10,000 new Irish business start-ups since January

- Services Sector continues to show growth
- Up to 10% of new formations established by foreign nationals

10,041 new companies have been formed in Ireland in the first six months of 2007. The figures from the latest Bank of Ireland Business Banking Start Up Barometer show that registration rates for new business start-ups have recovered from the first quarter in 2007 and are now slightly ahead of the figure of 10,015 for the same period last year. All in all, an impressive rate of new enterprises are being established, demonstrating the growing importance of entrepreneurial activity to the Irish economy. The cities still attract the highest level of start ups with 51% of all new companies residing in Dublin, Cork, Galway, Limerick, Kilkenny and Waterford.

Growth sectors in the first half of this year include IT related companies (542 - up 22%, Business and Management Consultancies (459 - up 31%) and Financial Intermediation companies (298 - up from 144 last year). Construction and property management companies remain by far the most popular start up industries in Ireland; however, levels of new start-ups have declined somewhat in the last twelve months in line with expectations. In total, 1,059 general construction companies have been set up since January 2007 (2006: 1288), while 1028 property management companies were established (2006:1,019).

Bank of Ireland also estimates that up to 1,000 of the new companies registered so far this year are owned by foreign national entrepreneurs. Damian Young, Head of Small Business in Bank of Ireland Business Banking stated that: Up to 45,000 migrants come to Ireland each year, many of whom will consider starting their own business. We have found that between 6%-10% of our business start up customers are now from outside Ireland and this wave of new entrepreneurs is helping to boost the start up figures in 2007.

Commenting on the Barometer figures, Dr. Dan McLaughlin, Group Chief Economist, Bank of Ireland said: It is encouraging to see the level of business start-ups being maintained in 2007, which is supportive of GDP growth staying at the buoyant levels of recent years.

Ends

Further information:

Contacts:

Anne Mathews
Media Relations Manager
Group Corporate Communications
Bank of Ireland
Telephone: 01 604 3836 / 087 246 0358

Damian Young
Head of Small Business
Bank of Ireland Business Banking
Telephone: 01 665 3408

Top 15 Start Up Counties - January to June 2007
County Start up companies since January 2007
Dublin 3584
Cork 845
Galway 386
Limerick 330
Kildare 236
Donegal 197
Meath 194
Wexford 157
Kerry 150
Tipperary 137
Wicklow 116
Clare 109
Mayo 108
Louth 108
Kilkenny 92

About Bank of Ireland Business Banking:

Bank of Ireland Business Banking offers a market leading business start-up package, specialist propositions for the franchising, intermediary, food and beverage sectors, comprehensive business finance options, access to our award winning Business On Line internet service and a switching pack to facilitate business customers switching business current accounts. Our services are delivered through a network of 85 Senior Business Managers, 175 Business Managers, 270 Branch Managers and a dedicated Enterprise Support Unit committed to funding Start-Ups and developing SMEs. Bank of Ireland also have a Business Adviser in every branch nationwide.

We provide over 100 loans daily to the SME sector and currently were the first bank bank in Ireland to launch a Business Banking proposition for Polish people living here.