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

Analysis Report: Economic and Business Activity in Lancaster

Overview

Lancaster showcases a diverse economic landscape with significant activity in various sectors. The city’s total employment stands at 34,847, indicating a dynamic workforce. The distribution across sectors like professional, scientific, technical activities, construction, and retail trade highlights a balanced economic structure. However, gender diversity in founder and director roles appears to be an area requiring attention.

Employment and Business Growth

  • Total Employees: 34,847. Lancaster’s employment profile is robust, with 170 companies reporting an increase in employees. This suggests a positive trend in job creation.
  • Percentage Employee Growth: 7.60%. This growth rate indicates an overall healthy increase in employment opportunities within the city.
  • Top Sectors with Employment Rise: Sectors such as ‘Other manufacturing and engineering’, ‘Analytics, insight, tools’, and ‘Internet platform’ are seeing notable growth.
  • Number of Scale-ups: 39. This number represents businesses that have shown significant growth in revenue or employees, indicative of a dynamic business environment.

Sector Dynamics

  • Dominant Sectors: The leading sectors by company count are professional, scientific, and technical activities (893 companies), construction (832), and retail trade/repair of motor vehicles (827).
  • Sectors with Most Growth: Other manufacturing and engineering, analytics, and internet platforms are among the top sectors showing significant growth.
  • Total Number of Companies: 6,659, indicating a diverse and substantial business ecosystem.
  • New Companies (Last 2 Years): 1,683. This high number of new companies signals a vibrant startup scene and entrepreneurial spirit.
  • Small and Medium-sized Enterprises (SMEs): 5,084. SMEs form the backbone of Lancaster’s economy, driving innovation and employment.

Business Continuity

  • Company Cessations: 956. While there are a significant number of new companies, the cessation rate also needs attention.
  • Number of Company Deaths (All Time/Recent): 7,545 (all-time), 618 (recent). These figures show the challenges businesses face in sustaining over time.

Innovation and International Presence

  • Number of Patent Owners: 9. This indicates a moderate level of innovation within the city.
  • Number of Exporters: 164. Lancaster has a fair presence in international markets.
  • Companies with Foreign Parentage: 56. This shows Lancaster’s ability to attract foreign investment and businesses.

Diversity in Leadership

  • Founders’ Gender: 93.24% male, 4.05% female, 2.70% unknown. There is a significant gender gap among founders.
  • Directors’ Gender: 64.89% male, 30.43% female. While better than founders, gender diversity among directors still shows room for improvement.
  • Young Companies with Young Directors: 322. This indicates a promising trend of young entrepreneurship.

Conclusion

Lancaster’s economic and business landscape is characterised by a healthy mix of sectors, robust SME presence, and a growing number of startups. However, challenges in company sustainability and gender diversity in leadership roles are apparent. The city’s economic health is on a positive trajectory, but attention to these areas could foster even more substantial growth.

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