Cambridge, 10 July 2026: The Cambridgeshire Chamber of Commerce and the Cambridgeshire and Peterborough Combined Authority (CPCA) have today published a three-year plan to deliver the skills and training needed to achieve the region’s ambition to double – and ultimately treble – the size of its economy by 2050.
The refreshed Cambridgeshire & Peterborough Local Skills Improvement Plan (LSIP) 2026–2029 is built on one of the most extensive local evidence bases in the country, with 341 employer survey responses, 70 in-depth interviews and continuous labour market intelligence gathered since 2023.
Actions from the report findings
- Tackle the region’s north–south divide.
While Cambridge and South Cambridgeshire sit above average worker productivity, Fenland – the most education-deprived local authority in England – is 25% below. Across the region, nearly 80,000 adults are outside work or education, two thirds of them in the northern districts.
- Specific support for STEM and essential roles.
Reverse a 26% decline in engineering and manufacturing apprenticeships since 2018/19 and tackle persistent shortages in essential roles including health workers, teachers, care workers, construction trades and engineers.
- Build talent pipelines to fill recruitment gaps.
86% of future workforce need is replacement demand as workers retire – 295,700 additional workers are required by 2035. Caring, elementary, agricultural and transport roles face the highest replacement pressure.
- Fast-changing demand for skills.
The region has seen a near-50% turnover in its top 50 most-demanded skills between 2021 and 2025, driven by digital, green and AI. Green job postings are 33% above their long-term average and energy and clean tech recruitment is at a record high.
- Gap in AI and transferable skills
There is no credible local offer yet for practical AI skills in a commercial context and employers in every sector call for stronger transferable skills such as communication and problem solving.
From evidence to action
The LSIP sets out eight priorities for action for 2026–2029: expanding access to higher-level and modular education beyond Cambridge, growing apprenticeships for young people and increasing Skills Bootcamps and fixing “leaky” talent pipelines in engineering, electrical and construction trades. The Plan backs the foundational economy of care, construction, logistics and education that employs the majority of the region’s workforce and commits partners to coordinated skills planning around a once-in-a-generation pipeline of major projects, from Universal Studios and East West Rail to the Fens Reservoir.
A coordinated, employer-aligned careers information, advice and guidance offer will embed labour market intelligence into careers support, raise aspirations in areas with the highest concentrations of young people out of education or work and close the awareness gaps that leave in-demand occupations under-recruited and existing provision under-used. Employers – particularly SMEs – will receive practical, hands-on support to navigate the new Growth and Skills Levy, the Employment Rights Bill and evolving skills migration policy. The CPCA will align its devolved adult skills funding, Skills Bootcamps and capital investment behind the Plan’s priorities. Progress will be reviewed annually by the region’s Skills Board and shared with Skills England.
Paul Bristow, Mayor of Cambridgeshire and Peterborough, said of the LSIP:
“To grow our economy, we need a skills system that works for local people and local businesses. This plan tells us exactly where employers here are struggling to find people, and what we need to do about it, from more apprenticeships and technical training to developing the higher-level skills our world-leading growth sectors need.
“I want to bring together employers, colleges and training providers around the same priorities, so that investment in our skills system creates more opportunities for jobs. That means better prospects for local people, businesses with the talent they need to thrive, and an economy that grows because we’ve got the workforce to match it.”
Charlotte Horobin, CEO of Cambridgeshire Chamber of Commerce, said:
“Businesses across Cambridgeshire and Peterborough have been clear about the challenges they face, the skills they require and the need for adaptability in a fast-paced world – and their voice sits at the heart of every priority within this Plan.
“Cambridgeshire and Peterborough is home to some of the most innovative and ambitious businesses in the country. This is a practical framework for action that supports employees but also businesses, delivering the skilled workforce they need to grow and to meet our ambitious targets for the region.”
Andrea Sanders MBE, Assistant Director, Skills and Employment at Cambridgeshire and Peterborough Combined Authority, said:
“The right training helps someone get into work, move into a better job or progress in a sector where employers need talent – and that principle underpins everything we will deliver through this Plan.
“By aligning our adult skills funding, Skills Bootcamps and capital investment with the Plan’s priorities, we will build clear pathways into work and progression for people in every part of the region – including the communities that have been furthest from opportunity for too long.”
The full Cambridgeshire & Peterborough Local Skills Improvement Plan 2026–2029 is available here: Skills – Cambridgeshire Chamber of Commerce