34% rise in Gen Z entrepreneurs in the North West
New data released by Start Up Loans, part of the British Business Bank, reveals there has been a surge in entrepreneurship amongst Gen Z in the North West, with the number of loans taken out by young founders increasing by 34% in 2025, as more young people look to start their own businesses.
In the last 12 months, Gen Z founders in the North West secured more than £2,789,172 in funding, with the number of loans taken out by young entrepreneurs rising to 272 in 2025. The annual value of these loans has risen by 33%.
Research published late last year by KPMG found Gen Z workers are increasingly leaving corporate careers in pursuit of entrepreneurial opportunities, with 42% leaving to work in start-ups and 35% going freelance or becoming self-employed. Younger Gen Zs entering the workforce face a tough job market, with ISE data showing a record 140 applications per graduate vacancy, the highest level in over 30 years.
In 2025, Gen Z founders received a substantial 17% of all loans delivered in the North West, the joint second-highest proportion in the UK. Only the South West at 18% of loans going to Gen Z had a higher proportion.
Two young founders that have used funding from the Start Up Loans programme are Mylo Sedgley-Phillips and his partner Ketsara Lumb, co-founders of Ramsbottom-based Sawadee Thai Dining, a traditional Thai restaurant which offers dishes rarely seen in the UK. The business owners received a £50,000 funding boost through the Start Up Loans programme, delivered by GC Business Finance, to refurnish premises in the town and purchase essential kitchen equipment.
Mylo Sedgley-Phillips, co-founder of Sawadee Thai Dining, said: “We could never have imagined we’d be running our own restaurant at this stage, but Start Up Loans gave us the support to make it happen. As Gen Z entrepreneurs, it can be daunting to start out without as much experience or savings, but the funding and guidance meant we could focus on bringing our vision to life.
“It’s inspiring to see that we’re in good company with so many other young people in the North West taking the leap and making things happen. After 10 months of trading, it’s been a fantastic start and we are extremely happy to see our guests enjoying their experience with us. We look forward to the future and to see what it holds.”
Blair McDougall, minister for Small Business and Economic Transformation, said: “Age shouldn’t be a limit on entrepreneurial ambition. It’s fantastic to see an uptake in aspiring young people taking advantage of government support to help turn their ideas into thriving businesses.”
Louise McCoy, managing director of Start Up Loans Products, British Business Bank commented: “The younger generation is entrepreneurial in nature and shouldn’t be underestimated. A key challenge young people face is affordable access to finance given their lower savings and lack of track record. Start Up Loans exists to fill this market gap, and we are proud of the work we have done to help younger people start businesses.”