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This research study addresses a number of research questions regarding the engagement of employers with higher education institutions (HEI). These include: how do employers use and view graduate skills; what are employer views on high-level skills development and HEIs; is there scope for greater employer-HEI collaboration in pursuit of knowledge transfer through high-level skills development; and what are the geographical patterns of employer-HEI engagement and is this engagement organised at national or local (city-region) levels? Evidence was compiled from a literature review, a compilation of statistics from the Labour Force Survey, National Employers Skills Survey 2005, and Higher Education Statistics Agency (HESA) Origins and Destinations data, and from case studies with 74 employers, all of whom had recently recruited new graduates. The case studies were distributed across 18 city-regions in England. Key findings include: the majority of employers are satisfied with the recent graduates they had recruited; there is already a considerable degree of employer engagement with HEI, especially amongst larger employers; continuing professional development (CPD) is mainly a local relationship, as employees need to be able to study close to where they work; and the introduction of Foundation Degrees, although highly regarded by those employers that have committed to them, has had little impact on employer-HEI engagement.