Global volatility is reshaping the expansion plans of international SMEs, with favourable trade conditions, tax environments, and regulatory frameworks rising higher up the agenda.
The latest data from international accountancy network Kreston Global highlights both the risks and opportunities facing businesses operating in a global environment characterised by ongoing uncertainty.
Research from Kreston Global’s latest business leader survey shows that global uncertainty and the pace of change are reshaping priorities for UK SMEs pursuing international expansion. This is reflected across key areas, including market selection, technology adoption, regulation, and access to talent.
The research found that market diversification was a significant driver for UK businesses expanding internationally, with 48% citing this as a key motivator, compared to 35% globally. The findings suggest UK businesses are increasingly focused on reducing reliance on individual markets and creating greater resilience through international growth.
Now in its third iteration, the Interpreneur Report brings mid-market global business trends into sharp focus. It is based upon the findings of a survey of 1,100 ‘interpreneurs’ (international entrepreneurs) with revenue from £10 million up to £300 million across 11 countries, who have successfully expanded their business into international markets. The research explores global mobility trends for small to medium-sized businesses, and the strategies and tools business leaders are using to navigate the commercial pressures of global entrepreneurship today.
Overall, the report found that interpreneurs from the UK remain optimistic, with an average score of 7.7 out of 10 for the current climate for international expansion. A further 83% expect the environment to become more favourable in the years ahead.
However, this came with concerns regarding finding the right local partners, [LA1.1]regulatory, ESG and legal compliance requirements, and navigating global tax regulation.
Just under six in ten mid-market businesses surveyed say tariffs and trade disputes are already reshaping expansion plans.
While confidence in international expansion remains strong in the UK, respondents highlighted several ongoing challenges:
Tariffs are reported to have had a lower impact on UK organisational strategy than the global average, with 49% of UK respondents saying they had a significant impact, compared to 57% globally.
Regulatory and tax considerations continue to present challenges around global tax regulation, compliance requirements and adapting to local market conditions.
Favourable trade agreements were ranked as the top pull factor globally (48%), and highly in the UK at 49%.
Alignment with long-term growth strategy (43%) and access to skills and talent (43%) also remained key factors.
The report identifies market expansion as the top driver, with 59% of businesses citing access to new customers as their primary motivation for entering international markets.
At the same time, technology and AI are becoming increasingly important to international growth strategies, with UK businesses recognising the role of digital tools, global networks and innovation in supporting overseas expansion.
50% of respondents see advanced technology adoption as a major future opportunity, whilst 69% report that AI is already having a significant impact on their international expansion.
Liza Robbins, Chief Executive of Kreston Global, said:
“Although the global challenges faced by interpreneurs are acute, SMEs are uniquely positioned to navigate uncertainty. Their agility allows them to turn disruption into opportunity and drive growth both domestically and internationally.
This report aims to equip business leaders with the insights they need to succeed globally, regardless of the complexity of the environment in which they operate.”
You can download a copy of the 2026 Interpreneur Report here.
To find out more about how Duncan & Toplis can help your international business, please contact us.
