A National Statistics Publication
Published by: Economic and Labour Market Statistics Branch,
Northern Ireland Statistics and Research Agency

Contact: Neil Mulhern
Email:
Publication Date: 26 June 2023

Theme: Business and Energy
Coverage: Northern Ireland Frequency: Annual
Source: Inter-Departmental Business Register


DETAILED TABLES AND CHARTS

1. Key Points


  • The number of Value Added Tax (VAT) and/or Pay-As-You-Earn (PAYE) registered businesses operating in Northern Ireland in 2023 is estimated to have risen by 350 (0.4%) since March 2022 to 79,235. This marked the ninth consecutive year of increase following a period of decline from 2008 to 2014.

  • The number of businesses in Production has fallen over the year to March 2023 (75 or 1.4%), which is the first time this industry has seen a decline since 2013. The number of businesses in Services increased slightly by 0.3% (130), the smallest increase since 2015, whilst the number of businesses in Construction remained unchanged since 2022.

  • 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 (11,300 or 14%) and, Antrim and Newtownabbey with the least number of businesses (4,220 or 5.3%).

  • Of those businesses operating in Northern Ireland, 2.6% (2,065) were owned by an enterprise registered outside of Northern Ireland. These businesses accounted for almost one quarter of employees. The number of non-locally-owned businesses operating in Northern Ireland has increased by a third over the 10 years since 2013. The comparable number of employees increased by 6.9%.

  • Since 2013, the total number of registered businesses operating in Northern Ireland has increased by 17%. This increase was driven by a 19% increase in Services. However, within Services, Retail businesses declined by 3.5% (220), whilst Information and communication grew by 51% (735).


2. NI Business Profile, 2023


  • There were 79,235 businesses registered for VAT and/or PAYE operating in Northern Ireland in March 2023.

  • The majority of businesses (89% or 70,795) in Northern Ireland were micro-businesses (less than 10 employees). Just over 2% (1,655) of businesses were medium or large businesses (50 or more employees).

  • Four in ten businesses in Northern Ireland (42% or 33,645) had turnover of less than £100,000, whilst just over one in ten (12% or 9,315) had turnover in excess of £1 million.

  • The registered business population in Northern Ireland accounts for just under 3% of the total UK figure which was 2.768 million in 2022. The ONS publishes UK business; activity, size and location statistics with data presented by the four UK regions. It is important to note that the ONS data refer to businesses registered in each of the four regions.

Map 1: The highest number of businesses in Northern Ireland was in Belfast City Council area, with the smallest number in Antrim and Newtownabbey.

Number of businesses by District Council Area, 2023


Figure 1: The majority of businesses (89%) in Northern Ireland were micro-businesses. Just over 2% of businesses had 50 or more employees.

Percentage of businesses operating in Northern Ireland by employee size band, 2023


Figure 2: Four in ten businesses in Northern Ireland (42%) had turnover of less than £100,000, whilst just over one in ten (12%) had a turnover in excess of £1 million.

Percentage of businesses operating in Northern Ireland by turnover size band, 2023

3. Change Over 1 Year


  • There were 350 (0.4%) more registered businesses operating in Northern Ireland in March 2023 than in March 2022.

  • Two of the four headline industries experienced growth in the number of businesses over the year to March 2023. The largest growth was in Agriculture (300 businesses or 1.6%), with Services, which is the largest industry in Northern Ireland, seeing small growth of 125 (0.3%) businesses. The number of businesses within Production fell by 1.4% (75). There was no change in the number of businesses in Construction from 2022.

  • Despite the small increase in the total number of businesses across Northern Ireland in 2023, four of the eleven district council areas saw a decline, the largest of these being seen in Causeway Coast and Glens (120 or 1.9%). The largest decline in percentage terms was in Antrim and Newtownabbey (-2.2% or 95 businesses). Belfast saw a decline of 105 businesses (0.9%) since 2022. The largest growth, both in actual and percentage terms, was seen in Newry, Mourne and Down District Council area, which saw an increase of 200 businesses, or 2.2%.


Figure 3: Production saw a decline in the number of businesses over the year to 2023.

Percentage change in the number of businesses operating in Northern Ireland by Headline Industry, 2022 to 2023


Figure 4: The number of businesses increased in seven of the eleven district council areas in Northern Ireland over the year to 2023.

Percentage change in the number of businesses operating in Northern Ireland by District Council Area, 2022 to 2023


4. Change Over 5 Years


  • There were 5,175 (7.0%) more registered businesses operating in Northern Ireland in 2023 than five years earlier in 2018.

  • The number of businesses in Retail, and Public administration and defence industries were the same in 2023 as in 2018. All other industries saw an increase over the same period.

  • The number of registered businesses operating in the Transport and storage industry increased by just over a quarter (27%) since 2018. This growth was driven by a surge in delivery services over the year 2020 to 2021 (15.4%) during the COVID-19 pandemic. The number of businesses in this industry declined over the year to 2023 by 6.2%, which is the first fall since 2015.


Figure 5: The number of businesses in Transport and storage has grown significantly (27%) due to home delivery services. The number of businesses in Retail returned to 2018 levels in 2023.

Percentage change in the number of businesses operating in Northern Ireland by Broad Industry Group, 2018 to 2023

  • The number of registered businesses operating in Northern Ireland, owned by an enterprise registered outside of Northern Ireland, accounted for 2.6% (2,065) of all registered businesses operating in Northern Ireland and almost one-quarter (23%) of employees.

  • Non-NI owned businesses increased by 15% (275) over the five years to 2023. The number of employees working within these enterprises increased by 1.6% (2,850) over the same period. The equivalent figure for turnover is not available.


Figure 6: The number of businesses operating in Northern Ireland owned by an enterprise registered outside of Northern Ireland increased from the Republic of Ireland, European Union, and Rest of the World. The comparable figure declined for Great Britain.

Percentage change in the number of non-Northern Ireland owned businesses and employees operating in Northern Ireland, 2018 to 2023



5. Change Over 10 Years


  • There were 11,490 (17%) more registered businesses operating in Northern Ireland in March 2023 than March 2013.

  • Production saw the biggest growth (27%) of the four headline industries over the 10 years from 2013 to 2023. Despite the large growth during this period, business registrations within Production fell over the year to 2023 (1.4% or 75 businesses). This was the first decline in Production since 2013.

  • Services grew by 19%, Construction by 16%, and Agriculture by 11% over the 10 year period, 2013 to 2023.


Figure 7: Production has seen the largest percentage growth in the number of businesses over the 10 years, 2013 to 2023.

Change in the number of businesses operating in Northern Ireland by Headline Industry, 2013 to 2023 (Index, 2013 = 100).


Figure 8: The number of businesses increased in all 11 district council areas over the 10 years, 2013 to 2023. Newry, Mourne and Down saw the largest increase in the number of businesses, whilst Ards and North Down saw the smallest percentage change.

Change and percentage change in the number of businesses operating in Northern Ireland by District Council Area, 2013 to 2023.

6. Background Notes


A series of detailed tables accompany the release of this publication.

Details of the methodology and definitions used in these tables, 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.

The data presented in this bulletin and accompanying tables are taken from a snapshot of the Northern Ireland element of the Inter-Departmental Business Register (IDBR) on 14 March, 2023.

The IDBR contains businesses that are registered for VAT and/or PAYE with HMRC. The IDBR covers most of the economy including agriculture, production and service industries in Northern Ireland. The business activity, or industry, is recorded using Standard Industrial Classification (UK SIC 2007) codes.

Information on foreign-owned businesses operating in the UK 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.