Record level of new business start-ups recorded in Scotland

More than 100 companies are formed in Scotland every day

Ten new businesses were established each day in Tayside and Fife last year.

A nationwide survey of trends in company formations by Inform Direct found that 3,704 new companies were set up in the region during 2016.

Across Scotland as a whole, a total of 35,502 new businesses were established during the 12 months – just shy of 100 per day – taking the overall company total north of the border to 225,100, up 5.4% on the previous year.

The UK saw a total of 664,720 new company formations in the period – the equivalent of more than 1,800 per day – with the overall business base extending out to 3.96 million.

There was no data available as to how many of the new companies formed went on to become actual trading entities as opposed to dormant shells.

“These figures underline the positive entrepreneurial culture that fosters new company formations and drives economic growth,” John Korchak of Inform Direct said.

“So far, at least, we’re not seeing evidence that the Brexit vote has dented confidence among those considering starting up in business.

“Scotland again delivered an impressive number of new companies in 2016 – more than in any previous year – demonstrating that it offers a fertile environment for new businesses to spring up and prosper.”

For the first time, Glasgow was the most active city with 7,934 start-ups, with Edinburgh trailing in second with 6,749 new company registrations.

Fife narrowly missed out on a place in the top five with 1,509 new firms added.

Dundee produced 1,140 start-ups in the year, Perth and Kinross saw 593 and Angus registrations hit 362 for the year.

Scotland again delivered an impressive number of new companies in 2016 – more than in any previous year. JOHN KORCHAK