IPSE, the association of Independent Professionals and the Self Employed, has today reacted with concern to research which shows nearly half of London's businesses say there is a skills shortage in the capital.

The CBI/KPMG London Business Survey shows two-thirds of firms in London reported difficulty recruiting highly skilled people. Of particular concern to IPSE is the news that two of the worst-affected sectors – namely IT and the Creative industries – are traditional strongholds for self-employment.

Chris Bryce, Chief Executive of IPSE, said: “This country should not be experiencing a skills shortage while 18 percent of London's young people are unable to find work. It is crucial that schools and universities provide the skills companies are looking for so that young people leave education ready and able to find work. Planning for the future and making sure that UK has home-grown talent will make us even more competitive in the global economy. Be it through permanent employment or becoming their own boss, our young people hold the key to solving the skills shortage.”