UK UNIVERSITIES SEND MIXED SIGNALS ON BUSINESS TALENT PIPELINE
Concerns are growing about the strength of the UK’s future talent pipeline as new analysis shows collaboration between universities and businesses has fallen for the second consecutive year. Yet beneath the headline decline, a more complex picture is emerging, with a number of institutions significantly increasing the number of graduates entering the business and management workforce.
Data analysed from the Higher Education Statistics Agency (HESA) by experts at money.co.uk business bank accounts reveals that while national collaboration indicators have softened, several universities are expanding their output of business graduates at a pace far exceeding the national average.
Across the UK, eight universities recorded year-on-year increases of more than 50 per cent in the number of first degrees awarded in business and management between the 2022/23 and 2023/24 academic years. Collectively, these institutions are producing graduates at a rate that contrasts sharply with the overall national growth figure of just 6.4 per cent.
The most striking growth was recorded by the University of Bolton, where business and management graduates rose from 165 to 440 in a single year — an increase of 166.7 per cent. Significant gains were also seen at the University of East London, University of Suffolk, London Metropolitan University, Bangor University, the University of Glasgow, the University of Bristol and York St John University.
London Metropolitan University, in particular, reported a 66.3 per cent increase in business graduates year on year, reflecting a broader trend among institutions that have prioritised employability-led teaching and closer engagement with industry needs.
Analysts suggest that this growth may be linked to sustained investment in practical, career-focused degree programmes designed to prepare students for immediate entry into the workplace. Universities that embed real-world business skills, professional placements and employer partnerships into their courses appear to be outperforming the sector as a whole.
For small and medium-sized enterprises, this emerging pool of business-ready graduates could prove increasingly valuable at a time when skills shortages continue to constrain growth.
Joe Phelan, money.co.uk business bank accounts expert, said graduates can play a critical role in strengthening SME teams when supported in the right environment.
“Graduates can be a real asset for small businesses – but it’s not just about having a degree. They bring skills, knowledge, and a foundation to build on, while also being keen to learn and grow in a real-world environment.
“For SMEs, hiring graduates can bolster teams by adding people who are up to date with the latest tools, processes, and industry thinking. They often bring digital skills, project management knowledge, or insights into sustainability – practical capabilities that can make a tangible difference.
“Graduates tend to thrive in workplaces where they can continue learning on the job. SMEs that invest in training and development often see this translate into stronger performance, loyalty, and growth, creating a mutually beneficial relationship.”
As UK policymakers and business leaders continue to debate how to strengthen collaboration between higher education and industry, the figures highlight a divergence within the sector. While some institutions struggle to maintain momentum, others are rapidly scaling their contribution to the UK’s business talent pipeline — offering a potential blueprint for aligning academic output with economic demand.
