Manchester has been named the leading UK city outside London to start a business, according to new research from National Women’s Enterprise Week, in findings that point to the growing pull of regional “hidden hubs” for women building companies away from the capital.

The survey of 1,000 female entrepreneurs found that 41 per cent named Manchester as either the best or second-best UK city outside London to launch a venture, with one in four (27 per cent) putting it in top spot. Birmingham followed on 14 per cent, with Liverpool on 5 per cent.

The picture that emerges is of women-led enterprise increasingly being built beyond the M25, with founders citing lower costs, greater flexibility and stronger regional opportunity as reasons to stay put. It is a trend already visible elsewhere in the country, with female entrepreneurship booming in the North East as well as across the North West.

National Women’s Enterprise Week was founded by Alison Cork MBE as a UK-wide campaign to help close the gender gap in business ownership. Around one in five UK businesses is currently woman-led, a figure that has climbed from 16 per cent in 2018 but still lags well behind the ambition set out in the government-backed Rose Review of Female Entrepreneurship, which set a target of nearly 600,000 more women founders by 2030.

The research, carried out by Sapio Research, set out to test whether funding, visibility and networks are keeping pace with where women-led businesses are actually being built. While London remains a critical centre for finance and dealmaking, the findings suggest that London-centric assumptions about growth risk disadvantaging founders who are choosing, deliberately, to build viable businesses elsewhere.

More than half (52 per cent) of women entrepreneurs agree that building a business outside London offers greater opportunity, while the same proportion say lower costs are among the top benefits of basing a company beyond the capital.

Yet the old hierarchy has not gone away. Nearly six in ten (58 per cent) agree that businesses based in London are taken more seriously than those outside it, and 61 per cent believe a London address signals that a business is well-established or successful. Perception, in other words, has not caught up with practice.

If anything, that bias runs deeper among those writing the cheques. A separate survey of 200 business investors who have backed UK firms found that 78 per cent agree London-based businesses are taken more seriously, while 80 per cent say a London address signals success. More than half (52 per cent) have at some point required or encouraged a company they invest in to relocate to the capital.

Among women founders based outside London, more than a third (37 per cent) say they have felt pressure to move in order to grow. The majority, though, have no wish to leave: 76 per cent say that, if funding, visibility and opportunity were equal across the UK, they would still choose to base their business exactly where it is today.

That tension, between where capital expects success to happen and where founders are choosing to build it, sits at the heart of the funding debate. It is a theme that runs through wider concerns about the gender finance gap, including evidence that women founders secure 25 per cent less than men at exit.

Alison Cork, founder of National Women’s Enterprise Week, said Manchester topping the list was significant, but that the bigger story lay in what it revealed about the changing geography of British enterprise.

“Women are building ambitious businesses in cities, towns and communities across the country, not just in London,” she said. “The opportunity is already there, but visibility, networks and investment have not always kept pace.

“What this research reveals is a tension between where founders see opportunity and where many people still believe success is supposed to happen. We need to stop thinking of regional growth as an alternative to London and start recognising it as a major driver of the UK’s entrepreneurial economy.”

That argument aligns with the direction of national policy. The government’s Women-Led High-Growth Enterprise Taskforce has likewise pressed for investment and support to reach female founders wherever they are based, rather than concentrating opportunity in the South East.

The research also underlines how much support remains out of reach. Only 35 per cent of women entrepreneurs say they have all the access and backing they need, while 42 per cent say they have some but could do with more. A lack of funding and low visibility are the joint top challenges founders face in growing a business from their current location, each cited by 27 per cent, echoing the squeeze that has seen some female entrepreneurs take on second jobs as 2025 pressures grow.

The findings are being released to coincide with National Women’s Enterprise Week’s Own It: Speed Mentoring for Female Founders event on 19 June 2026, which is built around improving access to practical support, mentoring, networks and visibility for women founders across the UK.