Skills shortages are stunting the UK economy and crippling many small businesses, according to a new report.

A Skills for Business survey of 13,000 employers showed that over 60% are struggling to find people with the right skills to do the job. And a quarter of those questioned by the survey said they are finding it difficult to drive through improvements in products or services because of these gaps.

Smaller businesses are being hit harder by the skills shortages with 39% affected, compared with 18% of larger companies.

Skills for Business – the network of Sector Skills Councils – has launched a campaign to champion the link between skills and success at work, and has recruited a series of ‘skills ambassadors’ – top executives from blue-chip firms such as Ford and Nationwide Building Society – to front its new communications campaign.

Christopher Duff, chief executive of Skills for Business, said: “Through the establishment of a network of employer-led Sector Skills Councils, we are working to ensure that the UK workforce has all the skills needed by employers, large and small, to boost the performance of UK plc.”