HEREFORDSHIRE is bucking the trend when it comes to the number of small businesses setting up shop.

New figures from Barclays show that after record highs last year, the number of small business start-ups in the West Midlands fell in the first quarter of 2005 from 11,500 in 2004 to 9,500.

However, Herefordshire is the only county in the region to see an increase - 21% rise.

Worcestershire saw a decline of 22%.

Gareth Thomas, Barclays area manager for small business in Herefordshire said: "Despite this slight fall, nationally business start ups are still 15% higher than average for this time of year.

"But the fall in consumer spending on the high street and uncertainty surrounding the housing market are set to dampen start-ups for the remainder of the year."