Number of businesses in Dorset grows ahead of landmark legislation

For the fifth year in a row, the number of businesses operating in Dorset have risen, according to data from Inform Direct.

7,890 new businesses formed in the county in 2024, while 7,119 were dissolved, meaning a net gain of 771 businesses in the region.

However, Dorset were below the national average for new incorporations per 1000 people.

There were 55 more businesses in East Cliff and Springbourne at the end of 2024, while Littledown and Iford, Kinson and Moordown were the wards that housed fewer businesses than in 2023.

Richard Herrett, BCP Council’s councillor for destination, leisure and commercial operations, said: “The negativity that surrounds Bournemouth is in a lot of ways unjustified and often amplified in the wrong way.”

Business formations in Dorset boomed during the spring, while December was the worst performing month, with nearly 130 more business closures than formations.

Dorset sit 24th out of the 47 English counties in the amount of companies formed and the number of companies in total.

But with Dorset being part of a government trial of the High Street Rental Auction scheme that started in December, Councillor Richard Herrett believes improvement is near for business in the county.

In principle, the scheme offers councils the chance to auction off space held by landlords that have not been let for 365 days over a two year period.

Mr Herrett added: “In the long term, everyone should win from this legislation, but it is a pilot.”

The scheme is being trialled in the UK to find any potential flaws in the system that could be exploited.

Four areas of the UK are trialling the scheme that should encourage fewer empty lots and more small businesses in the area.

Click here for an infographic on company formations in Dorset for 2024.