Almost four in ten entrepreneurs are considering moving their business abroad
Almost four in ten (39%*) owners are considering moving their business abroad because they don’t consider the UK to be supportive of entrepreneurs, according to new research for professional services group S&W.
The research, which polled 500 UK business owners with turnovers of £5m upwards, comes at a difficult time for the chancellor who is under pressure to cut spending or increase taxes in the Autumn Budget later this year in a bid to plug gaps in public finances.
A series of findings in S&W’s Business Owners Sentiment Survey (BOSS) being released next week show widespread criticism of government policies*:
- 48% surveyed say the Autumn budget worsened the prospects for their business
- 42% say the government’s policies towards business are deterring them from starting a business
- 47% say the government’s policies towards business are deterring them from expanding their business
- 45% say increasing CGT rates beyond the levels announced by the chancellor in the October 2024 Budget would deter them from starting a business
- 43% say that if the government introduced plans to restrict IHT reliefs on gifting assets this would make them consider leaving the UK
Toby Tallon, tax partner at S&W added: “It’s extremely worrying that many business owners don’t consider the government to be supportive of entrepreneurs. Business owners are key to driving growth and they need to be given need the confidence to make the long-term decisions that will create jobs.
“The last Budget worsened the prospects for many business owners and there is a fear about what is to come in the autumn given the need to plug gaps in the Treasury’s spending commitments. Business owners are already feeling the heat from hikes in National Insurance costs which came into effect in April. Changes to IHT, due to be introduced from next April, will make it more costly to pass businesses on to the next generation, which could force business owners to shelve plans for job creation, innovation and growth.”
Emma Queen, tax partner at S&W commented: “We’re having more and more conversations with businesses looking at moving operations elsewhere. Whether it’s tax driven or access to funds, they’re asking if the UK is giving them what they need.
“As the chancellor works over the summer on plans for the next Budget, it is essential that she puts business owners at the heart of her thinking. We need to see policies that will encourage them to invest in growing and starting new businesses in the UK.”
The research was conducted by Censuswide, among a sample of 500 Business Owners (aged 18+) in the UK – at companies with a turnover of £5m+. The data was collected between 04.04.2025-06.05.2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct and ESOMAR principles. Censuswide is also a member of the British Polling Council.
*Combines ‘Strongly agree’ and ‘Somewhat agree’