IMI sets out Autumn Budget wish-list for automotive
The Institute of the Motor Industry has submitted its ‘asks’ for the Autumn Budget, urging the government to recognise the key role of automotive workers.
IMI CEO Nick Connor said the sector is facing a perfect storm of workforce shortages, an ageing vehicle parc and rapid technological transformation which is undermining road user confidence.
He said the government must reform the skills levy, create a dedicated workforce investment fund, and recognise established competence frameworks such as IMI TechSafe within publicly funded skills programmes.
Connor said: “There is a growing mismatch between policy ambition, technological change and workforce capacity and without targeted investment, these pressures will constrain productivity, slow technology adoption, and increase risks for employers and consumers alike.
“This Autumn Budget provides a real opportunity to address these challenges through targeted investment in workforce supply, skills development and safety-critical competence.
“Doing so will support economic growth, strengthen the UK’s industrial strategy ambitions and ensure the automotive workforce remains capable of supporting the transition to the technologies of the future.”
Reform skills funding and the growth and skills levy
- Expand employer flexibility over Growth & Skills Levy expenditure
- Permit levy funding to support modular and short-course training
- Introduce targeted incentives for upskilling in emerging vehicle technologies
- Ensure unspent levy funds are redirected towards sectors experience acute skills shortages.
Create an automotive workforce investment fund
- Retaining and upskilling
- SME workforce development
- Technology adoption training
- Accident repair workforce development
- Career progression and retention initiatives.
Introduce skills investment through IMI TechSafe
- Support employer investment in high voltage, connected, automated, and alternative fuel technology competence through targeted grants or matched funding
- Recognise established competence frameworks such as IMI TechSafe within publicly funded skills programmes
- Support workforce readiness through investment in training capacity.
The IMI is also calling on HM Treasury to ensure workforce readiness becomes an explicit component of net zero transport policy and future ZEV implementation.
Connor said: “As vehicle technologies become increasingly complex, this should be accompanied by proportionate, risk-based assurance in areas where competence has a direct bearing on safety.
“However, the IMI supports the Chancellor’s ambition to reduce unnecessary regulatory and administrative burdens on business. Rather than creating new regulatory bureaucracy, government should make greater use of established frameworks to demonstrate competence in high-voltage, automated, connected, and alternative fuel vehicle technologies.”
