SMEs in Bromsgrove: A Tough Spot for Small Businesses
Scientists from Qardus just pulled apart the data from the Office for National Statistics to find out where small‑to‑medium enterprises (SMEs) are thriving and where they’re scratching their heads. Spoiler alert: Bromsgrove is the place where the hustle is the hardest.
How the Study Was Built
- Active Enterprise Change (2021‑2023): Did new businesses spring up or tuck in?
- Births of New Enterprises (2020‑2022): Fresh starts, baby boomers of the business world.
- Deaths of New Enterprises (2020‑2022): How many fled or folded?
- High‑Growth Enterprises per 1,000: Speedsters vs. stationary cars.
- 3‑5 Year Survival Rate: Samba vs. staying in the market.
Each factor got a weight, they were normalized from 0 (worst) to 10 (best), scaled to a 0‑100 score, and then, boom—local authorities were ranked.
Bromsgrove’s Share of the Action
With a 100‑point scoreboard, Bromsgrove’s SMEs got an 80.75. That means:
- A staggering -30.22 % drop in newly registered SME enterprise counts from 2021 to 2023—the steepest slide anyone’s seen.
- Only a 5.81 % five‑year survival rate. In other words, many businesses are fizzling out before the “fifth year of fame” playlist hits.
These numbers put Bromsgrove at the bottom of the ranking pile, marking it as the toughest local authority for small business survival.
What This Looks Like for the Real World
Picture this: entrepreneurs setting up shop in Bromsgrove, excited, but quickly facing a hell‑raiser of market conditions. They try to pivot, pivot again—and still, the numbers don’t budge. The crunch for entrepreneurs is palpable, and the data speaks loud and clear.
In sum, it’s a tough market, but that’s a call for everyone—policy makers, investors, and business owners—to step in, brainstorm tools, and find ways to keep the local entrepreneurial spirit alive.
Where UK SMEs Are Struggling – and Where They’re Thriving
It turns out that opening a small business isn’t the same in every English town. Below, we’ll walk through the ranks of local authorities that are making it hard (and easy!) for SMEs to survive.
Top 10 Struggling Regions
- Rochdale (Rank 2 – Score: 69.75/100)
Why it’s tough: Only 1.91 new SMEs per 1,000 people. The town’s growth engine seems a bit sputtering. - Worcestershire (Rank 3 – Score: 66.12/100)
Downward trend: Registered SMEs fell by 26.6% from 2020 to 2022, and barely one in five businesses lasted more than five years. - Bury (Rank 4 – Score: 64.56/100)
Survival shock: Only 14.5% managed a five‑year run‑away, stunting the borough’s overall score. - Rossendale (Rank 5 – Score: 64.37/100)
Business death toll: A 6.3% drop in new registrations and a staggering 70.2% “business death rate” from 2020‑2022. - Leicester (Rank 6 – Score: 63.89/100)
Registration slump: A 15.3% decline in new SMEs between 2021 and 2023, with only 34% hitting the five‑year mark. - Cheshire East (Rank 7 – Score: 62.92/100)
Registration dip: A modest 3.4% dip over two years, but not enough to lift the score higher. - Somerset West and Taunton (Score: 62.25/100)
- Rhondda Cynon Taf (Score: 62.20/100)
- Buckinghamshire (Score: 61.22/100)
- Other towns round out the top ten
Least Struggling – SMEs Thriving
- Ceredigion (Score: 29.03/100)
Survival sweet spot: 67.4% of SMEs survive three years, 55.8% last five years – a real win. - Selby (Score: 29.15/100)
- South Staffordshire (Score: 29.31/100)
- South Hams (Score: 29.74/100)
- South Derbyshire (Score: 29.95/100)
What the Data Says (and a Quick Take from Qardus)
We’ve collected a crisp picture of where the “small business fog” is thickest – and where the horizons are clearer. The headline? London’s local authorities didn’t crack the top ten (if that’s anything to cheer about for those looking to launch out of the capital).
In the words of Hassan Daher, founder of Qardus:
“The findings of this study ultimately indicate that some local authorities are better equipped to host new SMEs than others.
What’s interesting to note is that no London‑based local authority ranked in the top ten, suggesting that it is difficult for SMEs to start out successfully in the capital.”
So if you’re planning to start a small business, keep an eye on where your chosen city sits on this list – it could make the difference between the quick coffee break and the long‑term grind.
