The UK ranks 24th globally for entrepreneurship, down from 19th a decade ago, according to a new report1from Opinium, as business owners voice concern about the growing challenges of starting and running a business in the UK.
UK remains outside global top 20 since 2019
The UK has remained outside the global top 20 since 2019, slipping one place from 23rd last year2. While its position has been relatively stable in recent years, the UK’s longer-term decline from 19th place in 2016 points to a gradual deterioration of its relative competitiveness as a place to do business.
Opinium’s 2026 Global Entrepreneurship Index assesses the conditions for starting, operating and growing a business across 137 countries. Singapore tops the rankings for the fourth consecutive year, while Western economies now account for 14 of the top 20 places, down from 17 in 2016. Asian and Middle Eastern representation in the top 20 has doubled in the same period, from three countries to six.
Entrepreneurs warn of challenging environment to start and run businesses in UK
The findings are supported by additional polling3 from Opinium among entrepreneurs, indicating the UK’s economic environment has becoming more challenging. Half (50%) of UK entrepreneurs think the general environment for running a business in the UK has worsened in the last 3 to 5 years.
Nearly three in five (57%) entrepreneurs say it is more difficult to start a business than it was 10 years ago. Of those, half (48%) blame higher business taxes and operating costs, and greater economic uncertainty (47%). A third (33%) cite the higher cost of hiring or employing staff, while three in 10 (28%) reference the impact of Brexit.
Looking forward, over two in five (45%) think it will even become more difficult to start a business in the next 10 years, compared to only 24% who think it will become easier.
Chris Curtis, MP for Milton Keynes North said: “This timely report from Opinium chimes with many of the conversations I’ve had with businesses and entrepreneurs over the last two years as an MP. Rigorous research like this helps us see where the UK is losing ground, and where to act. From Milton Keynes, at the heart of the Oxford-Cambridge corridor, I see every day the potential that exists in this country. We have world class universities and some of the most innovation-intensive places anywhere.
“But potential isn’t enough. The UK has slipped from 19th to 24th in the world for entrepreneurial conditions in a decade, while competitors race ahead on infrastructure and connectivity. We need to back the entrepreneurs of today and tomorrow with the conditions to scale and stay here.”
Weaknesses across economy drive UK’s decline across most economic measures since 2016
The Entrepreneurship Index assesses countries across five areas: Economic & Financial, Human Capital, Connectedness, Governance and Market Potential4. The UK's scores have declined across four of the five over the past decade, with only Market Potential improving, although it remains the country's weakest-performing area.
Opinium’s research among entrepreneurs identifies weaknesses across the UK’s business landscape compared to other countries, including economic conditions (36%), education and training (30%), clarity and predictability of regulation (29%), and ease of trading internationally (29%).
Emma Jones, Small Business Commissioner, said: “What this report shows is that the UK can’t afford to stand still in creating the conditions for businesses to start and grow, as other countries race ahead in nurturing their own entrepreneurial base. The UK needs to deliver for its founders and I believe three components are required; a clear plan for building an enterprising state, a well-qualified team put to the task of making this happen from the public and private sector, and a commitment to act and keep iterating.”
Entrepreneurs call for lower costs and greater economic stability to support growth
More than half (52%) of entrepreneurs identify the economic and financial environment as an area most in need of improvement, ahead of skills and workforce availability (36%) and government and regulation (36%).
Asked what would make the greatest difference to their ability to grow, entrepreneurs point to lower taxes and business costs (49%), greater economic stability (47%) and simpler regulation (38%). A third (33%) also cite more affordable or reliable energy.
James Crouch, head of policy and public affairs at Opinium, said: “Our report shows that the UK is still a good place to do business in global terms, but the UK’s position has seen a gradual decline over the past decade as the environment has become more challenging. This Index looks at where entrepreneurs are most likely to find the conditions they need to succeed, and where the environment they are operating in may be getting in their way. Their success depends a huge amount on their own ideas and determination, but they also rely on the environment around them. As a country, we must do better at creating strong conditions for growth.”
(1) Opinium’s 2026 Entrepreneurship Index uses international data to assess the conditions for starting, operating and growing a business across 137 countries and show how the UK’s entrepreneurial environment compares with other countries and how its position has changed over the past decade. Please find the report here: https://www.opinium.com/global-entrepreneurship-index/
