Most “start-up” firms want to keep their business in the UK but have issued warnings about issues such as regulatory burdens and difficulty accessing funds, according to a new report.
Virgin Media O2 said its research among 500 start-up companies suggested that the UK is a “pivotal crossroads” in terms of removing barriers to growth.
Almost nine in 10 respondents said they would like to keep their business base in the UK, but many warned that regulatory burdens, political uncertainty and difficulties accessing funding were holding them back.
Almost half of those surveyed said they remained optimistic about the UK’s long-term economic prospects, citing high-quality research institutions, international business environment and strong legal and regulatory frameworks as key strengths.
Lutz Schuler, chief executive of Virgin Media O2, said: “Bold and innovative businesses are created here in Britain because it cultivates home-grown talent with the ambition to match. But too many of the fastest-growing companies can’t see a route to scale in the UK and are now looking to prosper abroad.
“We need agile regulation, patient capital, a strong talent pipeline, and long-term policy stability to unlock growth for the long term.
“With an AI-powered economic revolution already underway, the question is now whether Britain leads or follows.
“This is a country that can maintain its place on the world economic stage and win if it fixes the frictions founders face every day.”
