training. I am concerned, as other Members are, by the recent increases in the number of our young people not in education, employment or training. I have asked officials to look at the potential reasons behind that. We have increasingly seen that in our schools, with more young people facing challenges in going to school. There are more young people with anxiety and in the school-refuser category. There is a challenge for us across the board in addressing those issues. Ensuring that we have pathways for people who face barriers, whatever those barriers may be, is a priority for me. It is important that we work not just across Departments but with community organisations, which often have people on the front line supporting individuals on their journeys. Members referred to the fact that there are challenges relating to our young people with special educational needs and people with disabilities particularly. Michelle talked about the fact that we perform poorly compared with other regions. I am keen to look at how we can address that, not just through ensuring that the pathways are there but through looking at whether there is work that we can do with employers to remove barriers, helping people into jobs. Cheryl mentioned the work that is being done by some companies in the States. We have companies here that do similar things in supporting people with neurodivergence and creating the right circumstances and environment for people to take up post. That is work that we can build on, ensuring that we mainstream good practice. My Department will soon publish its skills action plan, which will outline the concrete steps that my Department will take, along with our partners, to continue to build the dynamic, innovative and highly skilled workforce that we need in the North. The social enterprise sector also plays a vital role in bridging skills gaps. Recent research indicates that 11% of social enterprises provide access to education and improve skills development and that over half are located in areas of high deprivation. Greater cross-departmental collaboration is also under way, with the Department for the Economy and the Department of Education working together on shared priorities such as careers, special educational needs and post-16 pathways. I assure the proposer and other Members that I see that as being absolutely vital, particularly in the financially constrained environment that we operate in and are likely to continue to operate in. I will meet the Education Minister in the coming weeks on that agenda and how we can work together. I believe that he, too, is committed to that work and to greater cross-departmental collaboration. Despite the good work that we are doing, challenges remain. The proposer mentioned the skills barometer and the projections of job growth to a million by 2033. That is a good thing, obviously, but we face an annual shortfall of 5,400 workers and significant skills gaps, particularly in AI, digital, cybersecurity and green industries. The recent rise in the number of young people not in education, employment or training is a real concern. Such initiatives as the Open University and Libraries NI pilot help at-risk pupils develop study skills — a first step towards re-engaging in education — and programmes such as Skills for Life and Work, which is delivered flexibly by FE colleges, support those with low or no prior achievement in progress towards further education, employment or apprenticeships. While higher education is not always a direct route for young people, I will launch a public consultation this autumn on a new widening participation strategy to make higher education more accessible. Supporting our young people to gain the skills and qualifications that they need is essential in widening our talent pool and ensuring equal access to quality employment. The motion proposes establishing a talent development agency similar to Skillnet Ireland or other European models. The amendment suggests that I work with my counterparts in the Irish Government on the creation of an all-island talent development agency. My Department is already engaged in constructive dialogue with Irish Government counterparts through a range of cross-border initiatives. One great example of cross-border collaboration is the PEACE PLUS programme. Through that, my Department is working closely with colleagues in the South to build a stronger all-island skills system. Our further education colleges and universities are working closely with partners in the South to deliver training in key areas such as green skills and digital technologies. We have also seen strong engagement between the Northern Ireland Skills Council and the National Skills Council in the South, helping to shape shared priorities across the island. Green skills have been identified as a promising starting point, with further potential in areas such as AI. I am keen to explore additional collaborative approaches to skills development. In the meantime, our current approach remains guided by the principle of sectoral alignment. The Skillnet model's strength lies in its sector-based collaboration, bringing together businesses and education providers to address evolving skills needs. It is worth saying that our colleagues in the South very much view the relationship as a mutually beneficial one. They take learning from us as well. They are keen to learn from initiatives that we have and to see whether they can be similarly delivered in the South. Skillnet Ireland's approach to sectoral collaboration closely aligns with the Department's sectoral action plans that were launched by my predecessor, Minister Murphy, last year to support seven of our most innovative sectors. Addressing the skills gap, of course, is not a single intervention; it is a system-wide challenge. It requires collaboration, as my colleague said, across government, education, business and communities. Therefore, I am happy to look at what more we can learn from the Skillnet model. I share the Assembly's ambition to make economic opportunity the foundation of social justice and reconciliation. That is why I will continue to prioritise investment in skills; support for young people and those with specific needs; and deeper collaboration with business. I look forward to working with Members, stakeholders and communities to build a skills system that is fit for the future and works for everyone.

1,410 words. Text as published by the Northern Ireland Assembly.

Assessment

Not flagged

Jev’s structured answers

Assessed 21 October 2026 at 13:16 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

Disagree with this assessment?

Classifications can be challenged. A person reads every challenge, and any change is recorded publicly above with its reason.

Challenge this classification