Castore founder: Government must ‘reset’ relationship with business to stop Britain falling behind

Tom Beahon warns Britain’s collective ambition is ‘waning’ and says country is becoming uncompetitive

The co-founder of sportswear giant Castore says the Government needs to “reset” its relationship with business to stop the UK falling behind its global rivals and to keep talented young people in the country.

Tom Beahon founded Castore with his brother Philip in Liverpool in 2015. The Manchester-based group has since been backed by Sir Andy Murray, the billionaire Issa brothers and Ineos, and its bosses are aiming for £300m in annual sales this financial year.

In a post on LinkedIn, Mr Beahon has warned that Britain is becoming an uncompetitive place to do business, and says the Government needs to back the entrepreneurs who will build the Castores of the future.

Mr Beahon said the UK had many advantages that “cannot be easily replicated by other countries or diluted by short term Government decisions”, including its legal system, cultural assets and world-class education system.

He said future growth needs founders who “consciously choose to delay their own financial gratification in the hope of building something of even greater value down the line” – and that without those entrepreneurs, “jobs, living standards and ultimately society all suffer”.

He added: “Despite the UK’s many enduring strengths, our right to win as a country in an ever more competitive global economy is slowly but consistently diminishing. As someone who makes decisions every day on hiring, investment, expansion and exporting, it is clear to me that our collective ambition as a country is waning and unless something changes with our approach to business and wealth creation we will continue to fall further behind. Whatever your political views, this is a wholly negative thing for our country.

“When we started Castore ten years ago, the UK felt like the best place in the world to build a company and where ambitious people from across the globe all wanted to be, creating an ecosystem that benefitted everyone. Now the next generation of talented young people are choosing to leave the UK and build their businesses and careers overseas. When this happens, something needs to change.

“At the upcoming Budget, the Government must demonstrate they understand entrepreneurs and take real action to support the UK’s risk takers so they have the incentives and environment to be successful. This is not something that happens easily and the challenges we face are very real but without proving to Britain’s founders they really want them to be successful, our Government will continue to oversee steady decline.

“Policies are important but so is sentiment and the Government has a chance to reset their relationship with business. Not doing so won’t result in instant catastrophe but it will accelerate the steady stream of talent leaving our country, taking with them the tax income the rest of the country relies on. Britain can continue to punch above its weight on a global stage and be an attractive home for global talent but this won’t happen on its own and the need for real action is increasing every day.”