Census 2011 Enterprise Report

Census 2011 Report
Enterprise
Date of Publication
22 January 2014
Published by
Policy, Research and Engagement
Key Findings
In Derby:

There were 755 enterprise start-ups and 695 enterprises cease trading in 2011.

In 2011, the proportion of business start-ups was 11.2% of the total stock of
enterprises.
o


In 2011 the rate of enterprise and local unit start-ups was 38.1 per 10,000 adult
residents.
56.1% of enterprises born in 2008 survived for at least three years.

Enterprise survival in 2008 was lower than in the East Midlands and England.

In March 2012, the sector with the highest proportion of local units was the retail
sector with 13.8%. This differs from both the East Midlands and England where the
professional, scientific and technical sector has the highest proportions.

In March 2012, the public administration, education and health sector employed the
highest proportion of person aged 16-64 (29.6%).

In 2008, retail premises had the highest proportion of all commercial and industrial
floor space units (40.6%).

In 2008, commercial and industrial floor space units were more expensive than
those in the East Midlands overall.
1.0 Introduction
The Office for National Statistics (ONS) conducted the latest Census on 27 March 2011.
92% of people in Derby responded to the Census.
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2.0 Local Units by Employment Size band
The employment band with the highest proportion of local units in Derby was the 0-4 band
(61.5%). This is lower than the East Midlands (67%) and less than England (68.4%). In all
other employment size bands, the proportion of local units in Derby was greater or the same
as the East Midlands region.
Table 2.0.1 – Local units in VAT and/or PAYE based enterprise
Derby
East
Midlands
England
Total
Count
7,780
0–4
5-9
61.5
10-19 20-49 50-99
%
15.7
10.3
7.8
2.7
174,645
2,218,245
67.0
68.4
15.0
14.6
8.6
8.2
5.8
5.4
2.0
1.9
100+
1.9
1.5
1.4
Source: Office for National Statistics, Census 2011, April 2013 Update
2.1 Births and Deaths of Enterprise
Derby had 755 enterprise start-ups and 695 enterprises cease trading in 2011.
In all three comparator areas, the number of enterprise births has declined between 2007
and 2011 whereas the number of enterprise deaths has increased. In addition, the number
of enterprise births is higher than the number of enterprise deaths.
Table 2.1.1 – Birth of enterprise 2007-11
2007
2008
2009
Count
Derby
915
775
725
East
Midlands
18,610
16,785
14,860
England
246,700 236,345 209,035
2010
2011
690
755
14,325
207,520
16,055
232,460
Source: Office for National Statistics, Census 2011, April 2013 Update
Table 2.1.2 – Deaths of enterprise 2007-11
2007
2008
2009
Count
Derby
660
725
915
East
Midlands
14,730
14,935
18,620
England
199,300 196,695 247,150
2010
885
695
16,740
219,920
15,150
202,365
Source: Office for National Statistics, Census 2011, April 2013 Update
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2011
2.2 Births and Deaths of Enterprise as a Percentage of Enterprise Stock
In Derby, the proportion of business start-ups in 2011 was 11.2% of the total stock of
enterprises. This proportion was greater than the East Midlands (10.3%) and less than
England (11.4%). The proportion of closures in Derby during 2011 was 10.3% this was
greater than both the East Midlands (9.8%) and England (9.9%).
Table 2.2.1 – Start-ups and closures of enterprises as a percentage of the
enterprise stock - 2011
Stock
Births
Deaths
Net Change
Count
Count
%
Count
%
%
Derby
6,770
755 11.2
695
-10.3
0.9
East Midlands
155,270
16,055 10.3
15,150
-9.8
0.6
England
2,040,980 232,460 11.4 202,365
-9.9
1.5
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 2.2.1 - Start-ups and closures of enterprises as a
percentage of the enterprise stock - 2011
Derby
11.2
10.3
East Midlands
England
11.4
0.9
Start-ups
Closures
-10.3
0.6
1.5
Net Change
-9.8
-9.9
Source: Office for National Statistics, Census 2011, April 2013 Update
3.0 Business Registration and Closure Rates per 10,000 Resident Adult
Population
In 2011, the rate of enterprise and local unit start-ups in Derby was 38.1 per 10,000 adult
residents. This was less than the rate for the East Midlands (43.4 per 10,000 adult
residents) and less than England’s average (54 per 10,000 adult residents).
3
The rate of closures in Derby in the same period was 35.1 per 10,000 adult residents this
was significantly lower than both the East Midlands (41 per 10,000 adult residents) and
England with (47 per 10,000 adult residents).
There was an increase of three per 10,000 adult residents in enterprise and local units in
Derby during 2011.
