Business in seaside communities booms after long hot summer
Redcar has been crowned the UK’s Most Entrepreneurial Seaside Town, as new GoDaddy research finds microbusiness density in the 10 fastest-growing coastal constituencies rose at more than twice the UK rate between 2024 and 2026.
The GoDaddy Small Business Research Lab, a multi-year study of more than 600,000 UK companies with fewer than 10 employees, maps microbusiness density using local population and tracks change over time. The latest figures reveal strong entrepreneurial momentum across the UK’s coastal communities.
Redcar, Formby and Troon ride the wave
Redcar, North Yorkshire, led the pack with 21% growth between 2024 and 2026. Redcar is a traditional Victorian seaside resort, famous for its long sandy beaches.
This surge was matched by Formby, Merseyside, with its dramatic sand dunes, pine woodlands, and rare wildlife. Troon, Central Ayrshire – a seaside town and port most famous for its golf courses – followed at 19%. Overall, the 10 leading seaside constituencies averaged 18% growth, more than double the UK average of 8%.
Record summer fuels visits and local spending
The Met Office provisionally confirmed that summer 2026 was the UK’s hottest since records began, and a GoDaddy poll commissioned in September 2026 suggests the exceptional weather encouraged more Britons to visit the coast.
Of 2,000 adults, 44% said they visited a UK seaside town during the summer heatwaves, while 57% said they spent more time there than in previous summers. More than half (55%) said they prioritise spending with local small businesses during seaside visits, and 71% said a good range of independent shops, cafés and businesses is important when deciding where to visit.
Emma Stephenson, owner of Daisy-Mae’s Vintage Tea Room in Redcar, commented: “I’m a Redcar girl, born and bred, so the town has always been my home. I bought Daisy-Mae’s three and a half years ago, having previously worked for the former owners, and since then we’ve built strong relationships within the community.
“This summer has been really good for the business. The hot weather meant the season started earlier, bringing visitors from across the UK and all over the world. Even September has been busier than in previous years.
“Redcar is a really nice town with a great community. We have lots of support from local regulars, which means we can remain open throughout the year. There’s also a lot happening in the area, with the council’s regeneration work, several new businesses opening and investors working alongside the council. It’s really positive to see more independent businesses emerging.”
Seaside success stretches nationwide
While Redcar, Formby and Troon headline, seaside communities from Aberdeenshire to Dorset complete the top 10.
The UK’s most entrepreneurial seaside towns
| Rank | Seaside town | Constituency | Growth in microbusiness density 2024-26 |
| 1 | Redcar | Redcar | 21% |
| 2 | Formby | Sefton Central | 21% |
| 3 | Troon | Central Ayrshire | 19% |
| 4 | Cullen | Aberdeenshire North and Moray East | 19% |
| 5 | Grange-over-Sands | Westmorland and Lonsdale | 19% |
| 6 | Southport | Southport | 18% |
| 7 | Skegness | Boston and Skegness | 17% |
| 8 | Saltburn-by-the-Sea | Middlesbrough South and East Cleveland | 16% |
| 9 | Herne Bay | Herne Bay and Sandwich | 16% |
| 10 | Christchurch | Christchurch | 15% |
Small firms, big local impact
Research by GoDaddy and Frontier Economics links a 10% rise in microbusiness density to an additional £360 in median annual pay, 5.1 extra jobs per 1,000 residents and more than £26 million in added GDP for a typical local authority of 200,000 people.
Alexandra Rosen, GoDaddy’s small business economist, said: “What’s particularly striking is the rate of growth of new ventures in the seaside communities. 7% of small UK hospitality firms – cafés, pubs, restaurants and BnBs we most closely associate with the seaside economy – were launched in 2026 alone. More than one in ten (11%) have been established since the start of 2025. We’re not simply seeing long-established seaside businesses benefiting from a good summer, but growing evidence of a new generation of entrepreneurs choosing coastal communities as places to start and build businesses.”
“While people often assume the decision is primarily financial, our data suggests independence is a far more powerful motivation. One in five (20%) hospitality business owners say their main reason for starting a business was to be their own boss, compared with just 11% who said they did it because they believed they could earn more money. The top five reasons are rounded out with more flexibility, pursuing a passion and fun. Seaside towns undoubtedly benefit from tourism, but for many founders they also offer an attractive lifestyle, strong community connections and the opportunity to build something of their own.”
“It underlines what we call the Empowerment Economy: there’s simply no bad place to launch a business, whether that’s a major city, a commuter town or a stretch of coast.”