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Posted: Fri 30th Aug 2024
New research has shown that 39% of Britain's top 100 fastest-growing companies had a founder born outside of the United Kingdom, despite immigrants comprising less than 15% of the overall population.
The report by entrepreneurship think tank The Entrepreneurs Network, and immigration services firm Fragomen revealed it was the same figure as in 2023, but down on the 49% shown in a similar report in 2019.
Immigrant founders in the UK hail from 22 countries, with the US the largest contributor of foreign talent at 15.2%.
India, Canada, Australia, France and Germany are other significant sources of entrepreneurial talent, with Lithuania and Poland featuring for the first time.
The Entrepreneurs Network said the findings show that international entrepreneurship makes an "essential contribution to Britain's start-up landscape", and called on the government to introduce reforms to ensure "Britain is open and accessible to the world's brightest and best".
Eamonn Ives, research director of The Entrepreneurs Network, said:
"Given the unwelcome return of hostile rhetoric towards immigrants in the UK, it's more important than ever to set out the facts.
"People coming into our country to work are a huge force for good, and as our research shows once again, foreign talent is helping to build some of Britain's most exciting and lucrative companies.
"We need to ensure our immigration system recognises their incredible contribution, and doesn't needlessly throw up barriers to those who want to make our economy stronger and more dynamic.
The report makes the following policy recommendations:
Reform eligibility thresholds to help startups and high-growth businesses access talent
Harness the Immigration Salary List to buttress the government's industrial priorities
Negotiate Youth Mobility Schemes with the European Union and the United States
Lower visa fees for high-skilled immigrants in line with international competitors
Expand the High Potential Individual visa to more universities
Build a specialised task force to recruit international talent
Grant advanced STEM students Indefinite Leave to Remain upon graduation
Introduce the world's first Global Talent Exam to actively recruit the world's brightest individuals
Read the stories of immigrant founders building great small businesses in the UK.
