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R&D, Innovation and Clusters

R&D, Innovation and Clusters

Introduction

The Creative Industries can be found in every corner of the UK, but they are not spread evenly. Creative firms are concentrated in specific places, such as London or Edinburgh, and absent from others. When creative businesses operate near each other, as part of a ‘cluster’, they can benefit from economies of scale and knowledge spillovers.

Previous Creative PEC reports identified the geography of microclusters, clusters and corridors. Policymakers can use this understanding of clusters, for example to target R&D funding to support innovation and economic growth. The R&D, Innovation and Clusters State of the Nations reports provide regular overviews of R&D and innovation in Creative Industries businesses and of creative clusters.

Geographies of Creativity

Launched December 2023

Where do creative clusters arise and what can policymakers do to optimise intervention? This first report in our State of the Nations series explores three different levels of the UK’s creative industries geography: microclusters, clusters, and corridors.

The research shines a light on the role of microclusters in the creative industries, and explains why creative clusters are good targets for intervention and investment, and a key engine for economic growth in the UK.

Growth Finance for Creative Industries

Launching October 2024

State of the Nations Reports

Our State of the Nations reports provide a quantitative overview of developments in four key areas for Creative Industries research and policy. Reports in this series are published on a regular basis and include analysis of topical issues of interest to policymakers and industry.

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In Numbers

The number and size of creative businesses compared to the wider economy

93%

of creative businesses are micro-businesses (fewer than 10 employees)

10%

of all businesses in the UK are in the creative industries

Key Facts

Where are creative businesses located?

London and the greater South East
62%
North of England
13%
Midlands
10%
South West England
7%
Wales, Scotland and Northern Ireland
7%

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