Perspectives on SMEs and productivity in the Northern Powerhouse: Final report

Article

By international standards, the UK’s post-recession productivity performance has been poor. This ‘productivity problem’ is particularly acute in the north of England, and for the smaller businesses that make up over 99 per cent of the northern business population. Boosting the productivity of small businesses in the Northern Powerhouse could add as much as £23 billion per annum to the economy.

Policy for productivity must target both advanced industries and high-tech sectors, as well as the ‘everyday economy’ in which many small and medium-sized enterprises (SMEs) provide employment and support communities and places. This is important if productivity gains are to translate into higher wages and better living standards.

Northern SMEs are not a homogeneous group. They need support that is tailored to their local contexts and individual needs. This means strategically coordinated opportunities that are rigorously assessed for efficiency, relevance and effectiveness, delivered by experts and well-resourced. Signposting services are also essential to allow busy SME leaders to navigate what is inevitably a complex landscape.

This report sets out the support that SMEs need to help them respond to wider challenges and opportunities in the UK economy, and recommends measures to boost northern SME productivity.

Download the full survey results (PDF)

Related items

  1. Adults standing in a circle and talking to each other about their mental wellbeing. There is a staff member sitting to the left of them in the frame sitting next to a table. The community centre is located in Seaton Deleval in the North East of England.

    What is the left for?: The case for a politics of reciprocism

    Liberal democratic capitalism has failed to give many people good lives, and the future looks less promising than the past. 

  2. Wildfires and climate change | Dave Hawkey from IPPR Scotland speaks to Lewis Goodall on LBC

    Europe’s heatwaves and the wildfires in the Cairngorms are a stark reminder that climate extremes are here.  The Scottish government must act now with a clear plan to prepare for what's coming.

  3. “I feel quite unsettled and unsafe”: Young people, belonging, and the broken promise of childhood

    Young people in England feel less secure, supported and connected than a decade ago. Based on nearly 200 conversations, this blog explores why childhood feels more stressful and less joyful.