Overview
Neath Port Talbot exhibits a diversified economic profile, with notable emphasis on sectors like construction, retail trade, and professional activities. Despite no IPOs, the area shows resilience through a 9.9% employee growth rate and a foundation of 34 scale-ups. The gender diversity in leadership roles, particularly in director positions, is gradually improving, though male dominance persists.
Employment and Business Growth
- Total Employees: 23,517. This indicates stable employment, with a marginal increase in employee count (234 employees), signifying steady economic activity in the region.
- Employee Growth Rate: 9.9%. This positive growth rate suggests a healthy, expanding job market, potentially driven by the rise of scale-ups and new companies.
- Scale-ups: 34 companies. These high-growth businesses are crucial for economic dynamism, contributing significantly to job creation.
Sector Analysis
- Top Sectors: Construction, retail trade, and professional activities are predominant, comprising a significant portion of the local economy. This diversification suggests a balanced economic structure, resilient to sector-specific downturns.
- Sector Raisers: Emerging sectors like materials technology and energy utilities services show potential for future growth, diversifying the economic base further.
Business Continuity
- Company Cessations: 5,527 companies ceased operations. This high number could indicate market saturation, economic shifts, or a challenging business environment.
- New Companies (2 Years): 1,300. This reflects a dynamic entrepreneurial environment, despite the high cessation rate.
- Small and Medium Enterprises (SMEs): 3,189. SMEs form the backbone of the local economy, driving innovation and employment.
Leadership and Innovation
- Gender Diversity in Leadership: 11.9% female founders, 26.2% female directors. While there’s progress in gender diversity, there’s room for improvement, especially in founder roles.
- Young Directors: 24.46% of directors are in the 40-50 age range, indicating a blend of experience and new perspectives in business leadership.
- Innovation Indicators: 149 patent owners and 3 grantees suggest a modest but present innovation ecosystem.
Conclusion
Neath Port Talbot’s economy is characterised by a diversified sector profile, with a stable employment base and a growing number of SMEs. The high company cessation rate is a concern, but the rise in new companies and scale-ups offers a counterbalance. Efforts to enhance gender diversity in leadership roles and nurture emerging sectors could further strengthen the economic landscape.