Entrepreneurial hot spots are beginning to appear in parts of the country beyond London and the south east, according to a new report conducted by the Economist Intelligence Unit.
The survey found that a Northern corridor running between Liverpool and York was showing a particularly increased share of British startups.
Actively labelling areas as “innovation hotspots” seems to produce a compound effect that actually fosters entrepreneurship. This means that targeting areas for investment, education and access could be the best way to encourage new businesses.
Antony Jenkins, CEO of Barclays, said:
“Entrepreneurs will thrive across the UK if conditions are put in place that allows them to do so. This research shows that business, the education sector and Government can all do more to create thriving entrepreneurial ecosystems across the UK.
“The Northern corridor is an example of a successful hub establishing itself outside London and the South East. It shows is can be done. The challenge now is for all interested parties to do more to create those conditions elsewhere.”
The study identified specific challenges that will have to be overcome to improve the UK’s “entrepreneurial ecosystem”.
These included encouraging hubs beyond traditional city boundaries, strengthening ties between education systems and the business community, removing demographic-specific barriers to entrepreneurship and better matching the funding needs of entrepreneurs.
Mr Jenkins added:
“A thriving entrepreneurial industry in the UK will create jobs and growth and have a knock-on effect to the wider UK economy. It has to be a good thing.”
Image by Adair Broughton