Expats returning to Britain are more likely to become entrepreneurs and start their own businesses, according to a new study.
University research found that one in 10 returning expats started a business alongside 15% of immigrants.
This compares with just one in five lifelong residents taking the plunge into self-employment.
The figures were revealed in the Global Entrepreneurship Monitor UK Report compiled by Aston Business School, Birmingham, and the University of Strathclyde.
The study looked at entrepreneurial trends, attitudes towards starting a business and aspirations of people coming to the UK.
Lack of opportunities for employees
“The research highlighted that those coming to the country either as immigrants or returning expats are much more likely to start a business than long-term residents,” said Professor Mark Hart, one of the report’s authors.
“Not only is there a large gap, but that gap seems to be widening in 2015.”
The report looks at entrepreneurship close to 9,500 men and women across 62 economies.
The British results were compared to competitor economies.
Britain was ahead of Germany, but behind the USA.
“Britain has a high rate of entrepreneurship when compared to other countries. This is good as new business resources are often easier to access from established businesses,” said Hart.
“In the future, an improving UK economy may offer employees better opportunities for career advancement that may see them less inclined to start their own businesses. This opposite may be why more expat entrepreneurs are setting up businesses at the moment.
Older entrepreneurs keen on self-employment
“The figures also suggest the conditions for setting up a business are better now than in previous years, especially for older employees and expats.”
The report notes that the largest increase in the number of entrepreneurs comes from the over 50s age group.
“One of the biggest challenges for policy makers in the UK is to take the rising ambition of entrepreneurs and to match this with providing the skills and funding tools they need to set up and grow a business,” said Hart.
The report also found that autonomy was one of the drivers behind starting a business, especially for those who are already involved in launching new goods or services or setting up a new business unit for an employer.
