THE future is bright among northern entrepreneurs after a huge increase in their headcount over the past year, according to a new survey.

Ernst and Young’s (EY) data shows 76 per cent of entrepreneurs in the North of England have increased their headcount, with 36 per cent of these businesses creating more than 50 new jobs.

The EY survey also revealed that almost all of the entrepreneurs surveyed, a total of 93 per cent, expect their turnover to increase in the next three years.

However, just over a quarter (27 per cent) feel that they are able to attract the right talent, suggesting that the Northern skilled labour market remains challenging for many businesses.

EY surveyed 51 Northern entrepreneurs to assess how their firms have performed in recent years and whether they expect to grow in the future, as well as to gather their views on the factors that they feel can help or hinder growth.

Nearly all of the entrepreneurs surveyed in the North have well-established businesses and 80 per cent of respondents have run their companies for at least a decade.

EY found 80 per cent of entrepreneurial firms in the North have seen growth in their turnover in the last year, compared to 75 per cent nationally, with 57 per cent witnessing a turnover increase of more than five per cent. Over the next three years, 98 per cent of Northern entrepreneurs surveyed expect their business to grow further, with 59 per cent expecting annual growth of more than 10 per cent.

Stuart Watson, EY’s Yorkshire and Humberside senior partner and entrepreneur of the year UK leader, said: “Over the past 12 months the economy has strengthened, and this is reflected in the confident mood among Northern businesses.

“Entrepreneurs have been recruiting in significant numbers and seeing reasonable growth over the past year. But, more importantly, more than half are planning ahead for double-digit growth.

“The North, like the wider UK, is open for business, and our entrepreneurs are leading the way in terms of increasing their turnover and headcount.

“Overall the future looks bright for our entrepreneurs. with many delivering strong performance in recent years. and expecting good times ahead. However, our survey highlights that while businesses are increasing headcount at a considerable rate and are expecting to grow even more over the next year, the right people may not be there to fuel that growth.”