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The information is accurate as of 31 December 2022.
Data courtesy of Beauhurst.

Analysis Report: Economic and Business Activity in Charnwood

Overview

Charnwood’s economic landscape is characterised by a diverse range of sectors, with a significant emphasis on professional, scientific, and technical activities. The region shows a healthy balance between established industries and emerging sectors, as indicated by the presence of scale-ups and new companies. The data reflects a dynamic business environment, underscored by a steady growth in employment and business activities.

Employment and Business Growth

  • Total Employees: Charnwood employs 77,511 individuals. The council has witnessed a moderate growth in employment, with a 7.51% increase in the employee count. This growth is a positive indicator of economic health and job creation.
  • Employee Growth: 316 companies have reported an increase in the number of employees, signaling an expanding workforce and potentially a strong local economy.
  • Scaleups: The presence of 62 scale-ups indicates a robust environment for business expansion and innovation within the region.

Sector Analysis

  • Top Sectors: The leading sectors in Charnwood include ‘Professional, Scientific and Technical Activities’, ‘Wholesale and Retail Trade’, and ‘Construction’. These sectors are pivotal in driving the region’s economic activity.
  • Sector Growth Drivers: Emerging sectors showing significant growth include ‘Software-as-a-Service (SaaS)’, ‘Analytics and Insight Tools’, and ‘Security Services’. These sectors represent the innovative edge of Charnwood’s economy.

Business Continuity

  • Company Cessations: The data shows 1,011 companies ceased operations, which could indicate market challenges or normal business cycle turnover.
  • New Companies: Over the past two years, 2,554 new companies were established, suggesting a vibrant entrepreneurial spirit and a conducive environment for new business ventures.
  • Small and Medium Enterprises (SMEs): With 8,004 SMEs, the region demonstrates a strong backbone of small and medium-sized businesses, essential for economic resilience and diversity.

Leadership and Innovation

  • Gender Representation in Founders: The gender distribution among founders is 15.63% female and 83.33% male, with a small percentage (1.04%) unknown. This indicates a significant gender gap in entrepreneurial leadership.
  • Gender Representation in Directors: Among directors, 27.43% are female and 67.69% are male, showing a similar gender disparity in corporate leadership.
  • Patent Owners and Fundraisings: The presence of 609 patent owners and 14 fundraising activities indicates a strong emphasis on innovation and growth in the business community.

Conclusion

Charnwood’s economic landscape is marked by a dynamic mix of traditional and emerging sectors, a growing workforce, and a vibrant entrepreneurial environment. The presence of scale-ups and new companies indicates a promising future for business innovation and expansion. However, the significant gender disparity in leadership roles and company cessations pose challenges that need addressing to ensure sustainable economic growth.

Company foundations and cessations over time

Active companies over time

The information is accurate as of 31 December 2022.
Data courtesy of Beauhurst.