Northern Ireland's best and worst areas for business success

Belfast is the best area in Northern Ireland to start a business, according to a new study.

MRP software for small manufacturers MRPeasy analysed data from the Office of National Statistics (ONS) on business openings and closures in each UK local authority between 2022 and 2024. The figures were totalled for each area and ranked based on the highest ratio of openings to closures.

Approximately 724,625 businesses opened in the UK from 2022 to 2024, while 800,165 closed during this time. On average, for every 10 businesses that open nationwide, 11 close down. England is the best nation in the UK to launch a business, with a slightly better ratio of openings to closures (0.912:1), while Northern Ireland ranks as the worst (0.808:1). Scotland and Wales have a ratio of 0.887:1 and 0.874:1, respectively.

Belfast is the best area in Northern Ireland to start a business, according to a new study. (Image credit Pixabay)

Belfast topped the study as the best area in Northern Ireland to launch a business. Over the last two years, 2,395 new companies have opened in the area, an increase from the 2,370 closures recorded during the same period. With the ratio of openings to closures at 1.011:1, business owners in Belfast are more likely to succeed than any other place in Northern Ireland. Around 92 new businesses are formed in the area for every 91 business closures recorded. It is also the only NI region to have registered more business openings than closures since 2022.

Mid and East Antrim ranked second among Northern Ireland's best areas to launch a business. Approximately 845 new businesses have opened their doors in the last two years, while 1,010 have closed, meaning the area ranks behind Belfast with a ratio of 0.837:1. Exactly 110 new businesses have been established in the region during the first quarter of 2024, and 105 existing companies have shut down.

Antrim and Newtownabbey ranks third in the list of the top NI areas to start a business, with a ratio of 0.825:1. Between Q1 of 2022 and Q1 of 2024, exactly 705 new businesses were registered in Antrim and Newtownabbey, while 855 have officially closed. October, November, and December of 2023 proved to be the best months for businesses in the region, with reports of 90 openings and 70 closures at a rate of 1.286:1.

Mid Ulster is the fourth best area in Northern Ireland to launch a business. From 2022 to 2024, the area saw 1,150 new businesses open and 1,415 closed, with the ratio of openings to closures at 0.813:1.

Derry City and Strabane rounds out the five best areas in Northern Ireland to launch a business, with a ratio of openings to closures of 0.809:1. Business openings totalled 870, while closures sat at 1,075. Q1 2022 was the best period for businesses, with 120 new ventures launching and only 110 closing, securing a higher rate of 1.091:1.

Ards and North Down ranked sixth in the study. Since 2022, 800 businesses have opened in Ards and North Down, while 1,010 have closed. The ratio of openings to closures is 0.792:1.

Lisburn and Castlereagh ranked seventh with a ratio of openings to closures of 0.785:1 between 2022 and 2024. Approximately 875 businesses were established, and 1,115 closed during this period. July, August, and September of 2023 have been the best periods for businesses in the area, with 110 and 105 openings and closures registered, respectively, or 1.048:1.

Armagh City, Banbridge, and Craigavon tied with Newry, Mourne, and Down in eighth place on the ranking. Over the last two years, 1,450 companies have opened in the ABC council area, and 1,875 closures have been recorded, at a ratio of 0.773 openings for every closure. Similarly, Newry, Mourne, and Down saw 1,480 businesses open and 1,915 close, securing the same ratio of 0.773:1.

Causeway Coast and Glens places tenth in the study of NI’s best and worst regions to start a business. Exactly 770 new businesses have been set up in Causeway Coast and Glens since 2022. In contrast, 1,065 businesses shut down during the same period, giving the area a ratio of 0.723:1.

Fermanagh and Omagh is the worst area in Northern Ireland to start a business, with closures almost twice as common as openings, at a ratio of 0.663:1.

Mike Lurye, director of Business Development at MRPeasy, commented on the study: “England is the best nation in the UK to start a business (0.912:1), having a higher ratio of openings to closures than Scotland (0.887:1), Wales (0.874:1), and Northern Ireland (0.808:1).

“Just 9.39% of all UK local authorities have a higher rate of business openings than business closures in the last two years.

"Two areas of London and three spots in the East of England rank among the 10 best areas to start a business. Meanwhile, Clackmannanshire was Scotland’s highest-placed area in the study, at 21st, and Belfast was top in Northern Ireland, taking 29th spot.”