
A State of the Nations Research Report
This report presents the evidence that creative industries micro firms are almost 20% more likely to engage in Research & Development (R&D) than firms in other sectors. The findings suggest creative industries micro firms have a vital role to play in driving innovation, which is key for helping the government achieve its productivity and growth ambitions.
The report is written by Josh Siepel (University of Sussex) and is part of Creative PEC’s State of the Nations series.
Key findings:
- 64% of the creative industries micro firms surveyed have participated in some form of R&D in the past three years, compared with 46% of all micro firms across the economy.
- Creative industries micro- firms are significantly more likely than the wider population of micro firms – and firms in other Industrial Strategy priority sectors – to consider the integration of new technology into their products and services as vital.
- 44% of creative industries micro firms plan to engage in R&D over the next three years, compared with just 24% of micro firms more generally.
- There are clear gaps in information: half of R&D-active creative micro firms do not access guidance or advice about R&D and innovation, significantly more than micro firms in other Industrial Strategy priority sectors.
What are State of the Nations reports?
Creative PEC’s State of the Nations research series analyses the latest data across four thematic areas to inform the development of policies relating to the creative industries. Its scope is the whole of the United Kingdom, and wherever possible data is presented for all the nations and regions. Regular reports on each area will be published biannually over the five years of the Arts and Humanities Research Council (AHRC) funding. The themes and corresponding Research Consortium Partners are:
- R&D, Innovation and Clusters (University of Sussex)
- Internationalisation (Newcastle University)
- Arts, Culture and Heritage (University of Sheffield)
- Education, Skills and Talents (Work Advance)
This report is written by our consortium partner at Sussex University:
- Dr Josh Siepel, University of Sussex
Thanks to Creative PEC policy, operations and communications teams for editing, proofing and other support.
Citation: If the information in this report is used in any subsequent research and/or publications, please cite as follows:
If the information in this report is used in any subsequent research and/or publications, please cite as follows: Siepel, J. (2025) Support for R&D
and Innovation in Creative Industries Micro Firms. Creative PEC State of the Nations Research Series. DOI:10.5281/zenodo.17750466, ISBN: 978-0-7017-
0292-2
Credits
Report design by Mike Green/Green Doe Ltd.