The document summarizes the key findings of two government reports on digital skills for small and medium enterprises (SMEs). It discusses how the Business Cafe aims to address the need for accessible digital skills training and networking identified in the reports. The reports found that digital skills are required across all industries and job roles. They will continue growing in importance with technological changes. The Business Cafe's goals of providing local SMEs with digital skills training and a community space align well with the reports' recommendations to improve relevance, flexibility and inclusion of digital skills support.

1.
Right
time,
right
place
and
right
people
The
Business
Cafe
response
to
two
Government
Supported
Reports
February
2016
The
following
is
a
set
of
responses
to
the
reports
written
in
the
early
2015
and
the
way
in
which
The
Business
Cafe
has
been
trailblazing
these
solutions
for
SMEs
and
their
need
for
close
networks,
digital
skills,
financial
skills
and
a
place
to
meet
that
is
accessible.
In
October
2013,
Penny
Power
OBE
wrote
a
thought
leading
proposal
on
the
future
of
SME
Support
and
Communities
and
since
then
has
gathered
an
impressive
Board
in
order
to
open
a
network
of
Business
Cafe’s.
The
Business
Cafe
was
incorporated
and
Trademarked
in
2014
and
will
open
its
doors
in
2016.
The
two
core
aspects
to
The
Business
Cafe
are
Community
and
the
provision
of
accessible
and
personally
delivered
Digital
Skills
to
the
local
SME
business
community.
We
are
been
delighted
by
the
two
reports
released
as
they
confirm
our
vision
and
our
desires.
We
seek
to
work
with
local
FE
Colleges
and
we
seek
to
empower
and
grow
small
business.
The
extracts
we
have
pulled
from
these
reports
highlight
the
independent
views
of
others
and
further
confirm
that
we
are
bringing
to
market
a
pioneering’s
concept
that
is
needed
and
desired
by
the
major
stakeholders
that
we
have
been
communicating
with
for
many
years.
Report
One
The
Skills
Funding
Agency
Review
of
Publically
Funded
Digital
Qualifications
–
February
2016
Chair
of
the
Review
-­‐
Liz
Williams
-­‐Director
of
Tech
Literacy
and
Education
Programmes
at
BT
Ministerial
Support
-­‐
Ed
Vaizey-­‐
Minister
of
State
for
Culture
and
the
Digital
Economy and
Nick
Boles
Minister
of
State
for
Skills
Link
to
report
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/499031/Review
_of_Publicly_Funded_Digital_Skills_Qualifications_2016_FINAL.pdf
Forward
“
We
know
digital
skills
are
required
across
the
economy
by
individuals
and
small
businesses
looking
to
make
the
most
of
the
Internet,
through
to
specialist
digital
roles
across
all
sectors.
To
achieve
these
ambitions,
the
digital
skills
offer
must
be
built
on
two
key
components
–
relevance
and
flexibility.
The
pace
of
technological
change
means
that
skills
requirements
will
continue
to
evolve,
and
provision
must
meet
these
changing
needs.
To
stay
relevant,
standards
must
reflect
what
industry
needs
and
shape
the
provision
that
sits
underneath
them.
Delivery
of
skills
provision
must
also
be
flexible
to
ensure
that
it
meets
changing
local
and
national
priorities.”

2.
Where
you
see
quote
marks,
these
are
extracts
from
the
report.
The
report
specifies
3
categories
of
Digital
Skills.
It
is
the
role
of
The
Business
cafe
to
fill
the
‘General”
one.
Digital
skills
required
for
all
job
roles
across
the
economy.
The
Business
cafe
is
there
to
serve
the
business
population,
although
we
have
muted
a
CSR
plan
to
open
the
cafe
at
weekends
for
the
general
public
and
the
Digital
Inclusion
needs
“This
is
not
just
about
supplying
skills
for
the
digital
workforce,
but
ensuring
that
every
individual,
regardless
of
background,
experience
or
aspiration,
has
the
opportunity
to
develop
appropriate
digital
skills”.
The
need
for
digital
skills
in
the
workforce
“Digitisation
presents
real
opportunities
for
UK
growth
and
competitiveness.
By
adopting
accelerating
technologies
(including
data
analytics,
mobile
technology
and
social
media),
companies
can
perform
10
times
better
than
their
peers
(Exponential
Organisations,
Salim
Ismail,
2014).
In
2014,
an
estimated
1.4
million
people
worked
in
digital
roles.
Research
from
the
Tech
Partnership
predicts
that
by
2023
the
economy
will
require
one
million
new
people
to
fill
digital
roles
and
it
is
vital
the
future
workforce
is
equipped
to
fill
them”.
“The
need
for
digital
skills
will
continue
to
increase
in
future.
