Back the start-ups

Traditional methods for supporting UK entrepreneurs are not producing enough successful innovation-based businesses. A new approach, backed by government, could ensure more successful start-ups, delivering a much-needed boost to the economy.

Successful entrepreneurs are critical to a strong UK economy. They increase the competitive offering of new products and services, contributing towards greater market efficiency. They are also agents of innovation, pushing traditional industry sectors forward and establishing new markets for growth.

Innovation-based businesses should be supported and encouraged. But the most recent study of entrepreneurship around the world, the 2006 Global Entrepreneurship Monitor, showed the UK in the bottom half of countries supporting early-stage innovation-based businesses. We are not doing enough to nurture successful, innovative start-ups.

Most small businesses fail because the people running them have good ideas but no experience or understanding of how to turn them into businesses. They lack the skills to start and run a successful company. This is not just about investing money in entrepreneurial businesses — according to the