Choosing Which UK City To Start Your First Business

27 May 2026

Toby Patrick

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When it comes to the UK economy at the moment, a lot of prospective owners are probably of the mind that it's not the best time to start a new business. But this isn’t the case across the board. Numerous industries are either experiencing steady, consistent growth or are thriving on the chaos and remaining unfazed, like companies operating within AI and technology spaces.

While the type of industry is no doubt a huge factor that can determine the success of a business, in many cases, a company's location is just as important. Where you choose to settle can be influenced by several factors, from the cost of operations, employee wage expectations, rent, and so much more.

London

The UK’s capital is naturally home to the headquarters of a lot of very successful businesses, but with London’s high business rates, employee wage expectations and rental costs, setting up there can be eye-watering for a small, start-up business.

While some options a bit further out from the city might be more attractive in those aspects, it’s again dependent on the type of business you own. For example, a fashion retailer might thrive in London's city centre, as footfall, tourism, and overall population are higher than in any other major city. That being said, other areas can also be more attractive in terms of costs, such as a shopping centre in Essex and so forth.

It’s also worth noting that in 2023, the average turnover for a small business in London was just over 100,000, with 9% business growth.

Leeds

Known as one of the fastest-growing tech hubs in the North. Within the digital sector alone, there was a 125% growth above the national average, which screams new opportunities to start your own tech business here. Leeds is great for that area of business, but also holds the benefits of competitive business rates, much cheaper rental compared to southern areas, and you have the added advantage of being located in a skilled talent pool of university students, which allows you to build your company, train your business, and also offers affordable wages to begin with as you grow and enter a new market.

Manchester

England's second city and capital of the north is an unsurprisingly hub for a range of industries, with a history of success in the textile industry, but in recent years it has boasted promising opportunities for creative media and fashion, which are both going through periods of consistent growth.

Not to mention that Mancunians love their nightlife, so that would also be a promising opportunity, even if the hospitality industry is struggling by and large, bars in Manchester are having more success, as people there are heading straight to Irish bars for a pint, music and vibes so it’s something to consider for hospitality start-ups.

Fashion, like other cities such as London, is at Manchester’s core, but like other industries, it’s very competitive; that’s why incorporating a creative media element would allow new businesses within this field to thrive there.

Manchester as a whole can be expensive, but there are places where you can find a real bargain for rental units, there are also pretty competitive. It’s also worth considering that in 2023, Manchester's average business turnover was just under £90,000, with 4% growth that year.

Liverpool

Liverpool is another northern powerhouse with potential in a variety of fields and opportunities for professional services, such as tech and cybersecurity. Though it’s still a major UK city, its economy is slightly smaller than that of Manchester, while still growing consistently, but, on the bright side, operating costs are also generally lower.

There is an art to getting your foot in the door without being bled out in the first year on business rates and rent, so Liverpool is a great place to consider starting up. It might be an easier environment in which you can build your reputation, customer base, and make a name for yourself before expanding into other major cities.

Final Thoughts

When it comes to picking which city to start your start up it’s completely dependant on what industry you want to emerge into, what you can afford in terms of business rates, wage expectations and rent prices, as while you might not turn a profit in your first year or two, you don’t want to dig yourself into a hole that will burnout your business before you’ve even started.

The vast majority of cities tend to be tech and financial hubs, which just comes with the modern-day expectations and overall growth, but there are so many other industries that are also growing to consider, and choosing something you are passionate about can make individuals, whether it’s B2B or B2C, seem so much more inviting and interested in it compared to others.

Make sure you do your research in terms of growth within that industry in various locations over the last 5 to 10 years before setting up shop anywhere, as this will give a better insight into potential trends.

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Russian Drones Over Poland: A Dangerous New Front in Europe’s War of Nerves

Paul Francis
Sep 10, 2025
3 min read

For the second time in as many months, Poland has confirmed that Russian drones have strayed into its airspace. While the incidents have so far caused no casualties, they mark a troubling development on NATO’s eastern flank. With the Ukraine war grinding on, Moscow’s standing weakened abroad, and tensions mounting across Europe, even a small misstep in the skies could carry outsized consequences.

