UK Small Business Statistics by City 2026: Companies House Data Analysis

England's Business Density by City Using Companies House registration data for active companies as of Q4 2025, here are the registered business densities for major English cities (registered companies per 1,000 population): London 128, Bristol 87, Brighton 79, Leeds 65, Manchester 63, Cambridge 61, Birmingham 54, Liverpool 52, Sheffield 49, Nottingham 48.

London's density (128 per 1,000) reflects both its size and its role as the UK's corporate registration centre — many nationally-operating businesses register in London regardless of operational base.

Fastest-Growing Cities for New Business Formation Year-on-year growth in net new company registrations (Q4 2024 to Q4 2025): Cambridge +14.2%, Bristol +11.8%, Leeds +10.3%, Manchester +9.7%, Birmingham +8.9%, Sheffield +7.2%, London +6.8%, Liverpool +6.1%.

Cambridge leads due to continued Silicon Fen expansion. Bristol's growth is driven by tech, creative, and financial services. Both cities have seen net inward migration of 25-35 year-olds who are more likely to register businesses.

Most Common Business Sectors by City Manchester: Business services (31%), Technology (18%), Hospitality (14%). London: Financial services (28%), Professional services (24%), Technology (19%). Leeds: Professional services (34%), Healthcare (16%), Financial services (15%). Bristol: Technology (26%), Creative industries (19%), Professional services (18%). Birmingham: Manufacturing (21%), Professional services (20%), Retail (19%).

Sole Trader vs Limited Company Split Nationally, 59% of active business entities are limited companies; 41% are sole traders. Cities with above-average limited company rates (indicating more formal business structures): London (71% limited companies), Cambridge (68%), Bristol (64%). Cities with above-average sole trader rates: Birmingham (52% sole traders), Leeds (48%), Sheffield (47%).

Business Survival Rates Companies House dissolution data shows 5-year business survival rates by sector: Professional services 68%, Technology 64%, Trades 61%, Food & Hospitality 44%, Retail (non-food) 42%. The hospitality sector continues to show the highest dissolution rate, reflecting ongoing post-pandemic challenges and rising food and labour costs.

How to Use This Data For businesses: use city-level density data to benchmark local competition. For service providers: higher business density = more B2B opportunity per square mile. For investors: growth cities (Cambridge, Bristol, Leeds) offer the strongest organic demand for business-facing services.