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Almost half of businesses struggle to recruit the right staff, research finds.

According to a survey of 6,000 businesses by the British Chamber of Commerce, 45 per cent say that it is very or quite difficult to find the right employees for a position.

Despite unemployment reaching 2.57 million, and expectations that this could increase due to public sector cuts, many firms claim candidates do not have the right skills.

Companies report poor levels of literacy and numeracy, but also deficiencies in softer skills such as timekeeping and communication.

Only 45 per cent of businesses are very or fairly confident in recruiting graduates, but just 29 per cent feel similarly about recruiting a school-leaver with A-levels or equivalent.

Just 20 per cent of respondents are very or fairly confident in recruiting an ex-public sector worker, and only 10 per cent feel confident in taking on someone who has been unemployed for six months or longer.

John Longworth, director general of the British Chambers of Commerce says that people are at the heart of every successful business. ‘Developing the capability of our workforce is crucial for individual companies as well as the UK's economic competitiveness. Our survey results prove what we have known for some time: UK companies continue to invest in their workforce, and they still want to take on staff and expand despite a difficult economic climate. However, the results also confirm that many firms looking to recruit are stymied by the poor skills available within the local labour pool,’ he says.

‘Even at a time of record youth unemployment, firms lack confidence in our education system's ability to deliver basic literacy and numeracy skills. But employers also want to see young people with a strong worth ethic, and those 'softer' skills like timekeeping, and communication, which are fundamental in the work environment.’