Draft:UK Company Formation Sees Unprecedented Growth in 2023

In 2023, the UK saw a record-breaking number of company formations, with 900,006 new businesses registered, a 12% increase from the previous year. This brings the total number of active companies in the UK to 5.31 million, another national record. Online retailers led the way, with 82,000 new businesses registered, followed by property letting and takeaway/street food sectors. The growth in female-founded businesses also continued, with a record 164,000 companies incorporated by women, up 4% from 2022.

Despite the challenging economic conditions, the number of incorporations in the UK is on an upward trend, with a major shift in the way people are thinking about their working lives and new technology encouraging entrepreneurs to bring new business ideas to life. However, the number of company dissolutions also remained high, with 662,915 companies dissolved in 2023, a 35% gap between new incorporations and dissolutions. The article concludes by highlighting the importance of continued support and commitment from the government for startup businesses to succeed, particularly for underrepresented groups.