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Number of UK businesses on the rise

By Holly Jones | May 25, 2011

The UK saw 48,000 new businesses created in the space of a year
The UK saw 48,000 new businesses created in the space of a year
New figures have suggested that the number of private sector businesses in the UK is increasing.

The Department for Business, Innovation and Skills released a report showing that the number of businesses active in the UK had increased in a year-on-year comparison from 2009 to 2010.

The total increase was 1.1 percent. While this may seem like a small figure, it amounts to around 48,000 businesses, taking the total number of businesses operating in the UK to over 4.5 million.

These businesses employ a total of 22.5 million people and have an estimated total turnover of £3.2 trillion.

Mark Prisk, the minister for business and enterprise, said: "Private sector enterprises will create growth in our economy so it is encouraging to see that the number of businesses at the start of 2010 had increased. This was a difficult period, and these figures show the resilience of British business.

"I am determined that the government will do everything it can to create the right environment for these businesses to now expand and grow, and also to encourage more people to set up on their own.”

Other statistics given in the report include:
  • 64.2 percent of private sector businesses are sole proprietorships
  • 27.6 percent are companies
  • 8.2 percent are partnerships
  • SMEs account for 99.9 percent of all enterprises
  • SMEs account for 59.1 percent of private sector employment and 48.6 percent of private sector turnover

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