"UK firms under-invest in important creative services, such as design, compared to other EU businesses. We have the largest creative sector in the world relative to GDP and as we emerge from a difficult economic climate we want to show that the creative industries can be of even more value to our economy."

The Arts and Humanities Research Council (AHRC) and the UK's innovation body NESTA (National Endowment for Science, Technology and the Arts) are piloting a world-first programme in Greater Manchester offering small businesses creative support to help them to become more profitable and link up with creative partners in academia and elsewhere.

'Creative Credits' will award SMEs £4,000 worth of external creative input for their own £1,000 investment, helping to develop ideas that can transform their company's prospects. It is estimated that the creative industries will contribute £85bn to GDP and employ almost 1.3 million people by 2013.

The application process is quick and simple - businesses will answer a short online questionnaire and if eligible, will be entered into a draw.  Successful applicants will be able to spend the Credits with a creative business of their choice, as long as the latter are registered on NESTA's online Gallery and their project meets the programme criteria.

NESTA believes that the creative industries can improve the performance of other businesses, for example in the development of new products and services and in devising platforms to help businesses reach new audiences, but many businesses are unaware of these benefits. NESTA's research has found that UK businesses that invest double the amount the average firm spends on creative services are 25% more likely to introduce product innovations.

The scheme is a partnership between Manchester City Council, the Economic and Social Research Council, the Northwest Regional Development Agency, NESTA and the AHRC. In total £600,000 is being invested in the pilot and it will award 150 companies with Creative Credits in two waves - the first 75 will be picked in October, and the second next February.

For further information please go to the Creative Credits website

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For further information please contact Chani Hirsch in NESTA's Press Office on 020 7438 2601 or Chani.Hirsch@nesta.org.uk

Or AHRC Media contact Jake Gilmore, Communications Manager, 0117 9876 773 j.gilmore@ahrc.ac.uk

About the Arts and Humanities Research Council- Each year the AHRC provides approximately £102 million from the Government to support research and postgraduate study in the arts and humanities, from languages and law, archaeology and English literature to design and creative and performing arts. In any one year, the AHRC makes approximately 700 research awards and around 1,350 postgraduate awards. Awards are made after a rigorous peer review process, to ensure that only applications of the highest quality are funded. Arts and humanities researchers constitute over a quarter of all research-active staff in the higher education sector. The quality and range of research supported by this investment of public funds not only provides social and cultural benefits but also contributes to the economic success of the UK