In
London,
84%
of
businesses
state
that
the
skills
of
their
employees
will
need
to
change
over
the
next
10
years,
identifying
‘digital
know-­‐how’
as
a
top
new
skill.
A
recent
Deloitte
report
estimates
that
35%
of
all
jobs
are
likely
to
become
automated
in
the
next
20
years,
with
90%
of
all
jobs
requiring
some
level
of
digital
skills.
Digital
skills
have
a
key
role
to
play
in
preparing
people
for
new
job
roles
that
will
emerge
alongside
changing
technologies,
as
well
as
future
proofing
the
workforce
as
existing
job
roles
change”.
Digital
skills
shortages
Understanding
the
benefits
of
technology
and
being
able
to
use
it,
requires
every
individual
to
have
digital
skills.
It
is
therefore
notable
that
digital
skills
shortages
are
widely
reported
across
the
economy.
An
estimated
23%
of
UK
adults
do
not
have
basic
digital
skills,
and
the
CBI
Gateway
to
Growth
report
notes
that
61%
of
businesses
surveyed
report
weaknesses
in
IT
skills
competencies,
a
4%
increase
from
the
last
survey
in
2009.
The
UKCES
found
that
“the
greatest
recruitment
challenges
are
currently
experienced
by
those
seeking
workers
with
digital
skills”
and
that
“there
are
particular
concerns
about
the
ability
of
the
education
system
to
supply
the
quantity
and
quality
of
workers
needed
for
digital
roles.”
The
UKCES
2013
Employer
Perception
Survey
(EPS)
found
that
16%
of
all
vacancies
were
due
to
a
lack
of
basic
digital
skills.

3.
Basic
digital
skills
qualifications
“Feedback
indicates
that
the
current
basic
digital
skills
qualifications
are
out
of
date,
as
they
are
based
on
standards
and
criteria
that
are
more
than
five
years
old.
Although
a
large
number
of
qualifications
are
available,
most
enrolments
are
on
Functional
Skills
or
ITQs.
These
qualifications
are
also
predominantly
based
on
out-­‐of-­‐date
standards;
most
on
ITQs
that
are
derived
from
the
NOS
that
are
over
five
years
old.
Most
enrolments
(62%)
are
on
qualifications
where
productivity
software,
such
as
spreadsheets
and
word
processing,
are
either
the
exclusive
content,
or
form
a
large
majority
of
mandatory
content.
Just
under
a
third
(32%)
of
enrolments
are
on
broad
ITQs.
These
cover
how
to
use
a
computer,
online
skills,
digital
media,
or
other
areas
such
as
imaging
software.
Part
4:
Recommendations
Who
and
how:
The
government
should
consider
which
organisation,
or
consortium
of
organisations,
would
be
most
appropriate
to
carry
out
this
work.
This
should
reflect
the
central
importance
of
employer
collaboration
in
designing
and
developing
standards.
It
should
also
take
into
account
activity
to
create
a
discrete
number
of
occupational
routes,
which
has
arisen
from
the
reform
of
technical
and
professional
education.
Providing
the
general
skills
the
workforce
need
It
is
predicted
that
within
20
years,
90%
of
jobs
will
require
digital
skills.
The
data
indicates
that
the
publicly
funded
provision
does
not
emphasise
these
skills
sufficiently,
which
will
support
digital
transformation
and
productivity.
Report
Two
–
February
2016
Self
Employment
Review
commission
by
Rt.
Hon
David
Cameron
_
UK
Prime
Minister
By
Julie
Deane
OBE
CEO
ad
Founder
Cambridge
Satchel
Company
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/501735
/ind-­‐16-­‐2-­‐self-­‐employment-­‐review.pdf
In
this
excellent
report
Julie
Deane
OBE
highlights
a
number
of
key
themes
that
we
have
identified
in
our
strategy
for
The
Business
Cafe
since
it’s
inception
in
2013.
It
is
a
joy
to
see
this
enormous
workforce
being
given
credibility
and
attention.
We,
at
The
Business
Cafe,
honour
Julie
Deane
for
her
commitment
and
empathy.
Over
900
responses
were
gathered.
Prime
Minister,
I
am
honoured
to
have
been
chosen
by
you
to
conduct
this
review
of
self-­‐employment
in
the
UK.
With
record
numbers
(currently
4.6m)
representing
15%
of
the
UK
workforce,
I
have
been
struck
by
the
diversity
of
this
group.
Throughout
the
process
I
have
been
keen
to
engage
with
every
part
of
this
sector
–
not
just
tech
start-­‐ups
but
farmers,
construction
workers,
taxi
and
cab
drivers,
hairdressers
and
artists.
Julie
Dean
OBE

4.
