January 2026
As part of our LSIP refresh, SLP conducted a survey with businesses in South London, engaging employers across priority sectors to understand their emerging skills needs and the pressures shaping their workforce strategies.
Our most recent engagement highlights a region undergoing rapid transformation. Employers across South London are already preparing for an AI‑first future, with 68% reporting that they will require advanced digital skills within the next 2–5 years. This demand is growing not only in tech‑focused sectors but across retail, logistics, creative industries, and professional services.
In hospitality, the landscape is shifting in two distinct ways. First, 45% of hospitality employers now expect sustainability skills to form part of their core workforce capabilities, reflecting the sector’s commitment to greener operations and changing customer expectations. At the same time, the sector continues to face persistent recruitment challenges, with 36% citing unsociable or irregular shift patterns as a major barrier to attracting talent.
Meanwhile, our work with education and training providers revealed a particularly acute pressure point: a three‑way hiring squeeze, with 67% highlighting low candidate interest, 67% identifying skills gaps, and 67% pointing to sector‑wide competition as key obstacles. This challenge directly affects the pace at which the wider skills system can respond to employer needs.
