The UK is the most entrepreneur friendly environment, according to an annual pan-European benchmark survey conducted by Arthur Andersen and GrowthPlus. The scores per country are outlined below. The highest possible score achievable was 60. The survey evaluates those areas that high growth entrepreneurs, independent legal and financial professionals identified as most relevant to stimulating high growth.
The survey concentrates on three main areas: funding, people and business environment. Funding assesses the issues of tax incentives for venture investors, tax incentives for venture capital funds, encouragement of investment and tax deductibility of stock option expenses.
People assesses the issues of the tax framework related to share plans, taxation of stock options, social security charges on stock options, limitations in granting stock options, special law requirements related to stock options, tolerance of failure in business, accessibility of foreigners to labour market, wealth taxation.
Business environment assesses the issues of corporate tax rates, individual tax rates, capital gains tax rates, new business foundation, quality of intellectual property rights, labour law (layoff of employees and general relationship to collective law), and social security and other mandatory charges.