The number of small UK businesses launched in the legal, architecture and veterinary sectors has grown at a faster rate than those in any other sector in recent years, according to new research.
The number of so-called “technical and professional” small companies operating in these sectors grew by 39 per cent from 2010 to 2015, as the number of small information and communication businesses also experienced strong growth of 33 per cent over the period.
The number of small UK business service firms – those related to finance, insurance, accounting or business consulting – grew by around 25 per cent during the period.
The research, conducted by challenger bank Hampshire Trust and the Centre for Economics and Business Research (CEBR), revealed stronger levels of confidence amongst startup founders setting up companies in these areas than generally amongst all UK entrepreneurs.
Some 60 per cent of small accountancy and IT business service owners employing less than five staff said they felt confident about the future – seven per cent above the national average rate.
The buoyancy amongst these business owners, according to the research, is due to the amount of cash small companies in these sectors have managed to save.
Commenting on the research, Hampshire Trust Bank’s director of savings, Stuart Hulme, said that the data “highlights the vital contribution of [small firms] both within the business services sector and across all sectors to the UK economy, and the rapid level of growth being demonstrated by some of the nation’s smallest businesses.”
He added that the research showed the resilience of small UK businesses to economic shocks and uncertainty – something the government can have faith in.
“We urge the government to undertake proactive measures to create opportunities and conditions that enable [small companies] to continue to flourish,” Hulme went on to say.
Welcoming the study’s findings, mmanaging economist at the CEBR, Nina Skero, said: “This further highlights how vital it is to nurture the optimism [small businesses] are demonstrating if they are to continue driving economic growth. It’s encouraging to see [ventures] across various industries posting a strong performance.
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