UK business lost £23m in turnover during the pandemic

New research from the ONS has indicated that UK businesses lost £23 million in turnover during the pandemic

Despite the hard hit, UK business bounced back in 2021 with the highest count of new businesses in over four years. The first quarter of 2021 recorded the highest number of new businesses since the first quarter of 2017, with a total of 136,765

The ONS report says that when examining the recorded turnover for UK businesses during 2020 compared to the previous year, it’s clear to see the impact of a pandemic. During 2019, the overall turnover for that year was £105,937,229, but for 2020, it was £82,350,398, resulting in a £23,586,831 loss in comparison.

To put that into context, 2018’s overall turnover was recorded at £117,950,437 and 2017’s was £128,913,676. Quite remarkably though, the first quarter of 2021 recorded the highest ever turnover since the first quarter of 2017, with £34,788,650, showing that the UK is pretty resilient. This coincides with the highest record of new business births in the same quarter in four years, with a total of 136,765. And latest figures show similar stats with the first quarter of 2022 recording a count of 136,390 for new businesses set up.

During the first quarter of 2022, when analysing the breakdown of new business counts by industries, it’s the Construction industry that beats the rest with a total of 18,695. Followed by Business Administration and Support Services with 16,685, and Professional, Scientific and Technical Activities with 16,135. The industry with the least number of new business births so far this year is Agriculture, Forestry and Fishing with 1,250.

Out of all the regions across the UK, unsurprisingly, London takes the top spot for the most business births during 2021, with 90,365. The South East follows with 53,330new businesses recorded the same year. The next highest count of new businesses, when looking at regions in 2021, was the North West with 41,975.