Growth report shows £1.5bn turnover in Shropshire’s top 50 companies

The 50 fastest growing companies across Shropshire have given the local economy a combined £1.1bn turnover boost in the last year, according to a new report.

But despite this £1.1bn turnover, Shropshire’s 50 fastest-growing businesses added fewer revenues and employees in the last year under review than they did in previous two years.

The second Midlands Growth Report compiled by accountancy and advisory firm BDO focuses on Shropshire, putting Shrewsbury-based Capital Care Group at the top of a list of the county’s top 50 fastest growing companies.

Capital Care Group

Capital Care Group achieved 59% per cent growth over a three-year period ending in May 2019 following a 2017 funding injection from Metro Bank, which was used to refinance a portfolio of five care homes and acquire a 47-bed care home in Wolverhampton. After Capital Care comes Pickstock Telford, a food and drinks company with almost 48% three-year average growth.

Paul Bennett, chairman of the Shropshire Business Board, said: “We are quite unusual in that there is such a variety of successful businesses in Shropshire, which means we’re not really dependant on any particular sector.”

The top 10 fastest-growing businesses according to the report also includes Oswestry-based aerial platform manufacturer Skyjack UK and privately owned Cleobury Mortimer firm Amodil Supplies, which is the largest UK stockholder of stainless-steel products.

As well as these companies the report recognised Telford as the centre of business growth in Shropshire, as it is home to 27 of the top 50 businesses.

12% increase in revenues

In total, the companies on the list brought in almost £4.9bn in the last year under review. And the latest year represented an almost 12% increase on the top 50’s combined revenues from 12 months before.

However, the growth these same companies experienced the year before that was 33%, from £3.3bn to £4.4bn.

Which means that over the past three years these companies have increased their turnover by almost 49%, but most of that growth happened two years ago.

“And that has had an impact on employment,” the report said. “The top 50 companies have taken on more than 7,450 new staff in the last two years, a growth rate of more than 45%. But more than 5,180 came on board the year before last, when employment growth stood at nearly 32%. In the last year, the top 50 only took on 2,270 employees, which represents less than 11% growth year on year.”

A number of the leading companies represent sectors including IT service provision, construction, manufacturing and social care.

David Pooler, a partner at BDO and Head of the Shropshire team, said: “Shropshire’s diverse and healthy business environment helps the county stand out when it comes to business growth in the Midlands.

“The variety of sectors that make this list create a promising picture for the future and boost Shropshire’s reputation as an attractive place to do business.

He said moving forward, if further investment in infrastructure and business premises is made, Shropshire would not only meet growth expectations but exceed them, making it a desirable place for a diverse, high-quality workforce to call home.

Infrastucture and development 

To report highlighted areas in which the council was investing in infrastructure and the development of land.

They include the Shrewsbury Oxon Link Road project will see almost £13m going into a single carriageway road that will facilitate the creation of 2,800 jobs and 750 new homes. Another project, which will boost growth is a £12m-plus Integrated Transport Package is designed to improve network capacity and deliver 1,555 jobs and 2,130 homes.

The centrepiece of the council’s investment strategy is a Local Plan, currently under review, that calls for the development of almost 750 acres of land in Shrewsbury, Oswestry, Whitchurch, Market Drayton, Bridgnorth, Shifnal and Ludlow

One example of this is Flaxmill Maltings, an iconic building and the first iron framed building in the world, whose construction foreshadowed the techniques used in modern skyscrapers. The Council is working with Historic England to bring forward new-build housing and commercial outlets in the six acres that surround the historic Flaxmill Maltings location.