Tracking the UK's artistic landscapes: Examining the creative sector
New Study Highlights Benefits and Challenges of Creative Microclusters Outside UK's Major Hubs
A new report, titled "Creative Radar," reveals the presence of 709 creative microclusters across the UK, with a third of these flourishing outside the established large creative clusters. The study, published by the Creative Industries Policy and Evidence Centre (PEC) and the University of Sussex, highlights the unique benefits and challenges faced by creative businesses in these microclusters.
Supporting Local Creativity
Creative businesses in microclusters, such as Telford in Shropshire or Lerwick in Shetland, are more likely to benefit from targeted local funding and support aimed at small and medium enterprises. Programs like the DCMS Create Growth Programme provide funding (£10,000 to £30,000) specifically for micro, small, and medium creative businesses in regional areas like Norfolk, Suffolk, and Cambridgeshire.
These microclusters also offer opportunities for creative businesses to develop strong community ties and bespoke collaborations, fostering innovation tailored to regional strengths. Regional schemes, such as the UK Shared Prosperity Fund in Suffolk, encourage creative businesses to innovate in productive and sustainable ways, enhancing their local economic impact.
Navigating Challenges
Despite these benefits, businesses in microclusters face several challenges. Creative SMEs are four times more likely than average businesses to face funding challenges, potentially amplified outside established clusters where investor networks and public attention are less concentrated.
Moreover, unlike larger, established clusters where close physical and organizational proximities enhance informal knowledge spillovers and innovation, microclusters may not benefit from as rich and transparent knowledge flows. This can reduce innovation benefits.
Operating outside large clusters often means reduced access to large client bases, specialized labor markets, and broader ecosystem resources that can drive growth and scalability.
A Call for Strategic Support
In summary, while microclusters provide valuable localized support and foster unique creative communities outside large UK creative hubs, businesses must navigate funding constraints, less pronounced innovation spillovers, and smaller networks, which can limit growth and broader industry engagement. Strategic support programs and innovation funding are critical to addressing these challenges.
The report recommends investment in programs like the Creative Scale Up to support these microclusters to grow further and encourages more investment in encouraging microclusters to emerge outside of the established large clusters.
The full report, "Creative Radar: Mapping the UK's creative clusters and microclusters," can be referenced at this link. The report was peer-reviewed prior to publication.
[1] Siepel, J., Camerani, R., Masucci, M., Velez Ospina, J., Casadei, P. and Bloom, M. (2020) Creative Radar: Mapping the UK's creative clusters and microclusters. Multiple: Creative Industries Policy and Evidence Centre and The University of Sussex. Available from: https://our website/assets/publications/PEC-Creative-Radar-report-November-2020.pdf [2] The migrant and skills needs of creative businesses in the UK [3] Creative Radar: Mapping the UK's creative clusters and microclusters. Multiple: Creative Industries Policy and Evidence Centre and The University of Sussex. Available from: https://our website/assets/publications/PEC-Creative-Radar-report-November-2020.pdf
- The report, "Creative Radar," indicates that creative microclusters across the UK receive targeted local funding and support, benefiting businesses in Telford, Shropshire, or Lerwick, Shetland.
- The creative businesses in these microclusters are more likely to gain from programs like the DCMS Create Growth Programme, offering funding for small and medium creative enterprises in regional areas.
- Microclusters offer opportunities for creative businesses to innovate and collaborate with the local community, enhancing regional economic impact.
- Businesses in microclusters face challenges such as funding constraints, lesser innovation spillovers, and smaller networks, which can limit growth and broader industry engagement.
- The report advocates investment in programs like the Creative Scale Up to help microclusters grow further and encourages more investment in emerging microclusters outside established large clusters.
- Strategic support programs and innovation funding are critical to addressing the challenges faced by businesses operating in creative microclusters.
- The full report, containing evidence-based insights, can be found at the provided link, with the report having been peer-reviewed prior to publication.
