CIPD urges investment in HR capability to support business performance
Management development and workforce planning are priorities for people teams, but the CIPD identifies gaps in their own capability and support.
The CIPD has called for employers to invest in their people teams’ expertise and development to support management capability, workforce planning and business performance.
Its HR pulse report 2026 sets out the profession’s priorities alongside limitations in skills forecasting, success measures and support for junior professionals.
The survey of 883 UK people professionals puts improving organisational performance and supporting line managers’ people management jointly at the top of the agenda, with 91% rating each a high or medium priority. Developing leadership capability follows at 82%, with workforce planning and skills forecasting at 78%.
In medium and large organisations, 77% say their people teams’ initiatives align with business goals and 70% say leadership consults the function on strategic decisions affecting the workforce. Fewer, 61%, say their teams proactively identify the skills and leadership capabilities needed over the next one to two years.
61% agree their people function has clear measures of success. One in five disagree.
CIPD chief executive Neil Carberry said: ‘The first step is an honest assessment of current skills, so people teams can prioritise training, set clear measures of success, and make the business case for investment.’
The report identifies an association between HR investment and strategic practice. In medium and large organisations, 74% of those whose HR budgets increased say their function identifies future skills needs, compared with 51% where budgets decreased.
Professional development is another concern, and more so for those in junior roles. Just 54% of junior professionals feel confident developing their HR expertise and experience, compared with 81% at mid-level and 88% at senior level. Junior professionals are also less likely to know how to access external support, mentors and peer networks.
AI training remains patchy. Separate data included in the report shows that 75% of 353 people professionals had received no training to apply AI in their role, while more than half (53%) are frequently using AI.
The CIPD recommends investment in specialist capability, stronger operational and strategic measures, and closer collaboration with business leaders on people issues affecting performance.
People team priorities
- 91% rate supporting line managers a high or medium priority
- 82% rate developing leadership capability a high or medium priority
- 78% rate workforce planning and skills forecasting a high or medium priority
- 61% agree their people function has clear success measures
Source: CIPD HR pulse report 2026. Base: 883 UK people professionals.