Enis Shala
7 April, 2025
Business

Middlesbrough named in top 10 best cities in England to start a small business

Starting a business is a major step, and its success can often hinge on having the right conditions in place. While every venture faces its fair share of challenges, some cities offer more favourable opportunities for small businesses to grow and thrive. So, which cities in England are best placed to support new business owners on their journey?

Middlesbrough named in top 10 best cities in England to start a small business

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.

Middlesbrough might not top the charts for scale, but it punches well above its weight when it comes to value and staying power, earning it a respectable seventh place in the rankings. The city sees just 620 new business births annually, placing it in the bottom 15 for activity. However, with only 575 business deaths and a strong survival rate of 93.8%, the seventh-best in the study, it’s clear that while fewer businesses open here, those that do are more likely to succeed.

Where Middlesbrough really shines is on affordability. It offers the third-lowest average office rent at just £750 per month, making it incredibly attractive for startups and solo entrepreneurs watching their budgets. On the flip side, utility costs are steep, coming in at £301 per month, the joint-highest in the top ten, which may catch some new business owners off guard.

The city has a moderate number of coworking spaces (10), which should suffice for many, though larger or scaling teams may feel limited. Internet speeds sit at 49 Mbps, placing Middlesbrough in the bottom 10 for digital infrastructure – not ideal for tech-heavy businesses but manageable for others. With only 585 employer births, also ranking in the bottom 15, growth potential may be slower, but the stability and low overheads offer a compelling foundation for businesses looking for a steady and cost-effective start.

Manchester, Leeds, Birmingham, Lincoln, York, and Newcastle upon Tyne make up the top six cities for small businesses in England, each excelling in different areas. Manchester takes the top spot with a booming startup scene, a 92% survival rate, and the highest number of coworking spaces (118), though costs are among the highest. Leeds comes in second, offering strong business activity, affordable utilities, and access to talent, despite slower internet speeds. Birmingham, in third, leads in business volume with the highest number of births and employer startups, but also has the highest closures and second-slowest internet, making it a city of contrasts. Lincoln and York (4th and 5th) both excel in business survival, with rates above 93%, offering quieter but dependable environments. Newcastle (6th) stands out for its huge student population and affordability, although slower internet and higher unemployment may present challenges.

Further down the list, Salford (8th) impresses with the highest business survival rate (94%) in the entire study, despite higher utility costs and limited coworking options. Coventry (9th) delivers on value, with low rent and utility bills, decent internet speeds, and good infrastructure, making it a practical choice for cost-conscious entrepreneurs. Leicester, ranked 10th, offers the lowest office rent (£1,266.67) in the top ten and a solid 91% survival rate, though it struggles with access to talent, having the fewest nearby universities per capita.

On the other hand, Nuneaton and Bedworth, Hartlepool, Stockton-on-Tees, Bedford, and Kingston upon Hull ranked in the bottom five.