A National Statistics Publication
Published by: Economic and Labour Market Statistics Branch,
Northern Ireland Statistics and Research Agency
Contact: Neil Mulhern
Email: idbr@finance-ni.gov.uk
Publication Date: 16 June 2022
The number of VAT and/or PAYE registered businesses operating in Northern Ireland in 2022 is estimated to have risen by 1,245 (1.6%) since 2021 to 78,885. This marked the eighth consecutive year of increase following a period of decline from 2008 to 2014.
Construction businesses witnessed the largest increase from 2021, increasing by 365 businesses or 3.4%. It was also the largest number observed in this sector since 2011. The largest increase in percentage terms was in the Accommodation and food services sector, which saw an increase of 5.3% (225 businesses) on the previous year.
Over the 10 years since 2012, the number of businesses in the Production sector has increased by 29% (1,235), whilst Retail saw a decrease of 6.2% (405) over the same period. Wholesale businesses saw a small decline of 0.3% (-10) over the 10 years whilst, overall, the Service sector saw an increase of 17% (6,335).
The geographical spread of businesses across the 11 district council areas in Northern Ireland remained relatively unchanged, with Belfast having the highest number of businesses (11,405 or 14%) and, Antrim and Newtownabbey with the least number of businesses (4,315 or 5.5%). Antrim and Newtownabbey was also the only district council area where the number of businesses decreased over the year (45 or 1.0%).
Of those businesses operating in Northern Ireland, 2.5% (1,995) were owned by an enterprise registered outside of Northern Ireland. These businesses accounted for almost one-quarter of employees. The percentage of Northern Ireland owned businesses remains unchanged (97%) since March 2021.
There were 78,885 businesses registered for VAT and/or PAYE in March 2022.
Northern Ireland remained predominantly a micro-business economy, with almost 90% of businesses having less than 10 employees.
Just over one-quarter of businesses in Northern Ireland had turnover of less than £50,000, whilst 70% had turnover that was less than £250,000.
There were 1,245 (1.6%) more businesses registered in March 2022 than in March 2021.
All four headline industries experienced growth in the number of businesses over the year to March 2022. The Service sector, the largest in Northern Ireland (56% of all businesses), grew by 1.5% (655) whilst Construction saw the largest percentage growth at headline industry level over the year (3.4% or 365).
The number of businesses increased in all but one district council area in Northern Ireland over the 12-month period. Armagh City, Banbridge and Craigavon Borough Council area saw the largest increase in the number of newly registered businesses (325 or 3.6%), whilst Antrim and Newtownabbey saw the only decrease (45 or 1.0%).
There were 7,270 (10%) more businesses registered in March 2022 than in March 2017.
There was an increase in the number of businesses across all 11 district council areas between 2017 and 2022, with the largest percentage growth observed in Newry, Mourne and Down (13%).
The number of businesses operating in Northern Ireland owned by an enterprise registered outside of Northern Ireland increased by just over a fifth (22% or 360) over the five years to 2022.
The total number of employees working within enterprises registered outside Northern Ireland increased slightly (0.4% or 740) during the same period, 2017 to 2022. However, only those businesses in the Rest of the World observed an increase (8.9% or 5,605) over the same period. The equivalent figure for the turnover of these businesses is not available.
There were 10,225 (15%) more businesses registered in March 2022 than March 2012.
The industrial profile of businesses across Northern Ireland has changed very little over the 10 years since 2012, with Services still dominating (55% in 2012 and 56% in 2022).
A series of data tables accompany the release of this publication. Within these tables, a business is defined as one that is registered for VAT and/or PAYE with HMRC, and is operating in Northern Ireland.
The data presented are taken from a snapshot of the Northern Ireland element of the Inter-Departmental Business Register (IDBR), on 11 March 2022.
The IDBR covers most of the economy including the Agriculture, Production and Service sectors in Northern Ireland. The business activity, or industry, is recorded using Standard Industrial Classification (UK SIC 2007) codes.
Foreign Ownership – information on foreign-owned businesses operating in the United Kingdom is obtained on an annual basis by the ONS from the market information company, Dun and Bradstreet. It should be noted that the foreign ownership data provided by Dun and Bradstreet is not complete and data published from IDBR records may not be the most up-to-date information available at that time. NISRA carries out further disaggregation of the foreign ownership data to allow it to distinguish between Northern Ireland-owned businesses and those owned elsewhere in the UK.
NISRA also publishes Business Demography statistics annually. These statistics report on the births, deaths and survival of businesses across Northern Ireland. Whereas the Northern Ireland business: activity, size, location and ownership publication reports on all businesses operating in Northern Ireland, the Business Demography statistics only include businesses with a registered, or main, address in Northern Ireland. Business Demography statistics also exclude public sector organisations and the Agriculture sector.
Details of the methodology and definitions used in both publications, along with information on the coverage of the statistics, known quality issues, and disclosure control methods are included in the Quality and Methodology Information document on the NISRA website.