Policies to support ethnic minority enterprise: the English experience

Abstract

Continued political enthusiasm for encouraging entrepreneurship in the UK is beginning to influence business support policy towards black and minority ethnic businesses (BMEBs). The Small Business Service (SBS; the government agency charged with providing business support to small firms in England) has an explicit remit to cater for entrepreneurs from all sections of society. This is an important development given the widely noted reluctance of BMEBs to avail themselves of the services of mainstream business support agencies. This paper aims to assess the extent to which policy aspirations in relation to BMEBs have been realized. A survey of Business Links (the agencies contracted to deliver SBS services in England) and interviews with key informants are drawn upon to address three questions: To what extent do Business Links have a policy to support BMEBs? What form are initiatives to support BMEBs taking? How can these experiences inform a policy agenda towards BMEBs? The findings suggest that uneven and under-developed approaches to the support of BMEBS are commonplace. However, some encouraging examples of potentially fruitful initiatives are in evidence, which may reflect a growing awareness of the particular needs of BMEBs. A number of guidelines for future policy are presented, including the importance of diversity within mainstream provision; the need for an engagement strategy; improved access to finance; the promotion of sectoral diversity; and better evaluation.