OT recently received the results of a study conducted by Instant Offices, using data collected from Companies House. We were aware there was significant growth in London fueled by start ups, but were amazed at the numbers.
We’ve reprinted the article below for your convenience. Take special note of the sector growth chart. We hope you find this useful. Let us know.
London Business Start-Ups Grow by 21% in a Year
The number of new business start-ups in London have increased by nearly a quarter in the past year according to Instant Offices’ analysis of Companies House data from the past 2 years.
The 21% year-on-year increase in start-ups have been driven predominantly by growth in technology firms, but there has been encouraging signs from retail and creative services’ companies.
Instant analysed the Companies House data and cross-referenced it with postcode with information to create a view of the expansion of industries across the Capital. (Instant has also created heat maps for each expanding sector which shows the geographical areas for growth.)
Key growth sectors include technology services which went up 200% year on year, Wireless and telecommunications were up by 79% and computer facilities companies by 51%.
And it is not just the firms clustering around Silicon Roundabout that have seen such significant increases – the retail industry has also seen huge growth in the past 12 months.
Companies operating in the wholesale of textiles grew by 170% and clothing sales in specialised stores went up by 46%. The wholesale of clothing and footwear also went up by 76% with a 10% increase in internet or mail order retail companies.
Other sectors in London that have seen good growth are taxi operators by 117%, real estate firms by 71% and temporary employment agencies by 87%.
Tim Rodber, CEO of Instant Offices, said: “Since the start of the New Year we have seen considerable demand for office space across the UK, but space requirement has really accelerated post-election.
“The diversity of the firms behind this increase in demand is interesting – but of particular note is the role technology and creative services industries are playing in driving growth in the Capital and producing space requirements outside traditional business locations.
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“Areas such as Southwark and the City Fringe are benefiting from high demand as start-ups weigh up the need to not only reduce costs, but attract the best staff to great work spaces.”
Key Growth Sectors
Instant has highlighted several sectors with key growth data. These are all available as heat maps to illustrate where these businesses are opening across the capital.
|SECTOR||% Increase / Decrease in Registrations|
|Letting & operating of own real estate||54%|
|Buying & selling of own real estate||124%|
|Mail order & Internet retail||10%|
|Real estate agencies||71%|
|Temporary employment agencies||87%|
|Wholesale of clothing and footwear||76%|
|PR & communications agencies||-10%|
|Computer facilities management||51%|
|Computers & software sales||200%|
|Research & development on biotechnology||11%|