Inaccessible support services, poor access to finance and the ongoing ‘burden of proof of disability’ are among major barriers that need to be radically overhauled for millions of disabled founders across the UK to flourish, according to interim findings from The Lilac Review.
Launched this February, The Lilac Review is an independent, Government-backed Review looking to address and overcome the barriers facing the nation’s disabled entrepreneurs – who represent 25% of the UK’s 5.5m small business owners, but account for just 8.6% of business turnover.
The Review estimates that levelling-up entrepreneurial opportunity could unlock an additional £230bn in business turnover across the UK.
On the back of extensive research and submission of evidence – including undertaking 18 focus groups with over 100 disabled entrepreneurs – The Lilac Review identified a series of common struggles which need to be overcome to make entrepreneurship more accessible.
This included balancing health needs - which are often chronic - alongside running a business, and also managing the burden of unnecessarily complex processes to access business support, finance, and welfare, as well as inaccessibly designed services.
It also highlighted the need to move away from requiring annual benefit re-assessments for life-long conditions, to reduce the administrative cost to Government and the pressure on entrepreneurs to repeatedly justify their need for support.
The Review is calling for business support services to be ‘radically simplified’ with the needs of disabled entrepreneurs at the forefront, including mentoring, networking, business training and guidance to counter the sense of isolation many disabled entrepreneurs can feel.
Kevin Hollinrake MP, Minister for Small Business and Co-Chair of The Lilac Review, said: “Starting a business can be daunting.
“However, anyone who wants to should be able to follow their entrepreneurial spirit and take on that challenge.
“The Lilac Review Interim Report has set out where government and industry can lead the way in tearing down the unnecessary barriers facing disabled entrepreneurs.
“This action will contribute to our commitment to make the UK the best place for anyone to start and scale up their own business."
Sharing a series of recommendations for Government, financial services, and business support organisations to make entrepreneurship fundamentally more inclusive, it proposes:
· Simplifying processes and requirements for entrepreneurial support – particularly access to finance and investment
· Moving to a trust-based approach to assessing disability – rather than proof-based
· Consulting Disabled entrepreneurs – in the development and review of business products and services
· Creating and implement mentoring initiatives – focused on the unique needs of disabled entrepreneurs, offering flexible, relevant support
The interim research report was developed in collaboration with Small Business Britain and ARU Peterborough, with support from Lloyds Bank. It precedes the publication of the final Lilac Review – scheduled for the end of 2025 – which will share recommendations, best-practice, and solutions from across society and internationally for supporting disabled entrepreneurs, particularly around access to finance and the use of technology, such as AI.
This report will be followed up rapidly by a series of activities to deliver initially on better access to finance for disabled entrepreneurs and a mentoring programme designed with disabled entrepreneurs at its heart.
In particular, the Department of Business and Trade will work with the Lilac Review Steering Board Members, the British Business Bank, UK Finance and Small Business Britain to further develop a Disability Finance Code for Entrepreneurship, with support from Lloyds Bank, NatWest, Barclays and HSBC UK.
Tracking significant progress since launch – including being shortlisted for ‘best campaign’ in the Shaw Trust’s Disability Power 100 this year – The Lilac Review is jointly chaired by Hollinrake, the Minister of State for Enterprise, Markets and Small Business; the Minister of State for Disabled People, Health and Work, Mims Davies; and Victoria Jenkins, CEO and Founder of adaptive fashion brand Unhidden.
Jenkins said: “Disabled entrepreneurs are not asking to be given special treatment. What we want is to be given equal access to opportunities, so we are free simply to be entrepreneurs and to grow our business to the best of our ambition and abilities.
“By bringing down barriers, by taking away inaccessible gateways, by taking away the burden of constant proof and by starting to create products and services with specific needs in mind, we can create a more equitable world for Disabled entrepreneurs. There is no one single solution to accessibility, just as there is no one single experience of disability, so we must involve founders across a wide spectrum in the creation of these services.”
Davies said: “This government is committed to working with the Lilac Review, the private sector, financial services and, crucially, disabled people, to fully ensure that entrepreneurship is a truly positive, meaningful and productive career choice for all to consider and aspire to.
“This is not only the right thing to do, but will also offer a huge economic opportunity to the country as businesses and new start-ups are given the freedom and support to grow and thrive.”
A number of prominent disabled founders sit on the Review’s Steering Board, as well as representatives from the wider business community and UK Government including: Small Business Britain, Lloyds Bank, eBay, BT, Federation of Small Businesses (FSB), British Chamber of Commerce (BCC), The Entrepreneurs Network, Business Disability Forum, and academics from ARU Peterborough university.
For more information on The Lilac’s Reviews interim report, or to submit evidence as part of its consultation, visit https://lilacreview.com.
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