While the economic performance of major cities such as London, Birmingham and Manchester makes the headlines, a new study has revealed that all three have been knocked down the ladder in terms of the number of overseas sales they accumulate. Instead, the nation’s exporting crown goes to Bradford in West Yorkshire, which currently boasts the highest proportion of exporting small firms in the country.
According to the UK Export Epicentres report from parcel delivery firm FedEx, around 86 per cent of small businesses in Bradford frequently sell products or services overseas. This figure is markedly higher than those of London, Southampton, Leeds and Manchester, all of which posted an 81 per cent export rate in the survey.
The report, which surveyed 2,500 SMEs from 26 UK cities, found that the export rate varied from 66 per cent to 86 per cent in the various locations participating. Furthermore, this is expected to rise further in the coming years as 80 per cent of business owners claimed that “Brand Britain” gave them an edge in international markets, allowing them to express confidence about future growth.
Vice president of FedEx Express’ northern Europe operations, Trevor Hoyle, believes that this edge should be exploited by more UK SMEs as a means of boosting local economies and the national economy overall.
He says; “Now is the time to encourage UK SMEs to embrace their regional identities when building global relationships.
“Our great British history is rich and full of industrial heritage, the promotion of which can go a long way in driving UK exports forward.”
A rather surprising discovery made in the report was that London – generally recognised as the powerhouse of the UK economy – has fallen somewhat behind smaller regional cities in terms of goods and services exportation. In fact, it now holds a relatively middle of the table position in terms of revenues generated from overseas markets, having been beaten by Leeds, Oxford and Leicester among others.
Portsmouth claimed the highest average monthly export sales, managing to generate almost double the export revenues of the second and third placed locations in this category, Norwich and Nottingham.
Finally, the report found that the vast majority, around two thirds, of exporting SMEs targeted markets within the European Union before venturing further afield, while just under a quarter of ambitious small firms chased the larger US and Canadian markets.
FedEx managing director Martin Davidian believes that factors such as ease of goods transportation and business support play a major role in these decisions.
He explains; “While a number of the eastern cities – Newcastle, Hull, and Norwich – have excellent access to sea routes, if you look at access to air routes and road, they are particularly challenged.
“Business owners in these regions also felt they were not getting enough local support and guidance on entering overseas markets.”
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