You may have been disappointed with the recent budget by its lack of ambition for the growth in the UK economy leaving you with concerns about how you can steer your business to grow at a time of rising costs.

An obvious option for some, but not all, businesses is to start or expand your export activities.

Export for Growth

For many business leaders, exporting can be a daunting prospect, particularly in the current economic climate where domestic pressures are mounting.

Yet the evidence is compelling.

Research from Alibaba Group and the Institute of Export & International Trade reveals that businesses which export are significantly more resilient and profitable than those operating solely within the UK market.

In fact, businesses that export are 11% more likely to survive economic downturns. For those already engaged in international trade, the benefits extend far beyond survival – on average, nearly half of their revenue comes from export sales.

The transformation that exporting brings to a business goes well beyond simply accessing new markets and growing revenue. An impressive 82% of exporters report that international trade has boosted their company’s revenue, while 82% also cite innovation as a direct result of selling overseas.

When businesses develop products for new markets, they are forced to innovate, adapt their offerings, and enhance their production capabilities. This drives business improvement across the entire organization. Moreover, 81% of exporters say exporting has made their business stronger, and 79% report increased headcount as a result of expansion.

Government Support

The government recognises the vital importance of exporting to the UK economy and has put in place substantial support mechanisms to help businesses navigate International markets.

The recent expansion of UK Export Finance (UKEF) represents one of the most significant commitments. With funding increased by £20 billion to reach £80 billion total, UKEF is now positioned to support UK businesses in winning over £12.5 billion of export contracts by 2029. For smaller businesses, UKEF has introduced the Small Export Builder, a new export insurance service designed to make export protection more accessible. Businesses can start with an initial credit limit of £25,000 and incrementally increase it to a maximum of £100,000 as they build a positive trading history with international buyers.

Free Trade

Beyond financial support, the government has launched the Ricardo Fund, named after the 18th-century British economist David Ricardo, one of the key founding fathers of Free Trade which is specifically designed to tackle regulatory barriers that prevent UK businesses from selling abroad.

Research suggests that removing these barriers could unlock £6.1 billion in additional UK exports annually. The fund supports regulators and international trade teams in resolving trade obstacles that currently constrain UK exporters. The UK’s recent trade agreements further enhance export opportunities. The landmark Free Trade Agreement with India, signed in May 2025, is anticipated to add £4.8 billion annually to the UK economy and generate an additional £2.2 billion in UK wages.

The deal dramatically reduces tariffs on key UK exports – whisky and gin tariffs are being halved from 150% to 75%, with further reductions to 40% by year ten, whilst car tariffs will fall from over 100% to 10%. With India projected to become the world’s fourth largest economy in 2025 rising to third largest by 2028, this agreement offers significant potential for UK exporters.

For those seeking to take their first steps into exporting or expand existing operations, practical support is abundantly available. Trade missions have proven particularly effective in helping businesses identify new markets and forge international partnerships.

These missions unite buyers and suppliers for one-to-one meetings, provide market intelligence briefings, sector-specific tours, and direct business opportunities through structured B2B matchmaking.

The Department of Business and Trade, among other organisations, regularly coordinates trade missions to high-potential markets, helping businesses gain exposure, understand foreign market dynamics, and build invaluable networks with international partners.

Strategy and Implementation

The decision to export should be driven by clear business strategy and proper preparation. Successful exporters share qualities including proactiveness, willingness to take calculated risks, and a strategic focus on international growth.

Despite the current economic uncertainty, the case for exporting remains robust. Businesses that export experience reduced pressure from UK domestic market competition – 79% of exporters report that cross-border trade has eased the pressure of doing business in the UK. Moreover, 80% of exporters consider exporting critical to their business’s future. The confluence of government support, accessible financing, favourable trade agreements, and proven business benefits makes this an opportune moment for UK businesses to explore or expand their export activities.

Whilst not every business is suited to exporting, for those with the right leadership mindset and appropriate products or services, the growth potential is substantial. In an era of modest domestic growth forecasts, international expansion offers a tangible pathway to sustainable, profitable business development.

Useful links:
gov.uk/exporting
Made in the UK, Sold to the World
export.org.uk
britishchambers.org.uk

Tony Goodman MBE is a successful exporter and has been doing so through a variety of different businesses. He is currently Marketing Advisor at Forest and Co who specialise in offering guidance on branding, exporting and sales: www.forestandco.com