Map titled "Operation Eastern Front - 2024" showing red and blue arrows indicating military movements across regions. Compass rose on bottom left.

What Happened?

According to Polish officials, Russian drones used in Ukraine’s bombardments crossed into Polish territory before either turning back or being tracked out of the area. In response, Warsaw scrambled its own jets alongside Dutch F-35s stationed in the country. The incursions were brief, but they underlined how the war in Ukraine has crept uncomfortably close to NATO soil.

Poland has long been one of Ukraine’s staunchest allies, funnelling weapons, aid, and logistics support across its shared border. That makes it both a vital lifeline for Kyiv and a tempting pressure point for Moscow.

Why Is Russia Doing This?

Analysts suggest the drone incursions could be deliberate tests of NATO’s resolve. By sending uncrewed aircraft skimming across borders, Russia can:

Gauge air defence readiness without risking its pilots.
Project an image of reach and defiance for domestic audiences.
Try to intimidate Poland into reducing its support for Ukraine.

Equally, some argue these may simply be the by-product of imprecise drone technology during wide-scale strikes. Yet even “accidental” incidents are politically charged when they cross into NATO territory.

The Risk of Escalation

The key fear is what happens if one of these drones does real damage on Polish soil. An explosion in a civilian area or a loss of life would ratchet up pressure on NATO to respond. Poland could invoke Article 5 of the NATO treaty — the collective defence clause — and push the alliance into direct confrontation with Russia.

Even short of that, limited retaliatory strikes on launch sites in Ukraine or tighter NATO patrols could spark dangerous miscalculations. Both sides would be desperate to avoid all-out war, but neither could afford to look weak.

A Hybrid War Strategy

Rather than seeking direct conflict, Russia may be pursuing what’s known as “grey-zone warfare”: a blend of drone incursions, cyber-attacks, disinformation campaigns, and intimidation designed to destabilise opponents without triggering a formal military response.

Poland, already a regular target of Russian hacking and propaganda efforts, could see more pressure along these lines. The incursions may simply be the visible part of a wider campaign.

NATO’s Response

So far, the alliance has reacted with restraint but vigilance. Extra NATO jets have been scrambled from bases across Eastern Europe, and Poland has reinforced its air defences. NATO leaders have also been quick to present a united front, stressing that while they do not seek escalation, they will defend every inch of alliance territory.

The more these incidents occur, the greater the pressure will be to strengthen NATO’s eastern flank with additional air defences, intelligence support, and regular joint patrols.

What Could Happen Next? Hypothetical Scenarios

Looking ahead, the drone incursions could unfold in several ways:

Probing Without Escalation – Russia keeps testing borders, forcing NATO into costly vigilance but avoiding outright conflict.
Accidental Escalation – A drone causes civilian casualties in Poland, triggering public outcry and a possible NATO military response.
Hybrid War Intensification – More incursions combined with cyber-attacks and disinformation to weaken Poland’s resolve.
NATO Reinforcement – The alliance boosts its military presence, turning Poland into an even more fortified frontline state.
Overreach by Moscow – Larger or repeated incursions provoke a serious NATO response, risking a spiral toward direct confrontation.

Most experts believe Moscow wants pressure, not war. But the danger lies in miscalculation: one drone too many, one strike too far, and Europe could find itself in a crisis diplomacy might not contain.

A Wider Political Game

Domestically, President Vladimir Putin can use these incidents to bolster his image, painting Russia as unafraid of NATO. In Poland, meanwhile, they are likely to deepen support for Ukraine and fuel calls for greater defence spending. Within NATO, however, divisions may emerge between hardliners who want a stronger response and cautious members wary of escalation.

A War That Refuses to Stay Contained

The war in Ukraine was never just about Ukraine. With drones now straying into NATO territory, the risks of spillover are becoming harder to ignore. Whether through deliberate strategy or reckless chance, Russia is playing a dangerous game at Europe’s borders — one where the cost of a single mistake could be far greater than any drone is worth.