Date Published: 08/06/2021 09:08
We're currently witnessing British entrepreneurship at its finest. Our director of operations, Keeley Woodcock, explains why this approach is truly imperative...
In the middle of May, pubs and restaurants reopened after lockdown. Finally, we could enjoy a drink or a meal inside and “Oh, boy” this has been a long time coming.
On my travels in the car and whilst walking my two Terriers - named Charles and Vincent - through various villages local to me, it became very evident that a number of public houses and restaurants have not reopened.
Speaking on the BBC News, the owner of one establishment gave a very simple explanation: “We cannot get the staff.” After a year of various lockdowns, furlough and uncertainty you would have thought that it would have been easy to recruit with people queuing up for jobs.
The reverse seems to be the case.
One in ten UK restaurants have closed down in the last year. It has been reported that 20% of jobs in the hospitality sector have disappeared. But rather than fighting for the jobs remaining in the sector, it seems that many people have used the last 12 months to rethink what they want from life and work and have decided upon a complete change of direction.
Of course, this situation is not just confined to the hospitality sector, but the numbers quoted there do show the scale of the problem…
And also - apparently - the extent of the opportunities. A record number of new businesses were created during lockdown, as more and more people decided that the change of direction they really wanted was to be their own boss.
Some people may argue that there is never a worse time to start a business: economic uncertainty, travel restrictions, unable to meet face-to-face. The list is almost endless, but that doesn’t appear to have put people off. More than 29,000 new companies were registered in the UK in September last year, the highest since October 2007 and the third highest since records began in the late 1980s. New business creation increased month on month from the beginning of lockdown.
Reviewing figures for the full year, 835,494 of new businesses were registered in the UK last year – a 41% increase on the previous year and virtually double the number registered in 2018.
“British entrepreneurial spirit has been undeterred, despite the challenges of the pandemic,” said a spokesman for Growthdeck, the company which compiled the figures. “People have remained optimistic about starting a business, even in a challenging economy.”
So where are these new entrepreneurs starting their businesses? E-commerce has been the most popular area, with an average of 4,613 online retail businesses set up each month in April, May and June last year, a 66% increase on the same months in the previous year. Second place went to “buying and selling property” and then came management consultancy and “other service activities” including “letting your own property” (where you can suspect the influence of Airbnb).
But who knows? A few years from now a small company’s fund manager might be telling us about a hot new stock they’ve invested in, in a business that started in the pandemic.
It will be interesting to watch this space...
Future Life Wealth
54 Ravenshorn Way,
Renishaw, Sheffield S21 3WY
+44 (0) 1246 435 996
Monday - Friday 8.30am - 5.00pm
Future Life Wealth Management Ltd is authorised and regulated by the Financial Conduct Authority
The Financial Conduct Authority does not regulate taxation & trust advice
We are entered on the The Financial Conduct Register No 509960 at www.fca.org.uk/register
The Financial Ombudsman service can be found at www.financial-ombudsman.org.uk
Registered in England No. 07036892 Reg. Address: Future House, 54 Ravenshorn Way, Renishaw, Sheffield S21 3WY
The guidance and/or advice contained within the website is subject to the UK regulatory regime and is therefore primarily targeted at customers in the UK.
The value of your investment can go down as well as up and you may not get back the full amount invested.
Your home is at risk if you do not keep up with your mortgage repayments.
Equity release is a lifetime mortgage or home reversion plan. To understand the features and risks please ask for a personalised illustration.
We do not offer advice in relation to home reversion plans.
The tax observations contained in this website are made in good faith and are based on our understanding of current Revenue and Customs regulations. We cannot accept any responsibility for any future regulation that may retrospectively happen.