A larger number of people over the age of 50 are establishing their own businesses, recent research has suggested.

Commissioned by Yellow Pages, the results of the study indicate that a sixth of new firms set up in the UK are run by over-50s and that they make a contribution of £24.4 billion to the UK economy on a yearly basis.

The majority of senior entrepreneurs prefer to keep their venture compact, as either a sole enterprise or with between one and five employees, the BBC reports.

It was found that older women start fewer businesses that their male counterparts but that following major life events - such as a divorce, illness or moving home - females are more likely to establish an enterprise.

In related news, a recent study carried out by Birmingham Midshires suggested that 36 per cent of over-55s contribute cash to help support their children and grandchildren.