To answer that, researchers at Brandgility carried out a comprehensive study, ranking the best cities in England for small businesses. They evaluated 15 key factors grouped into four main categories: business activity, wellbeing, infrastructure, and talent. These included metrics such as business birth and survival rates, office rent, broadband speed, and access to skilled workers.
Each factor was weighted based on its impact on business success, then scored out of 100, with higher scores reflecting better conditions. The data was sourced from trusted organisations including the Office for National Statistics, Numbeo, Coworker, Broadband Genie, National Grid, and the Higher Education Statistics Agency.
Lincoln may not have the buzz of England’s biggest business hubs, but it more than makes up for it with its impressive resilience. Ranking fourth overall, the city sees a modest 2,575 new business births annually (the fifth-highest in the study), but its real strength lies in longevity. With just 310 business deaths, Lincoln has the second-lowest closure rate, and a 93% survival rate, making it one of the most stable places in England to run a small business.
Affordability is another feather in Lincoln’s cap. Monthly office rent is £1,450, placing it among the top 20 most expensive, but still more manageable than cities like Manchester or York. Utility costs sit at £218.52, landing the city comfortably in the middle of the pack. Internet speed averages 56 Mbps, putting Lincoln just inside the top 20 fastest cities, which is respectable for a smaller city. However, there are just five coworking spaces available, one of the lowest figures in the study, and access to new talent may be limited, with employer births at only 285, the second-lowest overall.
Lincoln also faces challenges with its 5.6% unemployment rate, the eighth-highest in the rankings, suggesting the local job market is under more pressure than in other top-performing cities.
Manchester, Leeds, and Birmingham lead the way as the top three cities in England for small businesses, each offering unique strengths. Manchester takes the crown with a strong mix of high business survival (92%), robust infrastructure, and the highest number of coworking spaces (118). Leeds follows in second place, offering the second-highest number of business births (3,805), solid affordability, and a large talent pool, though internet speeds are slower. Birmingham, ranked third, dominates in terms of business activity with the highest number of business and employer births, but also has the highest closure rate, slower internet, and a high unemployment rate.
Further down the list, York (5th) impresses with the highest business survival rate (93.9%) and the lowest utility costs (£149.89), although growth is slower with fewer startups. Newcastle upon Tyne (6th) benefits from a large student population and affordable rent, though it has fewer coworking spaces. Middlesbrough (7th) offers the cheapest office rent (£750) and a strong 93.8% survival rate but lacks scale and infrastructure. In Salford (8th), the standout 94% survival rate is the best in the study, despite high utility costs and limited workspace options. Coventry (9th) and Leicester (10th) both offer low rent and utility costs, but while Coventry provides solid internet speeds and balance, Leicester struggles with access to local talent – the lowest in the top 10. Together, these cities show that whether you're chasing growth, affordability, or long-term stability, there’s a business-friendly spot to suit every type of entrepreneur.
On the other hand, Nuneaton and Bedworth, Hartlepool, Stockton-on-Tees, Bedford, and Kingston upon Hull ranked in the bottom five.