Wales sees record growth in entrepreneurship

Wales has seen a record-breaking increase in entrepreneurial activity, with figures from a newly published report showing the highest levels of early-stage business rates on record.

The 2023 Global Entrepreneurship Monitor Wales report finds that the rate of Total Early-Stage Entrepreneurial Activity (TEA) in Wales has reached an unprecedented 11.5% in 2023, a significant increase from 7.8% in 2022.

Entrepreneurship among young people in Wales has seen a remarkable rise, with 14.0% of young people now engaged in early-stage business activities, up from 2.0% in 2002.

Snapshot

The Global Entrepreneurship Monitor (GEM) 2023 report, which provides an annual snapshot of entrepreneurial trends across the UK, also reveals that 20% of non-entrepreneurial working-age adults in Wales intend to start a business within the next three years, up from 15.7% in 2022.

The TEA rate for women, at 9.5%, is close to that of 13.5% for men. Both figures represent an increase from the previous year.

Through its Business Wales service, the Welsh Government offers extensive and tailored support for individuals looking to start or grow their businesses. This includes a wealth of free resources, from practical advice on launching a business to detailed factsheets on various aspects of entrepreneurship.

The Cabinet Secretary for the Economy, Ken Skates, said: “Wales is a great place to start a business. Whether you’ve always dreamed of being your own boss or your circumstances have led you to consider self-employment, we are here to help.

“As the GEM 2023 report shows, more people in Wales are seizing the opportunity to start their own businesses. As a government, we are committed to making Wales a place where our people feel confident in planning their future here and be part of our growing community of entrepreneurs who are shaping the economy of tomorrow.”

Dreams

25-year-old Jade Woodhouse from Colwyn Bay turned her dream into reality by launching her own business, Tots and Toddlers Soft Play, in February 2024. Jade’s story is a great example of how young entrepreneurs in Wales are finding the support they need to bring their ideas to life.

She said: “I always wanted to work for myself – the freedom and flexibility of running my own business really appealed to me, but I didn’t know where to begin.

“That’s where Business Wales stepped in. My advisor, Rebecca, was incredible. She believed in my vision and guided me through the steps to grow Tots and Toddlers Soft Play and helped me find opportunities that matched my goals.”

“Clear appetite”

Ben Cottam, Head of Wales at the Federation of Small Businesses, said: “The significant increase in entrepreneurial activity in Wales and the clear appetite to establish new businesses, particularly amongst young people, is a positive sign. To become a high-growth, productive economy which creates well-paid jobs across Wales, we need successful businesses and new, innovative companies.

“Yet with business deaths in Wales still exceeding business births, the Welsh and UK governments must prioritise policies that support small businesses at all stages of their lifecycle. This includes adequate access to finance, effective business support programmes, and supportive tax and employment frameworks.

“Entrepreneurship and developing the skills of our talented business owners to help them grow their businesses, needs to be at the heart of any future plans for growing our economy. It needs to be reflected not just in business support but before that, in informing the aspirations of our younger people in schools and colleges. We therefore look forward to working with the Cabinet Secretary for the Economy and colleagues across government to foster a thriving business ecosystem in Wales where Welsh businesses can survive and thrive.”

For more information and business support, visit Business Wales’ website.