Cardiff is the fifth most attractive city in the UK to launch a new business in 2025, according to new research.
To provide insights into where new ventures might thrive, Approved Business Finance revisited its business-focused analysis of the UK’s 60 largest cities. By examining a multitude of data points, including the average price of commercial properties via Rightmove, cost per square foot, GDP, education levels, high-speed internet coverage and average salary, the firm identified the cities offering the most potential—and those presenting the greatest challenges—for new businesses in 2025.
The 20 cities offering the most potential for new businesses
Where is the best city to start a business?
According to the research, Cardiff is the fifth best place in the UK to start a new business. However the average square foot cost of commercial spaces is £87, much higher than other cities, the research suggests. Almost 93% of businesses in Cardiff are currently supplied with high-speed internet though, beating most other cities across the country.
Oxford ranked as the best place in the UK to start a new business. It offers commercial space for an average of £36 per square foot, making it one of the most affordable commercial options, per square foot, across the UK.
Commercial director of Approved Finance Group, Mark Kozo, said:
“Starting a business in 2025 will be incredibly daunting, with inflation still a major concern for business owners and commercial property prices at historic highs.
“The cities we’ve identified, such as Oxford and Bristol, offer great potential for growth, but business owners must always consider their specific needs and resources before making a decision.
“Options like commercial mortgages can help entrepreneurs invest in the perfect location, while business finance offers breathing room designed to provide businesses with the funding they need to maintain daily operations and fuel growth.”
