Start-up numbers in Wales were 352.4% higher in January 2023 than in January 2022, according to new research from insolvency and restructuring trade body R3.

R3’s analysis of data provided by Creditsafe shows there were 1,683 new Welsh firms set-up in January – the highest recorded figure since May 2022, and 352.4% more than January 2022’s figure of 372.

Wales saw the biggest yearly rise in start-ups across all of the UK regions and nations, followed by the West Midlands (255%) and Greater London (17.1%).

Start-up figures also increased 58.8% compared December 2022’s total of 1,060 – the second highest monthly rise, falling just behind Northern Ireland, whose January start-up figures were 61.1% higher than the previous month.

Charlotte May, Chair of R3 in Wales, says:

“Wales has made an entrepreneurial start to 2023, with more than 1,680 entrepreneurs taking the leap with a new venture last month.

“Hopefully, this new wave of Welsh start-ups will also help balance out the high number of voluntary liquidations which continue following COVID.”

Charlotte, who is Associate Director for South West and Wales at Manolete in Bristol continues:

“However, it’s also really important to note that businesses can be really vulnerable in their first few years of trading, and the fallout from the pandemic paired with ongoing cost of living concerns makes navigating this even trickier.

“My advice to new company directors is simple – know your business inside out and if you spot an issue, seek help as soon as you can. There are many options out there for businesses that are struggling, but those options become fewer if you don’t move quickly and seek advice before the problem spirals out of control.”