Hybrid working could unlock job prospects for 3.8 million Brits

Increased adoption of hybrid working could add £48.3 billion to the UK economy

Flexible and hybrid working could help almost four million people in the UK to enter or return to the job market, according to a new study by the Centre for Economics and Business Research (CEBR).

The research [pdf], which was conducted by CEBR in association with Virgin Media O2 Business, shows that 45 per cent of those who have been 'locked out' of jobs due to factors like disabilities or parental responsibilities could start working again if they had remote options.

The CEBR team surveyed 502 decision makers and 2,000 consumers in July 2021, to examine how the Covid-accelerated digital transformation can reshape the British economy.

The survey found that 49 per cent of parents and 40 per cent of those with disabilities are more inclined to work remotely.

It also suggests that increased adoption of hybrid working in the UK could add £48.3 billion to the economy annually, with more people joining the workforce and part-time employees able to increase their working hours.

In total, mass adoption of hybrid working will potentially lead to an additional 3.8 million people entering the workforce, including 1.5 million people with disabilities, 1.2 million parents, 500,000 carers and 600,000 others who are currently out of work.

Part-time employees alone could work nearly 1.3 billion more hours each year, if able to adopt a hybrid or remote model: equivalent to about three hours a week across the 8.6 million people currently working part-time across the UK.

43 per cent of part-time workers said they would increase their working hours if they could work remotely. The study suggests they could earn, on average, an extra £3,600 a year as a result.

Similarly, people who serve as informal carers could work up to seven additional hours per week, which would help them earn an additional £4,800 annually.

The report estimates that investment in technologies that enable digital innovation and hybrid working could potentially add £76 billion to the UK economy by 2025, and £236 billion by 2040. Similarly, the UK's regional economies could get a £33.3 billion boost as workers relocate and spend their earnings locally.

In February 2021, Virgin Media Business published CEBR research predicting a £232 billion boost to UK GDP thanks to Covid-driven digital changes.