Business

UK Sees Almost Half A Million New Companies Started So Far In 2023

The UK is leading the way in the number of new start-up companies emerging in 2023. New research from TechNation – the tech start-up thinktank – showed that so far, the first half of 2023 has seen 463,700 new companies registered with Companies House. 

It’s an encouraging figure, and demonstrates that although its economy faces challenges, the UK is still a very fertile environment for starting and growing a business. And the fact that the average five-year survival rate of UK start-ups is 42.4%, the prospects for new firms are looking better all the time. 

Emma Jones, CBE and founder of Enterprise Nation, said:

“We know from our own research that a third of all UK adults were thinking about starting a business at some point this year, so it’s interesting to see how that is literally taking shape. 

“What those individuals need to do now is to get the right kind of support to help them efficiently achieve what they set out to do, and that is often to share their knowledge, add value to their communities and use their talent to bring in more cash.”

With that said, there are still serious challenges facing UK companies. Recent research from Startups.co.uk showed that: 

  • Almost all (91%) midsize company leaders saying their businesses are facing challenges due to inflation
  • Nearly half (45%) of small business leaders citing inflation as a top challenge for the year ahead, up from 20% last year.
  • Small business employment (0-49 employees) is 12.9 million (48%), with a turnover of £1.6 trillion (36%)
  • 4.2 million small businesses had no employees, and 1.4 million have employees
  • In the private sector, SMEs account for 61% of employment and over half of the turnover at £2.3 trillion (52%)
  • On average, almost 20% of new businesses fail in their first year.

To address some of this, Enterprise Nation and Monzo Business have launched Start-up UK, a programme to help start-ups develop key business skills in their own time, online. So far this year the free programme has reached 165,000 small business owners with its webinars, e-learning modules and support. 

Jordan Shwide, Head of Monzo Business said:

“We’re really proud to be working with Enterprise Nation’s Start Up UK programme, helping businesses across the UK to grow and thrive with specialist support. Start-ups and small businesses are at the heart of the nation’s creativity and growth, and with one in twenty businesses now banking with Monzo, we’re lucky enough to see this in action every day.” 

So, if you’re starting up a business and need of business advisory services, then at Paul Beare we can cover off all you need. You can contact us for help from tax and payroll to accounting and banking.