Research
Refugees, new arrivals and enterprise: their contribution and constraints
Centre for Enterprise and Economic Development Research (CEEDR) -Middlesex University
Refugees and new arrivals face multiple constraints with regard to integrating into the society in which they have to live. While unemployment is very high amongst refugee groups, self-employment is one of the strategies used by new arrivals to secure a livelihood. There has been little research carried out on refugee entrepreneurship and self-employment. However, unemployment is very high amongst refugees and new arrivals, especially from disadvantaged ethnic groups, and self-employment is one of the strategies used by these populations to secure a livelihood.
This project builds an initial evidence base on the impact of refugee and new arrival businesses on the economy of disadvantaged communities and localities. It also identifies constraints that these people face when setting up and running businesses.
KEY FINDINGS Refugee run enterprises bring both economic and social benefits to deprived areas through jobs created, skills built up, services provided and through building social capital The enterprises tend to be in highly competitive sectors and with low level of employee pay. Refugees face specific constraints regarding finance exacerbated by their refugee status Uncertain status restricts long term planning and investment There is a lack of understanding of the UK business and regulatory environment. Many refugees are suspicious of public sector related support provision because of their previous experience with officials Information and support can come from their community members, often centred around specific enterprises that act as hubs, although the level of community support varies between ethnic groups |
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