Britain’s exporters are feeling increasingly ill-equipped to seize international opportunities, according to the latest annual research commissioned by the Department for Business and Trade.
The survey of 3,000 businesses with revenues exceeding £500,000 found that only 18% considered themselves experts in exporting last year, down from 24% the previous year. This is the lowest level recorded since Britain’s Trade and Co-operation Agreement with the EU came into effect in 2021.
The proportion of businesses reporting low levels of exporting knowledge rose from 23% in 2022 to 28% last year, while the remainder admitted they could manage but recognised the need to improve their expertise. The findings suggest a growing knowledge gap among exporting businesses, particularly following the UK’s exit from the EU.
This decline in expertise has coincided with calls from a consortium of major tech companies and business support groups for the government to enhance export support for small businesses as part of its revised industrial and trade strategy. The E-Commerce Trade Commission, which includes members such as Amazon, Alibaba, eBay, Shopify, and Google, along with business bodies like the Federation of Small Businesses, has urged the government to simplify official guidance, place greater emphasis on e-commerce and digital trade tools, and provide more grants.
Richard Hyde, a senior researcher at the Social Market Foundation and author of the commission’s report, highlighted the importance of increasing exports among small businesses. He noted, “The vast majority of British businesses are smaller businesses, but too few of them are exporting at present. Achieving higher levels of exporting should be a key lever for the government’s growth mission.”
Gareth Thomas, the minister for exports, acknowledged the need to boost digital trade and support small firms in exporting globally. He said, “We are working with industry to boost digital trade so that more small firms can export right around the world, and our modern industrial strategy will help us deliver long-term, stable growth that supports skilled jobs.”
The survey also revealed that while 40% of businesses sought advice and support last year, awareness of specific government-funded resources, such as the network of international trade advisers and the export support service, remains low. The most frequently used source of advice was the main government website, utilised by 45% of respondents.
Despite seeking support, the proportion of companies that have ever exported has been declining since 2021, dropping from 45% that year to 39% in 2023. Most exporters reported that they do not actively pursue new overseas orders, with only 27% saying they actively seek new export opportunities.
The E-Commerce Trade Commission also stressed the need to encourage more businesses led by women to export and to make emerging market opportunities more accessible. They argued that tailored and easily accessible support could help bridge the knowledge gap and enable more SMEs to contribute to the UK’s growth through increased exports.
The findings underscore the need for targeted government interventions to better equip British businesses with the tools and knowledge required to thrive in global markets, particularly as the UK continues to navigate its post-Brexit trading landscape.
Jamie Young
Jamie is a seasoned business journalist and Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops to stay at the forefront of emerging trends.
When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs, sharing their wealth of knowledge to inspire the next generation of business leaders.
