Number of new start-ups 'highest for more than a decade'
Over 200,000 new businesses have been set up since the recession 'ended' in January this year, the highest for over a decade, an analysis of Companies House data has revealed.
A report by Yoodoo.biz, an information portal for start-up businesses, showed that 204,361 new firms were launched between January and June this year, a 51 per cent rise when compared to the same period in 2009. The figure is also up from 157,185 new firms during the first half of 2008.
"The recession left many people out of work or unhappy in work and it is these people that are now using their own initiative to set up their business and help kick-start the economy again," Tony Heywood, chief executive of Yoodoo.biz, said.
The study also found that only 0.6 per cent of companies created in 2009 underwent liquidation or went into receivership in the same year, in comparison to an average of 4.5 per cent of firms set up between 2000 and 2008.
Mr Heywood added that the rise could be based on firms' adoption of savvy business models in the face of the difficult economic climate.