A record number of businesses started up in March. Over 52,000 new businesses were formed across the mainland last month and this follows on from a strong number of starts earlier in the year.
According to the latest data from BankSearch the first quarter saw 19.0% more business starting up than compared to the same period last year.
Simon Anderson, Managing Director of BankSearch said “the increase in January of the standard rate of VAT to 17½%, the snowy weather and ending of the vehicle scrappage scheme in March has not deterred a record number of people starting a business for the first time. Entrepreneurs are seeing new opportunities and are grasping them. The banks are doing their bit by providing help and guidance and as well as improving employment, the economic activity generated should translate into a pickup in GDP later in the year”.
Stephen Pegge, Chairman of the British Bankers Association Small Firms Advisory Panel said “March is always a strong month for new company formations but this month has been particularly vibrant. Banks are the first port of call for new start ups and it’s good to see that bank support complemented by help from business support agencies is ensuring that enquiries from prospective business owners is being converted into real business. I would encourage new businesses to talk with their banks to see what advice is available in their local areas”.