Review to look at why fewer women are going into business
The Treasury has launched a review into why less women are going into business than men.
It follows recent research which found that female entrepreneurs are “half as likely as men” to be involved in starting a business.
Likewise, just one in five small and medium-sized enterprises (SMEs) are run by women.
Exchequer Secretary Robert Jenrick, who announced the review, said women looking to start and grow a business may be facing unfair obstacles not experienced by their male counterparts.
The review, which is being led by Alison Rose, Chief Executive of RBS Commercial and Private Banking, will look at ways the Government can help women start and grow a business by considering four key factors.
These include the “drivers of disparity” in male and female entrepreneurship, actions that could reduce barriers to female engagement in entrepreneurship, the disparities between female-led and male-led firms seeking and receiving external finance, and examples of best-practice that investors and financial services firms could adopt to avoid gender-bias in their investment decisions.
Ms Rose said: “If we want to strengthen the UK’s position as one of the best places in the world to start and grow a business, then no-one can be left behind.
“Unfortunately, statistics show that women make up only a third of all entrepreneurs in the UK – to better drive the UK’s economy, we need to understand, and tackle, the barriers and reasons as to why this is – more can be done to support women in enterprise.”
Mr Jenrick added: “The fact that Britain is home to so many new, innovative businesses is something to be proud of. But the fact that so few of them are started by women is shocking. This is not because of a lack of talent or appetite.
“Therefore, it’s vital that we identify the barriers that are hampering entrepreneurial women from securing the backing that businessmen have taken for granted.”