Key
themes
covered
aspects
such
as
financial
support
in
the
form
of
self
employed
mortgages
and
maternity
pay,
while
we
celebrate
these
considerations,
we
are
focused
on
the
themes
around
skills
and
isolation
and
the
impact
that
technology
can
have
on
this
sector.
Evidence
has
been
gathered
statistically
of
this
growing
sector
of
the
business
population.
Now
at
4.6
million,
an
increase
of
800,000
since
2008.
This
is
a
diverse
group,
covering
a
wide
range
of
occupations
across
many
sectors
and
industries.
Julie
notes
that
60%
of
the
rise
we
are
witnessing
in
the
last
5
years
has
come
from
the
higher
skilled,
professional
and
associate
professional
jobs.
It
is
stated
that
nearly
43%
of
the
self-­‐employed
are
aged
50+
and
only
11%
under
30.
This
validates
our
belief
that
this
sector
requires
empathetic
and
face2face
support
in
providing
them
with
digital
skills.
They
did
not
learn
their
trade
in
a
digital
era.
Women
feature
in
the
report
as
a
growing
trend
of
self-­‐employed,
with
1.49
self
employed
women,
representing
a
third
of
the
total
self-­‐employed
population.
Over
half
of
the
growth
we
have
seen
since
2009
are
from
women.
Through
the
work
we
(The
Business
Cafe)
carried
out
in
2015
for
The
Government
Equalities
Office
we
witnessed
how
women
have
been
missing
out
on
digital
skills
with
many
women
returning
to
the
workplace
and
finding
it
very
different
from
the
world
they
left
before
they
had
children.
Digital
skills
were
key
to
the
success
of
the
program
we
ran
in
Surrey,
helping
100
ladies
back
into
work
through
the
provision
of
community,
confidence
and
skills.
www.surreywise.co.uk
The
list
below
from
1-­‐15
are
direct
extracts
that
validate
the
core
of
The
Business
Cafe’s
drivers
and
the
reasons
we
are
executing
such
a
pioneering
concept
for
local
small
business.
Recommendations
of
the
report
–
the
following
are
exact
extracts
from
the
report
1. It
is
important
that
the
advice
and
support
available
is
as
accessible
as
possible
During
the
review
many
self-­‐employed
talked
about
their
concerns
around
a
lack
of
knowledge
regarding
finance,
cash
flow,
bookkeeping
and
taxation.
These
are
skills
that
would
benefit
many
adults
regardless
of
their
employment
status
and
yet
they
are
still
lacking
from
our
Curriculum.
2. Shared
work
spaces
are
becoming
more
important.
The
location
and
availability
of
such
spaces
needs
to
be
better
communicated
so
as
to
increase
awareness.
Increased
visibility
of,
and
accessibility
to,
shared
work
spaces
needs
to
be
improved.
Consideration
should
be
given
to
incorporating
such
a
space
in
local
libraries
and
community
center’s
bringing
commercial
activity
and
life
to
underutilized
resources
already
in
place.

5.
3. Technology
has
revolutionised
the
way
we
work
and
offers
great
opportunities
for
the
self-­‐employed.
Trade
and
professional
organisations
must
take
responsibility
for
keeping
members
up
to
date
with
technological
advances.
The
self-­‐employed,
if
wanting
to
grow
their
businesses,
need
to
use
whichever
networks
and
forums
they
feel
most
comfortable
with
to
keep
their
knowledge
base
current.
I
would
advocate
combining
disparate
age
groups
and
underutilized
existing
community
resources
to
facilitate
this
exchange.
4. I
am
keen
to
see
more
private
sector
organisations
start
such
initiatives,
which
I
believe
are
mutually
beneficial.
Private
sector
corporations
can
reap
the
benefits
from
providing
5. The
support
that
Government
gives
should
be
objective,
without
commercial
bias.
The
importance
of
this
should
not
be
underestimated.
This
is
why
it
is
important
that
that
advice
and
support
is
as
accessible
as
possible.
It
is
not
the
role
of
government
to
dictate
how
to
start
a
business,
nor
how
to
run
a
business.
6. Although
the
majority
of
people
whom
I
spoke
to
would
not
go
back
to
employment,
when
asked
what
they
missed
about
being
an
employee,
the
most
popular
responses
were
colleagues
(25%);
infrastructure
(14%),
regular
income
(12%),
job
security
(10%)
and
benefits
–
including
sick
pay,
holiday
pay
and
an
employee
pension
(9%).
7. Unsurprisingly,
given
the
diversity
in
business
types
and
methods
of
working,
the
ways
in
which
people
intended
to
grow
were
very
varied.
However,
there
were
some
broad
themes
–
by
far
the
most
popular
method
(29%)
was
seeking
to
take
on
more
work
and
clients,
by
developing
existing
partnerships
and
improving
and
increasing
their
reputation.