Absolute net change in the stock of enterprises and local units in Derby (3 per 10,000 adult
residents) was greater than the East Midlands (2.4 per 10,000 adult residents) but
significantly lower than England with (7.0 per 10,000 adult residents).
Table 3.0.1 - Business registrations and closure per 10,000 resident adult
population
Business
Business
registration rate
closure rate
Net change
Derby
38.1
35.1
3.0
East Midlands
43.4
41.0
2.4
England
54.0
47.0
7.0
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 3.0.1 - Business registrations and closures per 10,000
resident adult population, 2011
Derby
Per 10,000
residents
East Midlands
England
54.0
47.0
43.4
38.1
41.0
35.1
7.0
3.0
Business registration
rate
Business closure rate
2.4
Net change
Source: Office for National Statistics, Census 2011, April 2013 Update
a
4.0 Survival of Newly Born Enterprise by Year of Birth
In Derby, 56.1% of the enterprises born in 2008 survived for at least three years,
compared with 62.3% and 67.1% for the previous two years.
4
Enterprise survival in Derby in 2008 was lower than in both the region 59.7% and England
57.9%.
Table 4.0.1 – Local units in VAT and/or PAYE based enterprise
2 year
3 year
Births 1 year survival
survival
survival
Count
Count
%
Count
%
Count
%
Year of birth 2006
Derby
865
830
96.0
695 80.3
580 67.1
East Midlands
17,715
17,135
96.7 14,380 81.2 11,875 67.0
181,68
149,00
England
225,120 217,215
96.5
5 80.7
5 66.2
Year of birth 2007
Derby
915
870
95.1
735 80.3
570 62.3
East Midlands
18,610
17,855
95.9 15,245 81.9 11,990 64.4
200,46
155,15
England
246,700 235,385
95.4
0 81.3
0 62.9
Year of birth 2008
Derby
775
715
92.3
570 73.5
435 56.1
East Midlands
16,785
15,750
93.8 12,780 76.1 10,015 59.7
174,70
136,88
England
236,345 217,625
92.1
5 73.9
5 57.9
Source: Office for National Statistics, Census 2011, April 2013 Update
Figure 4.0.1 - Three year survival of newly born enterprises, by
year of birth
2008
2007
2006
Percentage
57.9
England
62.9
66.2
59.7
East
Midlands
64.4
67
56.1
Derby
62.3
67.1
Source: Office for National Statistics, Census 2011, April 2013 Update
5
5.0 Local Units by Broad Industry Group
As of March 2012, the sector with the highest proportion of local units in Derby was the Retail sector with 13.8%. In the same period,
the sector with the smallest proportion of local units was the agriculture, forestry and fishing sector, with 0.3%.
Derby has the second highest proportion of local units in the professional, scientific and technical sector with 13.0% this is 1.2% higher than the
East Midlands and 1.8% lower than the national figure of 14.8%.
Other dominant sectors in Derby include; motor trades 4.2%, finance and insurance 3.0%, Education 3.5% and health 8.5%.
Table 5.0.1 Part 1 - Proportion of local units in VAT and/or PAYE based enterprises by broad industry
Agriculture,
forestry &
fishing
Production
Construction
Motor
trades
Wholesale
Retail
Transport &
storage (Including
postal)
Accommodation &
food services
%
Derby
East Midlands
England
0.3
6.1
4.2
7.0
7.7
5.8
10.2
11.1
10.5
4.2
3.8
3.0
4.4
5.4
4.9
13.8
11.1
10.8
2.8
4.2
3.2
6.3
6.0
6.3
Source: Office for National Statistics, Census 2011, April 2013 Update
Table 5.0.1 Part 2 - Proportion of local units in VAT and/or PAYE based enterprises by broad industry
Information &
communication
Finance &
insurance
Property
Business
administration
and support
services
Professional
, scientific &
technical
Public
administration
and defence
Education
Health
Arts,
entertainment,
recreation and
other services
%
Derby
East Midlands
England
5.7
4.4
6.9
3.0
2.6
2.6
3.5
3.2
3.6
13.0
11.8
14.8
6.6
6.3
7.1
Source: Office for National Statistics, Census 2011, April 2013 Update
6
0.8
1.4
0.9
3.5
2.8
2.5
8.5
6.0
5.7
6.4
6.3
7.1
Figure 5.0.1 - Proportion of local units by industry group, March
2012, Derby
Agriculture, forestry
& fishing
0%
Arts, entertainment,
recreation and other
services
6%
Education
4%
Health
9%
Public
administration and
defence
1%
Business
administration and
support services
7%
Production
7%
Construction
10%
Motor trades
4%
Wholesale
4%
Professional,
scientific &
technical
13%
Retail
14%
Property
4%
Transport & storage
(Including postal)
3%
Finance &
insurance
3%
Accommodation &
food services
6%
Information &
communication
6%
Source: Office for National Statistics, Census 2011, April 2013 Update
6.0 Employment by Broad Industry Group (SIC 2007)
In Derby, the public admin, education and health sector employed the highest proportion of
persons aged 16-64 (29.6%). This proportion was significantly higher than the proportion of
the population aged 16 to 64 employed in the following sectors:







