Entrepreneurs in Peterborough shrug off pandemic as new company registrations soar

New figures show that more than 2,000 new companies were registered in Peterborough last year despite the challenges posed by lockdown restrictions and enforced closures.

The city saw 2,326 new companies registered during 2021 - powering Cambridgeshire to a new record for company registrations.

Peterborough also outpaced Cambridge city where 1,536 companies were registered over the same time.

Across the county 7,476 new businesses were registered over the year.

It brings the total number of registered companies in Cambridgeshire to 56,346, up from 54,497 at the end of 2020 - an increase of 3.4 per cent.

But the sheer enormity of the impact of the pandemic’s is also clear to see with 6,893 Cambridgeshire companies being dissolved during 2021.

The new figures from business support firm Inform Direct come after research group Centre for Cities ranked Peterborough fifth in the UK for start-ups per head of population.

John Korchak, operations director of Inform Direct, said: “It is excellent news to see that Cambridgeshire has achieved a record high for the number of businesses in the county despite the continuing challenges of the pandemic.

“The retail sector saw the largest number of new companies (1,019) which may be the result of pent-up demand after the lockdowns of 2020 and early 2021.

He added: “Reaching a new record number of companies demonstrates an active economy with entrepreneurs motivated to invest in new businesses which meet current and emerging demands for goods or services.”

Last year, the UK saw 771,617 new businesses formed, compared to 780,760 in 2020.

The overall number of UK companies totalled 5,005,147, a 3.5 per cent increase on the total of 4,837,426 at the end of 2020.

Mr Korchak said there were a number of reasons why companies maybe disolved.

He said: “It may be that new enterprises set up early in the pandemic may no longer be operating as people have returned to full-time employment or businesses thriving pre-Covid-19 have suffered as behavioural and spending patterns have changed.”

Tom Hennessy, chief executive of economic development company Opportunity Peterborough, said: “Peterborough has always been an enterprising hotspot and this data aligns with recent figures from Centre for Cities which ranked Peterborough 5th in the UK for start-ups per head of population.

“There are so many reasons that people set up businesses - they have an idea, a skill, or a craft they’re passionate about; they’ve come up with a revolutionary product; they want more control over their working hours and earnings.

“The last two years in particular have created huge business opportunities with evolving customer behaviour and changing business practices.

He added: “Whatever the reason someone sets up a business, it takes time, commitment, and courage.

“It can seem a daunting task, but you don’t have to do it alone; there is so much support out there for entrepreneurs, and we can help them find that support.”