15%
of
people
sought
to
grow
by
diversifying
their
existing
goods
and
services;
and
11%
sought
to
grow
through
increased
marketing
and
communication.
8. It
was
identified
that
being
self-­‐employed
can
be
a
solitary
and
often-­‐lonely
occupation
with
25%
of
respondents
to
our
online
survey
stating
the
thing
they
missed
most
about
being
an
employee
was
their
colleagues.
This
becomes
less
of
an
issue
for
those
who
decide
to
take
on
an
employee
but
less
than
a
fifth
of
say
they
plan
to
take
on
more
or
any
employees
in
the
next
year.
9. Of
great
concern
to
me
was
the
fact
that
of
those
who
were
planning
to
expand
and
grow
their
business,
only
7%
planned
to
do
so
through
innovation
and
new
ideas,
and
even
fewer
(4%)
highlighted
exporting
as
a
method
they
were
considering
using
to
grow
their
business.
10. According
to
BIS
research,
46%
of
people
said
that
they
had
worked
with
other
self-­‐
employed
people
on
the
same
job
or
project
as
part
of
team
whilst
64%
of
people
had
referred
people
on
or
shared
clients
for
different
jobs.
11. Never
before
has
there
been
more
flexibility
in
working
arrangements,
be
they
informal
networks
or
hubs.
Often
the
fastest
growing
businesses
are
those
which
are
most
inventive
in
this
area.
12. However
over
half
(55%)
of
the
people
who
answered
my
online
survey
had
not
heard
of
them
(shared
workspaces),
or
had
not
used
them.
A
quarter
of
people
(25%)
said
that
they
would
be
encouraged
to
use
a
work
hub
if
they
were
available
in
a
location
that
was
more
accessible
to
them
and
the
third
that
had
used
them
found
it
to
be
a
positive
experience.
13. Internet
-­‐
A
surprisingly
small
percentage
of
people
-­‐
only
78
out
of
the
697
who
answered
the
question
(11%)
–
said
they
used
it
for
marketing
activity.
This
indicates
a
lack
of
awareness
of
the
commercial
opportunities
afforded
by
social
media
which
is
a
fantastically
low
cost
and
effective
way
to
communicate
with
customers
outside
the
immediate
locality.

6.
14. There
is
a
tremendous
opportunity
for
a
hook
up
of
two
disparate
age
groups;
the
younger,
more
tech
savvy
generation
with
digital
and
social
media
skills
and
the
55+
age
group
who
we
have
identified
as
being
a
key
part
of
the
self-­‐employed
population
15. Problems
with
limited
broadband
connection
and
poor
Internet
speed
were
raised
(9%).
It
is
important
that
the
UK
has
the
latest
and
most
up
to
date
digital
infrastructure
in
order
to
be
competitive
in
the
new
global
market
place.
This
should
be
available
regardless
of
geographic
location.
The
Response
from
The
Business
Cafe
CEO
and
Founder,
Penny
Power
OBE
These
reports
are
both
gratifying
and
motivating
and
further
motivates
the
Board
of
The
Business
Cafe
to
bring
to
market
a
new
infrastructure
that
provides
the
social
workspace
that
combats
many
of
the
challenges
of
being
self
employed,
together
with
the
enormous
opportunities
for
collaboration,
knowledge
share
and
friendship.
Our
strategy
of
bringing
the
online
and
the
offline
together,
while
also
creating
an
environment
for
the
young
and
the
old
to
share
skills
is
unique
and
pioneering.
Under
pinning
our
strategy
is
the
belief
that
Government
should
not
build
this
infrastructure
and
the
impetus
and
funding
should
come
from
businesses
that
stand
to
gain
from
the
growth
and
stability
of
this
increasing
workforce.
We
are
on
course
to
create
a
groundbreaking
business
community
and
look
forward
to
welcoming
the
partners
that
see
this
need
and
support
its
growth.
Penny
Power
OBE
CEO
and
Founder
The
Business
Cafe
19th
February
2016
Summary
from
Julie
Deane
OBE
There
can
be
no
question
that
technology
has
revolutionised
the
way
we
work
and
offers
great
opportunity
for
the
self-­‐employed.
To
capitalise
on
this,
trade
and
professional
organisations
must
take
responsibility
for
keeping
their
members
up
to
date
with
technological
advances
and
the
self-­‐employed,
if
wanting
to
grow
their
businesses,
need
to
use
whichever
networks
and
forums
they
feel
most
comfortable
with
to
keep
their
knowledge
base
current.
I
would
advocate
combining
disparate
age
groups
and
underutilized
existing
community
resources
to
facilitate
this
exchange.