Energy and water (1.2%)
Manufacturing (18.4%)
Construction (5.6%)
Distribution, hotels and restaurants (18.2%)
Transport and communications (7.9%)
Banking, finance and insurance (13.3%)
Other services (4.7%)
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The most significant sector in terms of the proportion in employment in all comparator areas is Public admin, education and health:
 Derby 29.6%
 East Midlands 29.2%
 England 29.9%
Table 6.0.1 – Population aged 16-64 in employment by sector, October 2011 – September 2012
Derby
East
Midlands
England
Public
admin,
education
and
health
Other
services
4.7
4.8
Agriculture
and fishing
Energy
and
water
0.4
1.2
18.4
%
5.6
18.2
7.9
13.3
29.6
1.5
0.9
2.2
1.6
14.1
10.0
7.3
7.2
19.4
18.5
8.1
9.1
12.7
16.6
29.2
29.9
Manufacturing
Construction
Distribution,
Transport and
hotel and
communication
restaurants
Banking,
finance
and
insurance
Source: Office for National Statistics, Census 2011, April 2013 Update
8
5.4
The Manufacturing sector in Derby (18.4%) is significantly higher than in both the East
Midlands 14.1% and England 10.0%. This degree of difference does not exist in any other
employment sector shown in Table 6.1.
Figure 6.0.1 - % Population aged 16-64 in employment by
sector, October 2011 - September 2012
Other services
5%
Agriculture and
fishing
0%
Energy and water
1%
Manufacturing
19%
Public admin,
education and
health
30%
Construction
6%
Distribution,
hotel and
restaurants
18%
Banking, finance
and insurance
13%
Transport and
communication
8%
Source: Office for National Statistics, Census 2011, April 2013 Update
6.1 Commercial and Industrial Floor space by Bulk Classes
In 2008, in Derby, Retail Premises had the highest proportion of all commercial and
industrial floor space units (40.6%). This proportion is significantly higher than the East
Midlands (35.5%) and England (38.4%). Office premises had the second highest
proportion in Derby with 26.4%. This is particularly significant as it is higher than the East
Midlands (20.4%) and England (24.9%
Table 6.1.1 – Proportion of commercial and industrial floor space units, 2008
All Bulk
Classes
Derby
East
Midlands
England
Retail
Premises
Offices
Factories
Count
5,812
40.6
26.4
%
17.2
109,525
1,346,547
35.5
38.4
20.0
24.9
24.5
18.2
Source: Office for National Statistics, Census 2011, April 2013 Update
9
Warehouses
Other
Bulk
Premises
12.4
3.4
15.5
14.4
4.6
4.1
Figure 6.1.1 - Proportion of commercial and industrial floor space units (2005 revaluation),
2008
Percentage
Derby
40.6
35.5
East Midlands
England
38.4
26.4
24.9
20
24.5
17.2
18.2
12.4
15.5
14.4
3.4
Retail Premises
Offices
Factories
Warehouses
4.6
4.1
Other Bulk Premises
Source: Office for National Statistics, Census 2011, April 2013 Update
a
6.2 Rateable Value Statistics
Commercial and industrial floor space units in Derby were more expensive than those in the East Midlands region overall (All Bulk Classes)
and cheaper than England as a whole. The most expensive bulk class in Derby, in 2008, was Retail Premises at £120 per square metre,
compared with £105 for the East Midlands.
