UK ranks fourth globally in Shopify Entrepreneurship Index

UK entrepreneurs within Shopify's ecosystem generated 28.8 billion pounds in business activity and contributed 14.3bn pounds to GDP in 2022. The index, conducted in partnership with Deloitte, offers real-time insights into entrepreneurship and is based on data from millions of entrepreneurs and IMF, OECD, and World Bank data.

UK businesses grew exports by 8 percent in the past year, reaching 3.2bn pounds, second only to the US. They also supported over 78,000 jobs directly and nearly 200,000 jobs in total. The success can be attributed to long-term investments in incentives and support structures. However, the impact on GDP saw a 1 percent decline from the previous year, emphasising the need for continued support.

The index showcases the significant contributions of digital entrepreneurship across the country, with 60 percent of entrepreneurs based outside major cities. Europe dominates the rankings, with 11 out of the top 20 countries. The US ranks first globally, followed by Lithuania and Romania.

Jack Kennedy, UK Economist at global hiring platform Indeed, underscored the significance of job support provided by entrepreneurs, noting that as the UK faces a softening labour market, fostering entrepreneurship becomes crucial for enabling economic growth and job creation. Small business growth, driven by entrepreneurship, plays a pivotal role, given its substantial contribution to the UK economy.

The UK's success in entrepreneurship can be attributed to long-term investments in incentives and support structures aimed at facilitating entrepreneurial success. Initiatives such as the British Business Bank's Start Up Loans program and the UK Government's recent expansion of investment reliefs have attracted and retained talented entrepreneurs. Moreover, investment in British export support, including efforts like the Export Academy, has facilitated the global expansion of UK businesses.