Analysis of Companies House data reveals that over 402,000 businesses were registered in the UK between January and June 2022, an increase of 18% from 340,500 over the same time period in 2021.

London topped the list with 1,587 new businesses per 100,000, whereas Scotland came in at the bottom with 338 new businesses created per 100,000.

The rise in new businesses sits alongside an increase in the number of workers seen moving jobs this year. Total job to job moves within the UK increased to a record high of 997,000 during the first quarter. ONS data records that a large proportion of these moves were driven by resignations - far more than redundancies - suggesting that some workers may be proactively deciding to quit their jobs and set up new businesses.

Seema Desai, iwoca’s CEO, said: “Despite the prevailing headwinds of an impending recession, we are encouraged to see that so many businesses have been created during the first half of this year.

“As many of these businesses struggle with cash flow in the coming months due to skyrocketing business costs, it is vital that lenders step in to provide a helping hand. We are proud to do our part at iwoca, adapting to the needs of small businesses. We do this mainly by deploying the latest embedded technology so that SMEs across the country can access our finance through the services they already use day-to -day.”

Cassie Ryan, owner of NOIR Footwear, said: “I have always dreamed of setting up my own footwear brand, and during the pandemic I decided to bite the bullet and actually do it. As a single parent on furlough, I enjoyed the extra time I was able to spend with my daughter, and realised that I wanted the flexibility not only to chase my dreams, but to also achieve a better work life balance.

“It’s been an incredible 12 months. I have enjoyed some successes whilst also learning from the challenges and mistakes along the way.

“There is no doubt that this is an exciting journey and I hope to continue to grow over the next few years. iwoca has played a vital part in providing us with the finance required to do just that.”