EFL briefing paper - Net Zero skills

Abstract

This briefing paper investigates the evidence for Net-Zero job skills and training requirements in the UK’s energy system. Through an extensive literature review and 10 expert interviews, it analyses how the skills landscape is adapting to support the growth of low-carbon energy sectors, including both supply and end-use. The paper identifies ongoing barriers and opportunities for expanding low-carbon job competencies, culminating in a set of policy recommendations to create clear, inclusive training pathways into low-carbon energy jobs. Using three sectoral case studies, the paper investigates challenges and opportunities for improving skills and training supply and demand for low-carbon energy careers. The building energy retrofit sector faces a significant shortage of skilled workers, particularly in heat pump installation, energy efficiency measures, retrofit coordination, and digital roles. Despite the potential to create 120,000–230,000 new jobs by 2030, inconsistent policies and funding have hindered private investment in training. The offshore wind sector is forecast to employ over 100,000 workers in 2030, compared to 32,000 in 2022. Offshore wind struggles with skills gaps in electrical, digital, consenting, and marine roles, relying on experienced workers and those from other industries to fill these gaps. The electric vehicles sector could generate at least 80,000 new jobs over the next 10-15 years, contingent on gigafactory development, with key skills needed in charging point installation, vehicle recycling, battery manufacturing, and electrification engineering. The paper concludes by proposing the establishment of a Net-Zero Skills Commission to co-ordinate a new, national Net-Zero skills strategy involving multiple stakeholders and considering regional, local and sectoral needs. The Commission would review existing occupational standards for Net-Zero jobs, analyse and identify ongoing and emerging skills gaps, and provide expert advice on improving training and education pathways. Additional recommendations include: the reviewing of financing mechanisms to better support green job training, with additional public funding for FE colleges and SMEs to provide this, increasing the flexibility and geographical distribution of courses, improving public awareness of green job opportunities and career pathways, increasing workforce diversity through inclusive recruitment practices and more detailed labour market monitoring, and providing ready access to high-quality re-skilling programmes for those working in high-carbon industries which will need to be phased down.