Skills deficit threatens financial services

A LACK of basic numeracy and communication skills among Scottish graduates has created an ability gap which could threaten the growth of the key financial services sector, fund management firms are warning.

Scottish Investment Operations (SIO), a body which represents companies such as Aberdeen Asset Management, Standard Life Investments and Scottish Widows Investment Partnership, says candidates coming out of Scottish universities are increasingly "ill equipped" for careers in the sector.

Among firms' chief complaints are over inadequate numeracy and communication skills, but they also find that university and school leavers don't have the right attitude or work ethic to succeed in the industry.

SIO suggests the problem could threaten the future expansion of Scotland's investment companies which collectively manage 650 billion worth of funds.

The organisation, headed by Alan Thornburrow, also believes the problems extend to the financial services sector as a whole, which employs 90,000 people north of the Border and accounts for 7 per cent of GDP.

SIO is calling on Scottish universities to ensure degree courses are more closely tailored to the needs of the financial sector. It is also proposing more widespread internships and recruitment programmes.

"We have to get better at developing a strong work ethic in young people and the right attitude to work generally," said Thornburrow.