Exports: Small and Medium-sized Businesses

Answer from Nusrat Ghani

My Department continues to help small and medium-sized enterprises to grow overseas and export to the world, especially this year—the year of the SME. Businesses can access a digital self-serve offer and a wide network of support, including trade advisers, export champions, the UK Export Academy, our international markets network and UK Export Finance. Last year, UK Export Finance provided £6.5 billion to exporters of all sizes, with SMEs comprising a record 84% of those supported directly with a product.

Answer from Nusrat Ghani

UK exports are increasing. Using current prices, they are up by £21 billion compared with 2023.[Official Report, 12 March 2024, Vol. 747, c. 5MC.] (Correction) The UK trade show was a pilot programme that did not yield the successes we thought it would, so we have other schemes in place, including the UK Export Academy, international trade advisers, Help to Grow and the export support service. Focusing on Wales, we will soon be appointing a new international trade adviser to help SMEs.

Answer from Nusrat Ghani

That is an extraordinary statement, because in the hon. Lady's constituency the greatest level of exports is from professional and business services, and those exports are increasing not only to the EU but to countries outside the EU.[Official Report, 12 March 2024, Vol. 747, c. 5MC.] (Correction) That is the reality on the ground, so our strategy is working. UK exports were £859 billion in 2023—a figure that has gone up, not down, by £21 billion. The UK is the second biggest services exporter in the world—she should be proud of that because many such businesses are in her constituency. Those exports have increased to 54% from 48%, so there is good news, but we are keen to do more.

Answer from Nusrat Ghani

We can get the best explanation from looking at the data behind what the hon. Gentleman set out. He obviously omitted the international reality. In the same report, the OBR referenced the “sluggish growth” in “global economies” and mentioned that British goods and services will outperform, on average, G7 countries. Those are the facts on the ground. When it comes to exports, we are exporting not only into the EU but outside the EU. As I said earlier, professional and business services are increasing outside the EU by 19%.[Official Report, 12 March 2024, Vol. 747, c. 6MC.] (Correction) We have substantial programmes in place to help small and medium-sized enterprises. We are keen to learn and do as much work as we can.

Answer from Nusrat Ghani

There has not really been a loss in the market share. I have talked about what is happening internationally. We appreciate that small and medium-sized enterprises may not have the resources they need to export into new markets. That is why we have the UK Export Academy, international trade advisers, Help to Grow and the export support service. We are also looking at what trade barriers we can break down and bust to make it even easier for SMEs to access new markets through the trade deals secured by the Secretary of State.