America continues to represent a major growth market for British businesses, but the conditions for success have become significantly more demanding amid slower corporate profit growth, persistent inflation and complex state-by-state regulation, according to audit, tax and advisory firm Blick Rothenberg.
While the US economy is still expanding, the momentum that once made it an easy landing ground for UK exporters is fading. Data from the US Bureau of Economic Analysis shows real GDP grew at an annualised rate of 1.6 per cent in the first quarter of 2026, with real final sales to private domestic purchasers rising 2.4 per cent. That indicates continued consumer and business spending, even as profitability comes under pressure.
For UK companies considering expansion, advisers warn that opportunity remains strong, but the margin for error is narrowing.
Michael Holland, partner and US expansion lead at Blick Rothenberg, said the latest figures confirm the US is still a viable destination for growth, though the environment has become more demanding. He noted that inflation remains elevated while corporate profit growth has slowed, meaning businesses must work harder to achieve returns.
He also pointed to volatility in UK exports to the US, with figures from the Office for National Statistics showing fluctuations since new American tariffs were introduced, forcing many exporters to adjust pricing strategies and supply chains.
A key challenge, Holland said, is treating the United States as a single market. In reality, he explained, it functions as a collection of distinct regional economies with differing consumer behaviours, tax regimes and regulatory frameworks.
Successful UK entrants, he added, tend to focus on specific regions such as the East Coast, West Coast or central states, rather than attempting nationwide coverage from the outset.
The firm advises businesses to carefully assess demand, pricing structures and operating costs before committing significant investment. Differences in sales tax, tariffs, logistics costs and labour markets can materially affect profitability, particularly for small and mid-sized enterprises.
Holland also cautioned against underestimating the cost of entry. Many firms, he said, struggle when they overestimate demand or underprice their products in order to gain market share, only to face unsustainable operating losses once scaling begins.
Instead, he suggested that the strongest UK performers are those entering the US in response to clear customer demand rather than speculative expansion. Companies with established traction, defined regional strategies and disciplined pricing models are more likely to succeed.
Trade experts and business groups such as BritishAmerican Business echo this view, advising firms to prioritise partnerships, local hiring and regional focus when entering the US market.
Holland said British firms that succeed in 2026 will be those that are selective in where they operate, disciplined in pricing and realistic about the complexity of scaling across a diverse and competitive US economy.
While the US remains one of the most attractive global markets, advisers warn that success now requires sharper strategy, deeper planning and stronger financial discipline than in previous years.
