Not only are business births high and business deaths the lowest since the start of the recession, the four year survival rate is over 50%, the 2nd highest in the country, according to new data from the Office for National Statistics.
Buckinghamshire’s new firm formation rate of 89.4 businesses for every 10,000 residents is the 3rd highest of all 27 county council areas, behind Surrey and Hertfordshire and the 4th highest among Local Enterprise Partnerships (LEPs) behind London, Hertfordshire and Thames Valley Berkshire.
There were 3,720 business births in Buckinghamshire in 2014, the highest since comparable records began in 2004, while business deaths fell to 2,645, the fewest in any year since the start of the recession.
Buckinghamshire’s increase of 1,075 businesses was the largest in a single year on record, while the 4.2% increase in new formation was the 2nd highest among the 27 county councils, ranking 6th among the 39 LEPs. Buckinghamshire’s comparative performance over time is presented in chart 2 on page 3 of the report.
Having risen faster than both the South East region and the country as a whole in 2014, Buckinghamshire’s new firm formation rate is 31.6% above the national level, up from 28.5% in 2013, but still below the 33.1% of 2012.
All of this means that there is now a record high of 30,760 businesses in Buckinghamshire.
Business survival rate
With 52.5% of businesses formed in 2010 still trading, Buckinghamshire has the 3rd highest four year survival rate of any county council area, ranking 2nd among LEPs.
Almost 19 in every 20 businesses formed in Buckinghamshire in 2013 survived their first year of trading, slightly above the national and regional levels.
South Bucks leads Buckinghamshire’s new firm formation charge
South Bucks saw 700 new firms formed in 2014, at a rate of 126.1 for every 10,000 residents. This is the 13th highest rate of all 380 local authorities in Great Britain and the 2nd highest outside London. All Buckinghamshire districts rank among the top quartile on this measure with Buckinghamshire sitting at the centre of the most entrepreneurial part of the UK, bordering five of the other top six LEPs on this measure.
The national picture
Across the UK, the stock of businesses grew by 4.2% or 102,145 businesses in 2014, with an extra 14,225 management consultancies accounting for 13.9% of that growth. There were an extra 11,325 businesses in computer programming and consultancy (11.%) and 8,215 more in architectural and engineering activities (8%). The number of businesses engaged in business support activities not elsewhere classified (which includes credit bureaus and contract fundraising activities) rose by 16,955 or 16.6% of the total.
The sectors seeing the largest fall in business population were the repair of fabricated metal products, machinery and equipment (down 2,800), beverage service activities, including pubs and licensed clubs (down 1,585) and wholesale on a contract basis (down 1,085).
Aylesbury Vale Enterprise Zone
Buckinghamshire Thames Valley Local Enterprise Partnership (BTVLEP) has secured Enterprise Zone status for three strategic sites in the Aylesbury Vale area, at Silverstone, Westcott Venture Park and Arla/Woodlands.
The announcement was made as a part of Chancellor George Osborne’s Autumn Spending Review on Wednesday 25 November.
The new Enterprise Zone could create up to 8,000 new jobs and will support the drive for inward investment projects from foreign shores.
