Enterprise and the Welsh language

On Tuesday, the S4C current affairs TV programme “Taro Naw” reported on a study carried out by the Global Entrepreneurship Monitor (GEM) project into the relationship between the Welsh language and enterprise.

This research is the first of its kind ever to take place in Wales and follows anecdotal evidence that many Welsh speakers become entrepreneurs by perceiving an opportunity to provide speciality goods and services for their linguistic community.

For example, the increasing demand for Welsh literature has led to a growth in Welsh publishing houses, such as Gwasg Gomer, y Lolfa, and Gwasg Gwynedd, as well as the development of specialist publications such as the Welsh language magazine Golwg.

The greatest demand for such goods and services are naturally to be found in the Welsh language heartlands such as Gwynedd and Ceredigion, and it would be expected that new Welsh language businesses will thrive in those locations.

There are also examples of a new type of professional Welsh language entrepreneur emerging in knowledge-based sectors such as the creative industries, mainly as a result of the commissioning activities of the Welsh language TV channel S4C. Whilst Cardiff remains the centre of this industry, due to the location of both BBC Wales and S4C, strong clusters of Welsh language production and facilities firms have also been established around Caernarfon in Gwynedd.

Not surprisingly, the growing number of Welsh language businesses in these areas has given rise to organisations such as Menter a Busnes, which have been established to encourage greater enterprise amongst Welsh language speakers and have proven successful in delivering a range of business support services bilingually.

Despite this, much remains to be done as the GEM research study showed that non-fluent welsh speakers are more likely to be involved in thinking about starting a new business as well as starting a new business than welsh speakers, although a higher proportion of welsh speakers, as a group, are running established businesses.

However, contrary to the accepted wisdom, it demonstrated that twice the proportion of welsh speakers are involved in starting a new business outside of the welsh heartlands in the North and West of Wales.

This suggests that legislation such as the Language Acts, the establishment of a National Assembly for Wales, and the subsequent revival of the Welsh language, have increased the demand for the services of Welsh language businesses in non-Welsh speaking areas.

Whilst the growth of new Welsh language based businesses outside the heartlands is great news for enterprise in Wales as a whole, this development could clearly have an adverse effect upon enterprise in the traditional Welsh language heartlands and clusters. Indeed, the GEM research shows that non-welsh language speakers are three times more involved in starting a new businesses than welsh speakers within the Welsh language heartlands, despite the fact that the majority of the population in these areas are welsh speakers.

The evidence that it is in-migrants from other areas of the UK and non-welsh speakers who are creating new businesses in these areas could change the entire business culture of many towns and villages across the Welsh language heartlands and there are calls for more support to encourage young local people to become involved in starting a business.

With the study showing a strong link between Welsh language ability and rurality, this trend could lead to a ‘brain drain’ from areas of Wales that can least afford to lose their young people to the more prosperous, but less Welsh speaking urban areas. For example, the tourist industry has the potential to make a significant contribution to the Welsh language and the future of Welsh speaking communities within many parts of rural Wales. However, if new Welsh language entrants are not entering the industry, this development could be at risk.

It is therefore essential that whilst the continuing vibrancy and resurgence of the Welsh language is continued through its incorporation into the enterprise culture, more specific support is provided within the traditional Welsh language heartlands to encourage new entrepreneurial activity, particularly amongst young people, and balance any potential loss of home-grown entrepreneurs moving elsewhere.