Small Businesses: Ethnic Groups

Department for Business, Energy and Industrial Strategy written question – answered on 26th July 2022.

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Photo of Baroness Bowles of Berkhamsted Baroness Bowles of Berkhamsted Liberal Democrat

To ask Her Majesty's Government what statistics they collate on ethnicity in small and medium sized enterprises; and if they collate any such statistics, what are the numbers by ethnicity of (1) staff, and (2) owners, of small and medium sized enterprises, by sector, according to the most recent figures.

Photo of Lord Callanan Lord Callanan Parliamentary Under-Secretary (Department for Business, Energy and Industrial Strategy)

The Longitudinal Small Business 2020 Survey reported that 5% of SME employers were minority ethnic group led (MEG-led), defined as having a person in sole control of the business or having a management team with at least half of its members from ethnic minority groups.

MEG-led SME employers were more likely in information and communication (9%), accommodation and food (7%) sectors and less likely in primary (0%) and education sectors (1%).

Further reported about 4% of businesses with no employees were MEG-led. MEG-led businesses were most likely to be in the transport and storage (7%), information and communications and health (both 6%) sectors, and least likely in primary, education and accommodation and food services sectors (all 1%).

Further details can be found on the GOV.UK website. Data for 2021 will be published in August 2022.

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