
Everywhere you turn, people are talking about the UK?s economic recovery. Amid signs of growth, low interest rates, increasing consumer confidence and boosts in employment, it?s important that we acknowledge the drivers of this revival.
Yet whilst significant attention by policy makers and business leaders is paid to the smaller end of SME or to the titans of industry at the top of the market, the role medium-sized companies play is often overlooked. Many are surprised to hear that despite forming a fraction of 1 per cent of the UK?s business population, the 1,000 fastest growing medium-sized businesses in Britain now contribute the equivalent of almost a tenth of UK GDP. Put another way, that?s ?2.46 for every person in the country. Our analysis shows these businesses generated ?158bn in revenues in 2013 alone, and in just three years, increased headcount by 181,780, through a combination of job creation and acquisition activity. By comparison, total new employment in the UK increased by 400,000. These medium-sized champions are also helping rebalance the economy in terms of the sector focus, something policy makers have been calling for since the financial crisis. Almost three-quarters come from three crucial sectors: consumer business, business and professional services and manufacturing. Given these businesses are amongst the elite performers in the UK?s recovery, it?s important to understand the reasons behind their success. The more we can understand about the businesses that have led the UK out of recession, the greater the chance of replicating this across the country, ensuring a more prosperous future for us all. Our analysis has found that there are three key rules for growth: Niche markets ? These businesses understand and “own” specific parts of a supply chain, enabling them to compete against major businesses Eye on export ? They also understand the importance of exploiting these niches, not only in their domestic markets, but also internationally Visionary leader ? Finally, they have an exceptional leader who has the vision and drive to deliver the growth agendaShare this story