Businesses in Cheltenham

Situated in a beautiful part of the company, roughly 50 miles from both Birmingham and Bristol, and commutable to London, there are a diverse range of businesses in Cheltenham. Some well-known businesses include Superdry, Spirax-Sarco and Steinhoff UK Retail.

About 90% of Cheltenham businesses have less than 10 employees and turnover less that £1 million.

What types of businesses are there in Cheltenham?

According to the Office for National Statistics 2019 Bulletin, there are about five thousand businesses in Cheltenham.  As can be seen from the table below, by far the largest business sector in Cheltenham is professional, scientific & technical, which accounts for almost a quarter of businesses. This is followed by information and communication, construction then business administration & support services.

Table 1

  Number of businesses % of businesses
69-75 : Professional, scientific & technical                  1,215 23%
58-63 : Information & communication                      655 12%
41-43 : Construction                      575 11%
77-82 : Business administration & support services                      465 9%
47 : Retail                      340 6%
90-99 : Arts, entertainment, recreation & other services                      340 6%
55-56 : Accommodation & food services                      290 5%
64-66 : Finance & insurance                      255 5%
86-88 : Health                      245 5%
68 : Property                      240 4%
05-39 : Production                      215 4%
46 : Wholesale                      140 3%
45 : Motor trades                      115 2%
49-53 : Transport & Storage (inc postal)                      110 2%
85 : Education                      105 2%
01-03 : Agriculture,forestry & fishing                        55 1%
84 : Public administration & defence                           5 0%
Total                  5,365  

This information is from 2019 ONS UK Business Activity Size and Location Table 1

 

How many employees do Cheltenham businesses have?

As can be seen from table 2 below, most Cheltenham businesses employ less than 5 people, which is inline with the rest of Great Britain.

78% of Cheltenham businesses employ less than 5 people, 95% employ less than 20 employees, and 98% employ less than 50 people.

Table 2

  Cheltenham     Great Britain    
Employment size band Number of employers % of employers Cumulative total %   Number of employers % of employers Cumulative total %
               
0-4                   4,180 78% 78%                    2,067,170 78% 78%
5-9                       580 11% 89%                        298,245 11% 89%
10-19                       345 6% 95%                        148,845 6% 95%
20-49                       145 3% 98%                          78,535 3% 98%
50-99                         60 1% 99%                          26,180 1% 99%
100-249                         30 1% 100%                          14,630 1% 100%
250+                         25 0% 100%                          10,265 0% 100%
Total                   5,365                        2,643,870    

This information is from 2019 ONS UK Business Activity Size and Location Table 10

 

What turnover do Cheltenham businesses have? 

In terms of turnover, Cheltenham businesses are very representative of Great Britain in general. About 90% of businesses in Cheltenham turn over less than £1 million per year, and 99% of businesses turnover of less than £10 million.

 Table 3

  Cheltenham   Great Britain
Turnover size band (£000’s) Number of employers % of employers Cumulative total %   Number of employers % of employers Cumulative total %
               
0-49                       895 17% 17%                        404,800 15% 15%
50-99                   1,185 22% 39%                        615,775 23% 39%
100-249                   1,775 33% 72%                        855,940 32% 71%
250-499                       675 13% 84%                        332,355 13% 84%
500-999                       375 7% 91%                        189,860 7% 91%
1000-1999                       235 4% 96%                        108,245 4% 95%
2000-4999                       110 2% 98%                          74,540 3% 98%
5000-9999                         55 1% 99%                          28,530 1% 99%
10000-49999                         50 1% 100%                          25,505 1% 100%
50000+                         10 0% 100%                            8,320 0% 100%
Total                   5,365                        2,643,870    

This information is from 2019 ONS UK Business Activity Size and Location Table 11

How has business in Cheltenham changed over the last few years?

The number of Value Added Tax (VAT) and/or Pay As You Earn (PAYE) businesses in Cheltenham, as of March 2019, increased to 4,960, an increase of 2.29% from March 2018 and a slight recovery from the minimal losses seen between 2017 and 2018.

 

Table 4

Employment size band Number of employers 2017 Number of employers 2018 Number of employers 2019
0-4                   4,125                   4,105                   4,180
5-9                       575                       555                       580
10-19                       320                       345                       345
20-49                       160                       145                       145
50-99                         55                         60                         60
100-249                         25                         25                         30
250+                         20                         20                         25
Total                   5,280                   5,255                   5,365

This information is from 2019 ONS UK Business Activity Size and Location Table 10

Where the data for this article is obtained from

Please note that the figures are taken from Office for National Statistics (ONS) data. According to the ONS website:

“UK business; activity, size and location, 2019 is produced from an extract taken from the Inter-Departmental Business Register (IDBR) recording the position of businesses as at 15 March 2019. 

This publication represents the businesses registered with HM Revenue and Customs (HMRC) for Value Added Tax (VAT) and/or Pay As You Earn (PAYE). The Department for Business, Energy and Industrial Strategy (BEIS) produces Business Population Estimates that seek to provide full coverage of all types of businesses in the UK, including an estimate of the unregistered business population. 

For the purpose of this statistical bulletin the term “business” is used to represent an enterprise. An enterprise can be defined as the smallest combination of legal units (generally based on VAT and/or PAYE records) that is an organisational unit producing goods or services, which benefits from a certain degree of autonomy in decision-making, especially for the allocation of its current resources. An enterprise carries out one or more activities at one or more locations. An enterprise may be a sole legal unit.” 

This article has been written by WN Accountants, a firm of accountants in Cheltenham which works with businesses and individuals to help maximise their results. If you are looking for an accountant in Cheltenham please contact us.