Businesses call for action on skills, connectivity and growth at CIMA South West roundtable

22 July 2026, Paignton, Devon –Local businesses from across Devon and Cornwall have called for greater support on skills, infrastructure and workforce development following a roundtable convened by The Chartered Institute of Management Accountants (CIMA) in Paignton.

The event brought together employers from across the South West alongside Steve Darling MP, Member of Parliament for Torbay and Liberal Democrat Spokesperson for Work and Pensions, to discuss the opportunities and challenges facing the region's economy.

The discussion was timely given change of prime minister to Andy Burnham MP this week. It highlighted a number of issues affecting businesses across Devon and Cornwall, including skills shortages, rising employment costs, transport connectivity, apprenticeship funding and the growing role of artificial intelligence (AI) in the workplace.

Participants described ongoing difficulties attracting and retaining talent, with many businesses reporting that workforce shortages are limiting growth opportunities and making it harder to expand. Employers also raised concerns about a regional "brain drain", as skilled workers leave the South West in search of opportunities elsewhere.

The roundtable heard that rising employment costs, including National Insurance contributions and increases to the National Minimum Wage, are placing additional pressure on employers and influencing recruitment decisions.

Ross Archer, Director of Policy at CIMA, said: "Businesses across Devon and Cornwall are ambitious and optimistic about the future, but they are facing a range of challenges that risk holding back growth and investment. Whether it is workforce shortages, access to skills, transport connectivity or the rising cost of doing business, employers are clear that action is needed to unlock the region's full potential.

"What came through strongly from this discussion is the importance of investing in people. Businesses want to see continued support for apprenticeships, stronger pathways into skilled careers and greater focus on future capabilities such as AI literacy and critical thinking. These are the foundations of a productive, competitive and resilient economy.

Businesses also voiced strong support for apprenticeships as a critical route into employment and professional development. Concerns were raised about restrictions to Level 7 apprenticeships and the potential impact on workforce skills and business competitiveness.

The opportunities and challenges presented by AI were another major focus of the discussion. While participants recognised AI's potential to boost productivity and innovation, they stressed the importance of developing critical thinking, digital literacy and AI-related skills throughout the education system.

Transport infrastructure and connectivity also emerged as key concerns. Businesses highlighted challenges with local bus services, rail reliability and the loss of regional air routes, arguing that improved connectivity is essential to attracting investment, supporting employment and driving economic growth across the South West.

The discussion additionally explored the ongoing challenges associated with exporting, with businesses citing increased complexity, costs and administration linked to post-Brexit trading requirements.

Archer explained: "CIMA is committed to ensuring that the voices of businesses and finance professionals are heard by policymakers. Roundtables such as this provide valuable insight into the real-world challenges facing employers and help inform the policy discussions that will shape the future of the UK's regional economies."

The roundtable forms part of CIMA's ongoing Business Insights Series, which brings together business leaders, policymakers and finance professionals across the UK to discuss the issues and opportunities shaping local economies.

– ENDS –

Notes to editors

CIMA is calling on the Government to take action in the following areas:

Tax

Create a stable, long-term tax roadmap to give businesses certainty: Publish a rolling five-year business tax roadmap covering corporation and business taxation, capital allowances, R&D reliefs and personal taxation.

Reduce the tax burden on employing people: Reduce employment-related taxes and address fiscal drag to lower the cost of hiring and encourage workforce expansion.

Reform the tax system to support growth rather than discourage it: Review tax thresholds, VAT rules and marginal tax rates that discourage businesses from growing or individuals from taking on additional work.

SMEs

Make it easier for SMEs to scale: Reinstate and modernise the Growth Accelerator Scheme alongside an expanded Business Growth Service that provides coaching, mentoring and specialist advice to growing firms.

Build an SME skills system: Reform the Growth and Skills Levy and Lifelong Learning Entitlement, while giving SMEs a stronger voice in regional skills planning.

Skills and workforce

Expand the Lifelong Learning Entitlement: Allow professional qualifications and courses delivered by recognised professional bodies to be funded through the Lifelong Learning Entitlement by allowing those professional qualifications that are already regulated to not have to be dual regulated by the Office for Students.

Protect and reform Level 7 Apprenticeships rather than abolishing funding: Retain Growth and Skills Levy support for Level 7 apprenticeships, particularly for learners aged 25 and under and occupations where they are a priority for the Industrial Strategy such as professional and financial services.

Introduce a “Right to Retrain”: Give workers greater access to retraining opportunities through a rebuttable right to retrain and dedicated time for workforce development.

Devolution and Regional Growth – Regional Productivity & Skills Hubs: Establish employer-led Productivity & Skills Hubs in every Strategic Authority, bringing together businesses, independent training providers, colleges, universities and local government to coordinate workforce planning, skills investment and productivity improvements.

Devolve Skills to Support Regional Growth: Give Strategic Authorities greater responsibility over post-16 skills planning and commissioning, supported by a consistent national framework that avoids fragmentation.

Launch a UK Productivity Commission and Productivity Strategy: Publish a long-term UK Productivity Strategy supported by an independent Productivity Commission to coordinate policy across skills, investment, innovation and infrastructure.