This article is by Barry Jackson is a partner at BGF – one of the UK and Ireland’s most active growth capital investors

Founder roles are booming outside London, outpacing the national average and the capital, signalling a major shift in where UK businesses are being launched.

LinkedIn’s annual Jobs on the Rise list, tracking the fastest-growing roles over the past three years, places founder or entrepreneur near the top in multiple regions. The role ranks:

  • 2nd in Leeds and Liverpool
  • 3rd in Birmingham and Edinburgh
  • 5th in Bristol
  • 6th in Manchester and Glasgow

By comparison, founder sits 8th nationally and 9th in London.

This encouraging rise of regional founders is reshaping the UK business landscape. But in order to sustain growth, we must move our attention from starting up to scaling up by creating the right conditions for long-term success.

What are the conditions regional founders need to unlock potential?

Access to funding

Access to funding is an essential catalyst for growth for scaling businesses across the UK. While London-based firms still attract roughly eight times more funding than those outside the capital, regions are becoming increasingly attractive for investors. In 2024, top foreign direct investment (FDI) destinations included Scotland, the North West, and the West Midlands.

The Northern regions are also seeing a sharp rise in combined FDI, particularly in manufacturing and technology, supported by lower entry costs and high rental demand.

At BGF, 74% of the capital we have deployed has gone to businesses outside London and the South East, filling a long-standing gap in regional investment. Sustained focus on funding outside the capital will be essential to bolster business growth in our UK regions.

Thriving ecosystems

Founders are more likely to succeed when they can leverage their local ecosystem. Across the UK, regional hubs are evolving, each offering a mix of talent, capital and support to help businesses grow.

These ecosystems rely on strong connections between startups, mentors, universities and investors, giving founders access to guidance, research expertise and early funding to turn ideas into viable companies. Regional hubs also provide practical advantages: shared workspaces reduce costs, specialist training develops commercial skills, and a collaborative culture helps founders tackle challenges together.

Talent is another key asset. Cities such as Manchester, Liverpool, Leeds and Birmingham host leading universities, generating a steady pipeline of skilled graduates who strengthen local teams.

Increasingly, these regional ecosystems extend beyond the UK. Links to international accelerators, trade missions and global networks are opening new routes to overseas markets, helping regional startups scale on a wider stage.

A strong community of peers and mentors

Many founders face similar challenges. Peer networks, accelerators, and incubators allow them to learn from each other’s experiences and access structured support.

Businesses that have secured funding often become part of a wider portfolio, forming a built-in network of peers who can learn from each other’s successes and setbacks. For those earlier in their journey, regional accelerators and incubators provide structured mentoring and investment readiness programmes, helping founders build confidence and capability as they grow.

There is also a role for national initiatives. The 90% Government-funded Help to Grow: Management Course, for example, supports founders and senior leaders to strengthen strategic decision-making, improve productivity and plan for long-term growth, while encouraging peer learning and access to experienced mentors.

Targeted networks are particularly important for women founders, who often face additional barriers to their male counterparts. At BGF, we run events across our regional offices to bring together female founders, leaders and advisers from local business communities. These events are open beyond our portfolio, helping to build stronger, more connected regional networks.

Supportive policy

Regional entrepreneurship thrives where policy aligns with growth objectives. Government strategies, including Opportunity Zones and Capital Gains Tax incentives, aim to drive investment and entrepreneurship in regions outside London and the South East.

We are already seeing progress with programmes like Liverpool’s CR Business & Enterprise Board, Leeds’ City Region Enterprise Partnership, Manchester’s Good Growth Fund, and the West Midlands’ BGWM initiative. Each of these provides tailored support, guidance, and grants to help regional businesses scale.

Regional policy support is crucial to helping founders and business leaders thrive across the UK. Expanding and sustaining these initiatives will be key to building a balanced, dynamic economy that flourishes beyond the capital.

The rise of the founder

Backed by the conditions for growth, and with a healthy dose of ambition and optimism, regional founders can succeed – in turn propelling their businesses forward and strengthening the UK economy.

Despite a challenging economic background, the regional founders we back are pursuing growth and finding new ways to adapt and thrive. With the right support, entrepreneurs across the UK will not only weather the headwinds – they will turn them into momentum for the next phase of growth.