<p>Rebalancing the economy:
Unlocking the potential of
the fastest growing smaller
companies in the UK
HIGH GROWTH
SMALL BUSINESS
REPORT 2018
Third Edition
Follow the conversation: #HighGrowthSmallBiz
Disclaimer
While every effort has been made to ensure the accuracy of the material in this document, neither Centre for Economics and Business Research Ltd
nor the report's authors will be liable for any loss or damages incurred through the use of the report.
Authorship and acknowledgements
This report has been produced by Cebr, an independent economics and business research consultancy established in 1992. The views expressed herein
are those of the authors only and are based upon independent research by them.
The report does not necessarily reflect the views of Octopus Investments.
London, March 2018
CONTENTS
Executive Summary
2
Foreword
4
1 Hidden potential: A snapshot of HGSBs in the UK
5
2 Opportunity everywhere: HGSBs as growth drivers
8
2.1 HGSBs are flourishing right across the UK
11
2.2 HGSBs can help build the UK's Industrial Strategy
12
3 The high growth effect: Employment and skills development
14
3.1 Employment
16
3.2 Training
16
3.3 Skills shortages
17
4 Unlocking HGSBs' potential: Infrastructure
20
4.1 Infrastructure policy in the UK
21
4.2 HGSBs and regional demand for infrastructure
22
4.3 The National Infrastructure Pipeline and HGSBs
24
5 Supporting businesses to start and grow
26
6 Policy Recommendations
35
7 Contact us
44
3
2
This is the third Octopus High Growth Small
Business Report. The UK's high growth small
businesses (HGSBs) have the power to drive the
UK's economy, increase productivity, skills and
employment. They make up less than 1% of UK
companies, yet in 2016 they accounted for 3% of
total UK jobs, creating an average of 3,000 new
jobs every week.
Three out of five HGSBs are located outside London
and the South East and are a vital part of the
regional economy wherever they are found. Our
findings highlight the need of HGSBs for