- Government to introduce a dedicated support service for fast-growing businesses.
- New talent measures aim to attract skilled workers in key sectors.
- Ministers want more UK start-ups to grow into global companies at home.
The UK government has unveiled plans for a new support service designed to help fast-growing businesses overcome barriers to expansion, as ministers look to strengthen the country's scale-up ecosystem and retain more high-growth companies.
The initiative, announced by Business Secretary Peter Kyle during London Tech Week, will provide tailored support to promising firms in sectors such as technology, artificial intelligence, fintech, life sciences and clean energy. The government hopes the programme will make it easier for businesses to start, scale and remain in the UK rather than seeking growth opportunities overseas.
The new service will act as a central point of contact for companies facing challenges around regulation, finance, procurement, talent recruitment and other obstacles that can slow growth. Officials said support will be offered at different stages depending on a company's size and ambitions.
Tackling the UK's scale-up challenge
While the UK has produced a steady stream of start-ups and innovative businesses, policymakers have long faced criticism that too many firms choose to expand abroad once they reach a certain size.
The government believes closer engagement with high-potential companies could help address that issue. Officials say the service will work alongside existing programmes such as British Business Bank investment schemes, Innovate UK's Velocity programme and initiatives aimed at supporting the UK's artificial intelligence sector.
According to government figures, high-growth businesses accounted for £2.2 trillion in turnover and employed 3.9 million people in 2023, despite representing just 0.8 per cent of UK firms.
Recent beneficiaries of government-backed investment include quantum computing company Oxford Quantum Circuits, which secured £100 million from the British Business Bank as part of a £260 million funding round, and data analytics firm Quantexa, which won a £175 million contract with HM Revenue & Customs.
Global talent in focus
Alongside support for businesses, ministers are also introducing measures designed to attract international talent to the UK.
The government plans to offer visa fee reimbursements for workers joining scale-ups in sectors including digital technology, life sciences and clean energy. A fast-track route for UK Expansion Worker sponsor licences is also being introduced to help overseas businesses establish operations more quickly.
The measures will be delivered through the Global Talent Taskforce, which was set up to support companies operating in emerging and high-growth industries.
The government has appointed entrepreneur Penny Verbe as its new Scale-Up Adviser to help shape the programme and provide industry feedback on the challenges facing growing businesses.
Supporters of the initiative argue that easier access to funding, talent and government services could strengthen the UK's position as a destination for innovative companies. However, the effectiveness of the programme is likely to be judged by whether more British firms choose to remain and expand domestically rather than seeking growth opportunities elsewhere.
