Laptop Young people who grew up around the turn of the century are more likely to want to set up their own company than previous generations, according to a report.

The so-called millennial generation displays an "unprecedented entrepreneurial spirit", with almost one-third of those aged 20 to 29-years-old wanting to start their own business, said the report from the RSA charity in partnership with the National Centre for Social Research.


The number of 18 to 29-year-olds in the process of setting up their own companies increased by 50% in the last year alone, according to separate analysis commissioned by Royal Bank of Scotland Group from the Global Entrepreneurship Monitor.

RSA's Generation Enterprise report concludes that the boom in entrepreneurialism is down to the millennial generation grasping both the power of modern technology and the internet.

Consumers are beginning to control the processes of production themselves, in a way which will be as significant for living standards as the industrial revolutions of the past, according to the report, citing examples such as open innovation websites, social media companies, price comparison sites and peer-to-peer marketing sites.

Report author Adam Lent, RSA director of programme, said: "It will be the millennials' insight and entrepreneurial spirit which will finally lift us out of the dire economic crisis. Over the coming years we will see younger generations produce new products and services that will generate a big leap in living standards."

The research notes a particularly striking rise in entrepreneurial activity among young people in Wales, steadily increasing from 3.5% in 2002 to 10% in 2011. Young people are mainly starting companies in retail, hospitality and business services, the report adds.

A Department for Business spokesman said: "2011 was a break-out year for enterprise, especially with more young people than ever before intending or trying to start a business.

"The Government has supported this trend by launching the StartUp loans scheme; giving entrepreneurs aged 18-24 the chance to apply for a package of support including mentoring and access to a small amount of capital.

"Despite the difficult economic conditions this is a great time to start a business. The Government is creating a network of thousands of business mentors and is improving access to finance for SMEs (small and medium-sized enterprises). People wanting to find the full range of support available should visit the Government's Business in You campaign website."