New research reveals the top locations for starting up in finance
- A new study using Companies House data has revealed that 35,448 new businesses in the finance and insurance sector were founded in 2021
- 12,369 of the finance and insurance businesses formed in 2021 were holding companies in sectors such as Property, Catering and Transport
- The research by Yell Business also found that key areas to start-up a business in finance and insurance include Oxford, Falkirk, Llandrindod Wells, Kirkcaldy, and Gloucester
Business is booming in the finance and insurance sector, as new research by Yell Business has revealed that 35,448 finance and insurance businesses were started in 2021.
Using data acquired from Companies House, the research helps to show that despite another challenging year, the entrepreneurial spirit of the nation is alive and well, with more businesses founded per month in 2021 than in 2020, or even during pre-pandemic 2019. In fact, an average of 13% more new businesses were founded each month in 2021 vs. 2019 with the finance and insurance industry contributing significantly.
Of those new ventures founded within the finance and insurance sector, some 12,369 were holding companies in sectors such as catering, property, and transport (35% of Finance and Insurance businesses started last year), while 1,883 that registered with Companies House (5%) were for Fund Management activities.
Yell’s research also revealed where budding entrepreneurs could find the biggest opportunities within finance and insurance. This was achieved by analysing the Google search demand for the likes of ‘London accountants’ versus the actual number of businesses offering the particular service in each area.
The demand for financial advisors in Falkirk far outweighs the supply, with over eight searches per listed firm, providing an opportunity for any finance professional looking to go it alone. Similarly, Llandrindod Wells, Kirkcaldy and Gloucester also showed significantly higher demand than supply for several other financial services such as insurance brokers and fund managers, making them equally strong contenders for anyone looking to set up a new business.
Business type | Top three locations based on searches per listing |
Bank | 1. Oxford (64.73) 2. Nottingham (62.79) 3. Slough (60.48) |
Financial advisor | 1. Falkirk (8.07) 2. Darlington (6.31) 3. Dorchester (5.83) |
Insurance broker | 1. Llandrindod Wells (30.00) 2. Kirkwall (20.00) 3. Oldham (13.50) |
Pensions advisor | 1. Kirkcaldy (10.00) 2. Wigan (8.67) 3. Hereford (8.33) |
Fund management | 1. Gloucester (60.00) 2. Doncaster (50.00) 3. Dorchester (50.00) |
Claire Miles, chief executive officer of Yell commented: “With the challenges of the last two years, we might expect to find that fewer people were deciding to take the leap into the world of starting and running their own business. However, the data clearly shows that it has potentially inspired more people to take ownership of what they do for a living and finally make the dream of running their own business come true.
With the background of the pandemic and numerous economic and supply chain challenges, it’s really encouraging to see the entrepreneurial spirit of the UK is continuing to grow year on year. We look forward to working with some of these new business owners in the finance and insurance market in 2022, to help make their venture a success”.
Finally, the findings highlighted which areas of the UK had seen the highest number of businesses launched per capita, and somewhat surprisingly the Welsh coastal town of Llandudno ranked as the most entrepreneurial location, showing that big business doesn’t just start in the city.
Further breakdowns of these findings can be found in the full report published on: https://business.yell.com/sme-insight/the-entrepreneurial-spirit-of-the-uk