Published: December 3, 2025 at 8:56 am
Only 14 per cent of SMEs in the UK are now female-led, down from 19 per cent in 2021, according to government data.
Serial entrepreneur Debbie Wosskow OBE, who is the co-chair of the UK’s Invest in Women Taskforce, said the drop equates to tens of thousands fewer women running businesses across Britain.
She said: “If women started and scaled businesses at the same rate as men, the UK economy would gain £250bn.
“We need to stop treating women-led firms as a DE&I ‘nice to have’.
“They deliver stronger returns, drive jobs, and fuel growth in overlooked sectors.
“If we want a thriving economy, we must change the system – tax policy, childcare, capital access, to make it possible for more women to build and grow.
“Because every lost female entrepreneur is a lost opportunity for Britain.”
Wosskow identified rising taxes; wage pressures; and capital barriers as three of the biggest reasons for the decline.