A report presenting major new research into how artistic and creative activities link to the wider economy.

Key findings:

• There is a significant positive impact from business-to-business links with the creative industries on some but not all dimensions of innovative behaviour.
• Firms that spend double the average amount on creative products - 6% compared with 3% of their output - are 25% more likely to introduce product innovations either new to their firm or market.
• Knowledge transfers associated with purchases by firms of creative products may support improvements in their product range and quality. 

This report presents the results of major new research into the role of the creative industries in stimulating and supporting innovation in the UK. Our research investigates and quantifies for the first time how artistic and creative activities link into the wider economy.

Policymakers should stress the wider benefits of creativity when promoting the contribution that design can make to business performance.

Authors:
Hasan Bakhshi, Eric McVittie and James Simmie