UK start-ups reach new peak

Barclays has released new figures showing that the number of start ups during 2004 outstripped anything recorded since it began tracking the market in 1988. The total number of new businesses has increased by 13 per cent from 400,000 in 1988 to 453,000 in 2004.

The construction sector grew by 34 per cent in the last year with around 40,000 new businesses set up, the highest ever number ever recorded. The increase is due to an upturn in the traditional trades of plastering which increased by more than 60 per cent and installing carpets and flooring rose by almost 50 per cent.

These figures are released as Barclays and the National Federation of Enterprise Agencies launch more than 150 free start-right seminars across the country, which provide practical advice on running a business on areas such as business planning, bookkeeping and how to obtain finance. Among the other key findings of the research were:

• The top construction businesses set up in 2004 were residential building contractors, painting and plumbing. These account for around a third of all Construction businesses.

• The greatest absolute increases were seen in leisure and personal, construction and transport and communications, these sectors accounted for about 30 per cent of all new firms started in 2004 (134,000).

• Looking at regions as a whole the South West was the top hotspot outside London for generating entrepreneurs.

• London led the way in the local rankings of business start-up rates with boroughs in the Capital occupying nine places in the top ten.

• In the rest of the country, Somerset Blackpool and Bournemouth led the way in a top ten dominated by rural and mid sized urban authorities, with only Manchester representing more traditional city areas.

• The number of business start ups by men totalled 297,400 and female 155,000.