Chester is top city in the north for new business creation

Mar 6 2009 by Claire Devine, Chester Chronicle

Chester is proving it is in a healthier position than most to beat the credit crunch. CLAIRE DEVINE reports

CHESTER is the top city in the North of England when it comes to generating new businesses.

Figures published this week show the city has been generating new businesses at nearly twice the UK average.

It is fourth in the country for business creation, leaving its larger neighbours Manchester and Liverpool in its wake.

Figures published this week by accounting group UHY Hacker Young show that in 2007 Chester saw 21 new businesses created for every 10,000 resident adults, compared to the UK average of 12.

UHY Hacker Young partner John Ierston said: “These figures show Chester has managed to up its game over the last year. But these figures only cover the early stages of the credit crunch, so Chester City Council and Chester’s business support groups will have to work hard as the full impact of the recession hits the city.”

Chester has seen a surge in small commercial enterprises across the city which are braving the recession to start afresh. Only Aberdeen, Milton Keynes and London have seen more.

Vom Fass and Cafe Latino have opened in Watergate Street, The Sushi Bar is due to open in Bridge Street, Classie Dog Grooming salon is now open in Brook Street, Wok and Go opened a second noodle bar two weeks ago in Foregate Street and Commonhall Street hairdresser’s Dimitri Ferdinand has recently opened a nail bar in the salon.

German chain Vom Fass, which has outlets in Harrods and Selfridges, stocks fruit vinegars, oils, wines, exotic liqueurs and rare spirits.

Despite these recent retail openings the city is still feeling the effects of the collapse of major chains such as Woolworths and Zavvi and the delay of Primark until 2010.

The closure of Watergate Street’s Japanese shop after four years due to the falling pound has forced it to trade online, a trend reflected by Woolworths and Zavvi, which have also turned to the internet under new management.