New report signals UK’s decline as a home for entrepreneurs, as pressure mounts on Reeves

The UK is in continued decline as a home for entrepreneurs and new businesses, failing to secure a spot in the top 20 most attractive markets globally for entrepreneurs for the sixth year running, the Opinium Global Entrepreneurship Index 2025 reveals today.

As the Government seeks to boost economic growth with Wednesday’s Spring Statement, the analysis finds that the UK is only the 23^rd best place to set up a new business, and falls behind a significant number of European and global rivals. The UK achieved its highest ever position in the Index more than a decade ago, in 2013, when it ranked 16^th.

Public opinion mirrors the results from the index, with almost half (48%) feeling that the UK currently has the wrong economic conditions for entrepreneurs to start and scale up a business. With three in five (59%) believing that strong economic growth will not return this year, the public think the chancellor will need to focus on improving the overall economic conditions facing businesses (42%) in the Spring Statement to help entrepreneurs deliver jobs and growth.

Chris Curtis, co-chair of the Labour Growth Group, comments: “This is a stark warning for Britain. For six years, the UK has remained outside the top 20—an indication of the tough economic inheritance we face and a reminder that driving economic growth must be this government’s top priority. There is an urgent need to strengthen our digital infrastructure, invest in skills, and ensure Britain remains an attractive place to do business. High costs, weak infrastructure, and uneven demand are stifling our potential—we are determined to change that. Our goal is clear: to build a dynamic, high-growth economy that puts money in people’s pockets and creates opportunities for all.”

Danielle Dunfield-Prayero, Chair of the new Conservatives For Business group, added: “Great Britain has a proud tradition of invention and entrepreneurship. To secure the growth needed to thrive in an increasingly complex and uncertain world, the government must empower and champion this legacy. Making the UK the premier destination for starting and scaling businesses should be both a priority and a key measure of success.”