The report, Reclaiming Europe’s Edge: Competitiveness through STEM Talent, investigates the essential role of STEM (Science, Technology, Engineering, and Mathematics) talent in sustaining Europe’s global competitiveness.
Drawing from a broad spectrum of sources, including EU policy documents, reports from international organisations like the OECD, think tank publications, and academic research, the report evaluates the challenges to Europe’s global competitiveness due to the STEM skills shortage. Based on the findings, ANE has made a set of strategic recommendations for the European Commission’s 2024-2029 agenda.
Integrating STEM skills into the European Council Agenda
The report concludes that strengthening STEM competencies is essential for enhancing Europe’s global competitiveness, particularly in high-tech industries where innovation drives economic growth. While education is primarily a national responsibility, addressing STEM shortages requires broader, cross-sector efforts at the European level. Therefore, ANE recommends that STEM competencies become a distinct and recurring topic in European Council discussions, especially those focused on industry, prosperity, competition, and technological sovereignty. Additionally, STEM should be a specific focus in the European Semester reports on education, training, lifelong learning, and employment.
Increasing Public Funding for R&I
Increasing public funding for research and innovation (R&I) is crucial for stimulating technological advancements in Europe. This funding addresses gaps for deep-tech startups and fosters an environment that supports innovation, driving economic growth and sustainability. By reducing the perceived risks associated with funding deep-tech innovations, increased public funding can also attract more private investment.
ANE recommends that the EU boost public funding for R&I and prioritize investments in breakthrough technologies to enhance competitiveness and innovation capabilities.
Additionally, the EU should develop and promote funding programs for scale-up financing and review national innovation systems and cross-border collaborations to identify barriers and enablers for a connected European deep-tech ecosystem.
Given their long-term investment horizons, pension funds are well-suited for venture capital investments, which require time to mature. The EU should encourage large pension funds to invest in venture capital and form investor consortia to share the risks associated with deep-tech investments.
A cross-sectoral EU STEM Strategy
STEM talent development involves more than just education. It must also encompass research, industry collaboration, and workforce development to create a robust ecosystem that supports innovation and competitiveness. ANE recommends that the EU Commission develop a resilient, cross-sectoral EU STEM Strategy. This strategy should focus on enhancing early interest in STEM, improving vocational education, attracting students, especially women to STEM fields, promoting lifelong learning, and supporting global mobility and talent retention in STEM professions.
Call to Action
We urge the new EU Commission to listen to engineers and make STEM skills a top priority on their agenda. Ignoring this critical issue risks Europe falling further behind in the global innovation race.