A Reform Strategy for the UK

Abstract

In this chapter we outline a reform strategy to promote an entrepreneurial society in the UK. To put it in the words of the Varieties of Capitalism framework, the UK today represents a distinct liberal market economy with a deregulated environment, flexible labor markets, well-funded elite universities, and strong protection of intellectual property rights. Overall, the entrepreneurial ecosystem is supportive, but bottlenecks remain regarding radical innovation, export orientation, and informal investment. To address these shortcomings, the UK should aim at strengthening the workforce’s knowledge base and talent pool as well as the capital base from which UK entrepreneurs can draw. It furthermore is advisable to open opportunities for not only starting but also growing innovative firms in all regions in the UK.

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