Record new business start-ups in 2009

The year 2009 saw a large number of new businesses set up despite the recession.

There were 476,000 new businesses set up in the first ten months of the year, and the total for the year may well beat the total of 525,000 in 2008.

There was also a lower rate of business failure than expected, meaning that Britain will probably end 2009 with 90,000 more businesses than at the end of 2008. That will mean the third consecutive year of record new business star-ups, fuelled by a rise of self-employed and the ease of sarting up new ventures.

Steve Cooper, managing director of Barclays Local Business division, commented: "The UK small and medium enterprise stats have been more resilient that we thought they would be. And it's starting to bounce back."

Since June, he added, small business have been generating more profits than the previous months, following 16 months of falls.

Economists at Barclays believe that new businesses have been formed to generate an income, but also as a lifestyle choice.

Mr Cooper said: "You could argue that those that are starting up now have thought through their proposition less thoroughly."

Whether that is the case or not, we should wish all new businesses well for their owners' futures, their employees' future, as well as for the well-being of the country.