The UK government has been urged to overhaul the startup accelerator industry by establishing clear standards and classifications for support schemes.
In a new report from The Entrepreneurs Network, the group called for the requirement for programmes such as accelerators and incubators to have minimum standards and defined features, enforced by an accreditation scheme.
Britain hosts over 500 accelerator programmes, according to the report, however, without clear standards and shared definitions, it has claimed there is a risk that entrepreneurs will struggle to navigate the support ecosystem and identify what programmes will be of genuine help.
“The UK has plenty of startup support programmes, but we don’t always know if they actually work,” said Philip Salter, founder of The Entrepreneurs Network.
“Founders can’t even be sure these programmes will still exist before they finish. We need reforms that make programme outcomes transparent and reward schemes that create lasting impact.”
According to the report, citing data from Beauhurst, only 57% of listed incubators or accelerators are actually active, while a third have closed, and 10% are in a “state of limbo”.
It also notes a distinct regional disparity in the support ecosystem, which is broadly in line with the wider inequality of the UK’s economic geography.
Commenting on the report, Steve Rigby, co-chief executive of tech investor Rigby Group, said: “We devote vast effort to helping new ventures take their first breath, but far less to ensuring they grow, export and endure.
“This timely and insightful report lays the groundwork for a smarter, more strategic approach. If we want the UK to generate the next generation of global businesses, we must act now and with purpose.”
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