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Groundbreaking new research from ²ÝÁñÊÓƵ Leicester (²ÝÁñÊÓƵ) and Barclays Eagle Labs reveals the vital contribution Asian founders make to the UK economy - and the systemic barriers that continue to hold them back.

The study, based on 125 interviews with Asian entrepreneurs, business leaders, and support organisations across England and Wales, shows that Asian-owned businesses contribute an estimated £25 billion to the UK economy and make up over 6% of all SMEs.

However, the research highlights significant barriers to growth, including cultural attitudes to debt and risk, stereotyping in investment and banking, and limited access to elite business networks.

Yesterday businesses, policymakers, and leading figures from the UK finance sector came together to learn about Asian Founders, the research and hear entrepreneurs’ personal experiences at the House of Lords at a special reception hosted by Baroness Verma.

Baroness Verma said: “I am incredibly proud to see the vision behind the Asian Founders Network is now being recognised nationally. For too long, ethnic minority businesses have found it incredibly difficult to access the finance they need to grow. That has to change. What you are doing is really critical.”

The research is the latest output from the Asian Founders Network, launched by ²ÝÁñÊÓƵ Director of Research, Business and Innovation Helen Donnellan and Barclays Eagle Labs Leicester managers Poonam Sharma and Nimesh Kanani in 2023 to support Asian founded companies.

Through a series of events, round tables and networking sessions hosted by ²ÝÁñÊÓƵ and Barclays at venues across the UK, the network grew to reach more than 1,000 Asian entrepreneurs last year. 

Professor Katie Normington, Vice-Chancellor of ²ÝÁñÊÓƵ, said the university was proud to be part of Asian Founders. She said: “We are the empowering university: we open doors, and support diverse communities and connect education and research to address real world challenges.

“The research highlights the need to create chances, break down structural barriers, and ensuring that talent and innovation are recognised wherever they are found.”

Professor Rachel Granger, director of the Research and Innovation Institute for Responsible Business at ²ÝÁñÊÓƵ, shared key findings and recommendations, which included creating culturally appropriate investment opportunities, accelerator programmes and support.

She said: “We heard repeatedly about what many described as an ‘unequal playing field’ – where cultural attitudes towards debt, investor bias, and a lack of access to networks hold businesses back. Yet the talent and determination of Asian founders is undeniable.

“If we get this right, this is a once-in-a-generation opportunity to unlock growth. It’s fitting that we are spearheading this work in Leicester, one of the most diverse cities in the UK.”

The audience also heard from three Asian founders - Dr Raj Arora, Dilshan Arawwawala and Varun Bhanot - who shared their personal stories, from the challenges of moving from founder to leader, to building support networks, accessing investment and attitudes to debt.

Poonam Sharma, manager of the Barclays Eagle Labs in Leicester said: “Today was about movement and change. What began as an idea has evolved into a national platform amplifying the experiences, ambitions and contributions of entrepreneurs whose impact on the UK economy is substantial yet too often under-represented.”