Welsh businesses are facing difficulties when recruiting new skilled staff, according to the latest Business in Britain report from Lloyds Bank.

The research found that 28 per cent of Welsh firms have experienced difficulties when taking on new skilled staff over the past six months. However, this is below the national average of 38 per cent.

Many firms in the region (48 per cent) also anticipate having to raise money for their business in the next six months with 29 per cent planning to use the new funds to implement training programmes.

For some companies access to skills is critical to their future with seven per cent of firms in Wales saying it is the greatest threat to their business.

More than a third (31 per cent) of Welsh companies said that improving access to the right skills through more vocational education should be a priority for the Government.

Allan Griffiths, Lloyds Banking Group’s Ambassador for Wales, said: “Having access to the right skills is crucial for any businesses and that’s why we are focused on developing talent in Wales.

“Our commitment to nurturing young talent is an intrinsic part of our Helping Britain Prosper plan and through our Education SME team and Schools to Work programme, we’ve been working closely with a number of schools, colleges and universities across Wales.

“We’ve also been working with local businesses as they develop new training, carrying out digital and IT upskilling.

“Working with businesses and education providers across Wales we’re confident we can develop local talent and help to address the recruitment challenges faced by firms by offering mentoring and support to help boost the skills that employers are looking for.”

The Business in Britain report, now in its 24th year, gathers the views of more than 1,500 UK companies, predominantly SMEs, and tracks the overall 'balance' of opinion on a range of important performance and confidence measures, weighing up the percentage of firms that are positive in outlook against those that are negative.