THE regional skills shortage is causing a recruitment headache for North-East firms, according to a study.
The Business in Britain survey found that 55 per cent of North-East companies experienced sustained difficulty in recruiting skilled staff over the past six months.
The study, which has been carried out by Lloyds TSB Corporate every year since 1992, also found that 40 per cent of firms had trouble finding unskilled staff.
Steve Bond, commercial relationship director at Lloyds TSB Corporate, said: "A skilled workforce is integral to business success."
Despite almost half of North-East businesses anticipating an increase in turnover over the first half of this year, only 23 per cent expect to take on more staff.
Equipment and machinery came higher than recruitment, with 36 per cent of companies expecting to increase their capital investment.
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