YORKSHIRE could be on the brink of a youth business boom, according to a new report by The Prince’s Trust and RBS today.

More than two fifths of young people in the region believe they will be self-employed in the future, while more than one in three expect to be their own boss within the next five years.

More than a third have already made money from entrepreneurial activity – such as selling a product they have made or working on a freelance basis – and more than half hope to do so in the future.

While only 5% of young people in the UK are currently self-employed, more than a quarter claim they are “increasingly” thinking of setting up in business.

Jonathan Townsend, regional director of The Prince’s Trust in the north of England, said: “This research reveals an increasingly entrepreneurial mood among young people in Yorkshire and the Humber.

“Five years on from the start of the recession, youth unemployment remains high and many are seeing self-employment as a way to break the cycle of joblessness.

“Setting up in business can be tough – but at The Prince’s Trust we have a 30-year track record of helping disadvantaged young people succeed in work and self-employment, no matter what their background. It is critical we nurture young people’s passion for business and invest in the next generation.”

The survey found that 28% of young people would rather try to set up their own business than continue to job-seek in today’s competitive market.

Figures from the Office for National Statistics show the number of self-employed young people has already risen by 71,000 since the start of the economic crisis.

While 42% of young people across the UK have considered setting up in business, according to the Prince’s Trust research, many are being held back due to worries about funding or not having enough support.

Almost two-thirds of young people in the region said that not having enough money would prevent them from setting up in business, while two-fifths claim that having a mentor would make them more likely to consider self-employment.

Chris Sullivan, chief executive of RBS Corporate Banking, said: “RBS has, for over a decade, actively supported efforts targeted towards young, unemployed people with a commercial idea and the drive and ambition to start-up their own business.

“It is of particular importance in these tough economic times to provide support for some of the most disadvantaged young people in the country. Through our ongoing partnership with The Prince's Trust we’ve seen first-hand the life-changing results.”

The Prince’s Trust is celebrating 30 years of setting up young people in business through its Enterprise programme.

The scheme has helped 80,000 young entrepreneurs to date with support from funders such as RBS.

Visit www.princes-trust.org.uk /30enterprise or call 0800 842842.