ABSTRACT
This chapter assesses appropriateness and effectiveness of the anchor institution model in general, and Local Enterprise Partnerships (LEPs) in particular, as the basis for local economic policy in the UK. It presents the anchor institution model and how it is supposed to address small business support issues. Anchor institutions are the latest example of policy transfer from its origins in US urban policy. In the UK, discussion of anchor institutions is very much restricted to universities and business schools, whereas in the USA, where the concept has a longer history, a wider set of participant organisations are involved. Anchor institutions need to design and facilitate development support. So are anchor institutions the answer to the prayers of small business owners? Clearly, the answer depends on whether the owner prays or not, but let us assume that he or she does.
