OXFORD was the only city in England to see more businesses start up than close down in 2009 — the year the recession hit the national economy.

The only other city in Britain to see more start-ups than failures was Aberdeen, according to a new report from accountants UHY Hacker Young.

Marc Waterman of UHY said: “Even as the recession was at its peak, Oxford’s business community was braving the storm and setting up new enterprises.

“However, we are not out of the woods yet. Local politicians will need to be on their guard to ensure that the public sector cuts do not harm Oxford’s business community.

“This is a particular problem for Oxford as it has the largest proportion of public sector employees of any major UK city.”

In 2009 Oxford saw a net gain of 15 businesses — which compares well with bottom-of-the table Poole in 50th place, which saw a net loss of 335 businesses.

London fell from top position to 24th in just one year, with a net loss of 4,500 businesses. A total of 43,000 businesses failed across the UK.

Jodie Gaul set up her business, Illustrate My Name, in 2009 from her home in Freeland, near Witney, and has seen it grow.

Ms Gaul, 30, sells personalised bookends, money boxes and stickers.

She said: “I got lots of local support here in Oxfordshire, which is an innovative sort of place.”