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A third of UK engineering firms believe that graduates' skills deficiencies are costing them money, according to research by the Royal Academy of Engineering and Henley Management College. A report that surveyed more than 400 engineering companies says there is a pressing need to overhaul undergraduate engineering education. Educating Engineers for the 21st Century: The Industry View also reveals a fall in the number of engineering graduates and a lack of graduates choosing to take up careers in the sector.