The Engineering Skills Crisis: Why 76% of Employers are Struggling to Hire

The latest Skills Survey from the IET (Institution of Engineering and Technology) for the final quarter of last year has sent a clear signal across the UK engineering sector: the skills gap isn’t just widening—it’s evolving.

At EMBS Engineering, we speak with hiring managers daily who feel the pressure of these statistics. But to solve the problem, we first need to understand the data behind the “Confidence Divide.”

The Headlines: A Workforce Under Pressure

The IET data highlights a significant friction point in the recruitment market. 76% of engineering employers report difficulty recruiting for key roles. This isn’t just a volume issue; it is a specific specialism issue.

1. The Sustainability Surge

For the first time, specialist sustainability skills have topped the list of hardest-to-find talents, alongside core technical expertise. As the UK pushes toward Net Zero, the “Green Skills” gap has become a primary bottleneck for engineering innovation.

2. The Future-Readiness Gap

Perhaps the most jarring statistic is the divide in workforce confidence:

• 61% of employers believe their current team is fit for the future.

• 35% disagree, stating their workforce lacks the skills to meet upcoming industry demands.

When over one-third of the industry feels their team isn’t prepared for what’s next, it suggests that the pace of technological change is outstripping traditional recruitment and internal training cycles.

Why Is This Happening Now?

The “Skills Crisis” is a perfect storm of three specific factors:

1. The Retirement Wave: A significant portion of the highly skilled technical workforce is reaching retirement age, taking decades of institutional knowledge with them.

2. The Digital/Green Transition: Roles are changing. A traditional mechanical engineer is now expected to understand data analytics or sustainable material life cycles.

3. The Talent War: Because 76% of your competitors are looking for the same rare skill sets, the “standard” recruitment methods (like simply posting to job boards) are no longer yielding results.

How to Navigate the Crisis

If your business falls into that 76% struggling to hire, it’s time to pivot your strategy. Here is how EMBS Engineering recommends tackling the gap:

• Prioritise “Transferable” Technical Skills: If the perfect candidate doesn’t exist, look for the “80% match” with the right foundational technical skills and a high learning agility.

• Invest in Your Employer Brand: In a candidate-driven market, specialists need a reason to choose you over a competitor. What is your sustainability roadmap? What is your tech stack?

• Partner with Specialists: Generalist recruiters often struggle with the nuances of “Sustainability Engineering.” Partner with a firm that understands the technical language and has an active network of passive candidates.

The Bottom Line

The IET data is a wake-up call, but it’s also an opportunity. Companies that act now to bridge the confidence divide—by securing specialist talent today—will be the ones leading the market in 2026 and beyond.

Is your team future-fit?

At EMBS Engineering, we specialise in finding the technical and specialist talent that others can’t. If you’re struggling to fill a key role, get in touch with our team today.