Skill investment 'key to future'

Higher education is vital to improving the skills base, says the committee

A report by MPs on the impact of global markets on Wales says more needs to be done to improve skills.

The Welsh affairs committee highlights what it describes as "existing skills gaps", particularly in science.

The MPs say both the UK and assembly governments need to work with the higher education sector on the issue.

The committee chairman, Aberavon MP Hywel Francis, said improving skills must be a priority for long-term growth and prosperity in Wales.

"The economic climate has changed significantly since the committee began this inquiry into globalisation over two years ago," said Dr Francis.

We also need a radical overhaul of state funding for skills training Cheryl Gillan MP, shadow Welsh secretary

"We are convinced, from the evidence we heard, that a strong skills base is the key to maintaining levels of employment in Wales and addressing the challenges of globalisation.

"Re-skilling and up-skilling the Welsh workforce must be a priority in order to secure long-term growth for the economy and prosperity for the people of Wales."

Steel jobs

The report is the second from the committee since it started its inquiry two years ago into how global market conditions and trends affect the economy of Wales.

It notes that one recent example was the announcement that steelmaker Corus is to shed 1,100 jobs in Wales, due to a worldwide slump in demand.

The cross-party committee highlights farming and food production as helping Wales develop a global reputation for excellence.

The report argues that Welsh companies can build on that to offer "premium goods and services that cannot be sourced abroad".

Cheryl Gillan, the Conservatives' shadow Welsh secretary, backed the committee's recommendations, adding: "This report's findings chime with what we have long argued - that the Westminster and assembly governments need to invest in skills as a cornerstone of economic recovery.

"We also need a radical overhaul of state funding for skills training to ensure more money reaches the frontline where it is needed most."