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Birmingham sees largest increase in start-up companies

New research says rate of growth among new companies is outstripping all other major UK cities

City of Birmingham
Birmingham is increasingly being seen as a good city to start a business in

The rapid growth of start-up companies in Birmingham shows now signs of slowing down as more businesses have been born here than in any other of the UK's other core cities over the past year.

New research suggests there has been a 95 per cent increase during the last financial in the number of businesses launching in the city, according to analysis of Bureau van Dijk's FAME database.

Nearly 13,000 companies were set up in the city during 2014/15, compared with 6,640 the previous year.

This growth outstrips all other UK cities with Bristol in second place (83 per cent), followed by Manchester (77 per cent) and London (70 per cent). See chart below for the full figures.

Birmingham is said to have the most incubator programmes in the UK outside London and has doubled its number of accelerator programmes in just two years, according to research by communications firm Telefonica.

Birmingham also recorded the highest number of start-ups outside London. A total of 175,385 new companies were registered in the capital during 2014/15, followed by Birmingham with 12,972 and Manchester with 7,516.

Support for start-ups in the city and surrounding areas includes facilities and mentoring offered through the Growth Hub which is run by the Greater Birmingham and Solihull LEP and provides a single point of access for firms wanting advice and support.

Growth Hub manager Ian McLaughlan said: "We are attracting more enquiries about starting a company than any other topic.

"It is clear that greater Birmingham is full of ambitious potential entrepreneurs that want to set up and grow a successful business.

"The economic strength of this region relies on new companies establishing secure and sustainable plans for growth."

Marketing Birmingham analysis of the FAME database, Bureau van Dijk
Marketing Birmingham analysis of the FAME database, Bureau van Dijk

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