G7 catching up with emerging markets on business creation

THE GAP between business creation in the G7 advanced economies and that in Brazil, Russia, India, China and South Africa (BRICS) narrowed in 2013, according to research released today.

The net number of new firms in the G7 countries grew by 1.9 per cent last year, while there were 4.9 per cent more in BRICS countries, according to professional services network RSM.

Between 2007 and 2011, the gap was much wider, with 0.8 and 5.8 per cent growth for the G7 and BRICS respectively.

Five of the G7 countries recorded business growth on net in 2013, with only Canada and Italy registering a decline.

The UK’s own growth rate was one of the strongest in the G7, with a 1.2 per cent boost, rising solidly from a 0.7 per cent average in the last five years.

Only France outstripped the UK, with 16.7 per cent jump in the number of firms, despite the country’s elevated unemployment levels.