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

Analysis Report: Economic and Business Activity in South Cambridgeshire

Overview

South Cambridgeshire showcases a dynamic economic landscape, marked by a robust workforce and diverse sectoral presence. With 97,137 employees and a significant number of businesses across various sectors, the region demonstrates a blend of traditional and emerging industries. Key sectors like professional, scientific, technical activities, and information and communication are prominent. The area also experiences healthy business growth, evidenced by the number of new companies and scale-ups.

Employment and Business Growth

  • Total Employees: 97,137. South Cambridgeshire has seen a substantial growth in employment, with a 15.80% increase in employee numbers, reflecting a thriving job market.
  • Employment Growth: With 2,499 companies reporting an increase in employees, there is clear evidence of economic expansion and job creation across multiple sectors.
  • Top Sectors by Number of Companies: The leading sectors include professional, scientific and technical activities (22.08%), information and communication (11.54%), and construction (10.05%). These sectors play a crucial role in the region’s economic vibrancy.
  • Top Sectors by Growth: Notable growth sectors include Pharmaceuticals, Research tools/reagents, Software-as-a-service (SaaS), Internet platforms, and other technology/IP-based businesses, indicating a strong push towards innovation-driven industries.

Business Continuity

  • Company Cessations: 1,201 companies ceased operations, suggesting a competitive business environment where not all enterprises can sustain. This number also reflects the dynamic nature of the market, where new businesses replace the old.
  • New Companies in Last 2 Years: 2,634 new companies established in the last two years signify a robust entrepreneurial spirit and a conducive environment for business startups.
  • Scale-ups: With 115 scale-ups, the region shows a healthy trend of small and medium-sized enterprises (SMEs) evolving into larger entities, contributing to economic growth.
  • SMEs and Exporters: 10,019 SMEs and 527 exporters underline the region’s strong foundation in small businesses with a global outreach.
  • Foreign Parent Companies: Presence of 375 companies with foreign parentage indicates significant international investment and global integration.
  • Fundraisings and Patents: High activity in fund-raisings (82) and patent ownership (2,889) emphasises the region’s focus on innovation and research.

Gender Diversity in Leadership

  • Founders’ Gender: 13.04% female founders against 85.42% male founders, showing a gender disparity in entrepreneurship.
  • Directors’ Gender: More diversity is seen in directorial roles, with 25.56% female and 66.18% male directors, although it still indicates room for improvement in gender parity.
  • Age Distribution of Directors: A broad age range in company leadership, with a significant portion over 50 years old, indicating experienced leadership in the business community.

Other Key Indicators

  • Young Companies with Young Directors: 349 companies led by younger directors signify an emerging generation of entrepreneurs.
  • Technology Spinouts: The single spinout reflects niche innovation, possibly in high-tech sectors.
  • Attendance at Business Events: High attendance (70 total, 2 in recent times) in business events suggests an active community engagement.

Conclusion

South Cambridgeshire’s economic landscape is marked by robust employment growth, a diverse and innovative business sector, and significant new business formation. The region shows a strong inclination towards technology and innovation-driven industries, with a good number of scale-ups indicating healthy business evolution. Gender disparity in entrepreneurship and leadership roles highlights an area for future development. Overall, the region presents a vibrant and dynamic economic environment, with potential for continued growth and innovation.

Company foundations and cessations over time

Active companies over time

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