Table 6.2.1 – Commercial and industrial floor space rateable value statistics (2005 revaluation), 2008
All Bulk Retail
Commercial Other
Other Bulk
Offices
Factories Warehouses
Classes Premises
Offices
Offices
Premises
£ per square metre
Derby
53
120
75
75
72
25
0.4
..
East Midlands
45
105
72
73
66
27
1.5
0.3
England
66
130
121
128
84
29
0.9
0.1
Source: Office for National Statistics, Census 2011, April 2013 Update
10
The cost per square metre of the majority of commercial and industrial floor space types
is higher in England than in both the East Midlands and Derby, the only exceptions being,
Warehouses £9 per square metre and Other Bulk Premises £1 per square metre.
Figure 6.2.1 - Commercial and industrial floor space rateable
value statistics (2005 revaluation), 2008
Derby
East Midlands
England
£ per Square
metre
130
128
121
120
105
84
75
72
75
73
72
66
66
53
45
25
27
29
0.4
All Bulk
Classes
Retail
Premises
Offices
Commercial Other Offices
Offices
Source: Office for National Statistics, Census 2011, April 2013 Update
11
Factories
0.9
0.1
0
1.5
0.3
Warehouses
Other Bulk
Premises
Appendix
Local Unit
This is a statistical unit in an enterprise, defined by European Regulation 696/93 as the
individual site (shop, factory etc.) situated in a geographically identified place. At a local
unit, economic activity is carried out by one or more persons (even if only part-time) working
for one or the same enterprise.
Enterprise
This is a statistical unit, defined by European Regulation 696/93 as the smallest group of
legal units (generally based on VAT and PAYE) within an enterprise group (where one exists)
That have a certain degree of autonomy or control. An enterprise is essentially a business.
It is generally located at the main operating site or the head office. For small businesses, the
head office and the operations often will be at the same address. For larger businesses, for
example a supermarket chain with several hundred shops across the UK, the head office
is likely to be in London or another large city and the operational units (local units or sites)
will be at numerous addresses throughout the country.
Enterprise group
This is a statistical unit, defined by European Regulation 696/93 as an association of
enterprises bound together by legal and /or financial links. An enterprise group is therefore
a set of enterprises under common ownership, grouped together on the IDBR. Each live
enterprise group must have an apex enterprise (head of the enterprise group).
VAT
All businesses that are liable for VAT must register with HM Revenue & Customs. The current
limit (as at October 2012) for registration is an annual turnover of more than £77,000. Below
this level registration is voluntary. Some types of businesses are exempt from VAT and others
are zero rated – full details can be found on the HM Revenue & Customs website.
PAYE
All businesses employing any member of staff who earned over £102 per week or £442 per
month in the 2011/12 tax year should have registered a PAYE scheme HM Revenue &
Customs. Full details can be found on the HM Customs website.
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