SMALL businesses in the North-East have been least affected by the recession according to new research.

More than half of North-East small business have seen no drop in their turnover during the recession, a study by Mr Site and PayPal has claimed.

The report also claimed some of those businesses had seen an increase in turnover during the economic downturn.

The 55 per cent of small businesses whose turnover has either stayed the same or increased since the start of the recession came from a wide range of fields.

The study suggested that the internet has played an important role in keeping small enterprises afloat.

Over a third said that the introduction of an online shop increased their earnings by up to 30 per cent in the last year.

A further 56 per cent said that simply having a website has increased their turnover in the same period.

As a result, one in six small businesses are considering moving their business purely online to get through the recession.

Cameron McLean, PayPal’s general manager for UK merchant services, said: “Times are undoubtedly tough, but we are hearing from many small businesses that are proving remarkably resilient.

“With consumers turning to the internet more and more to find deals, it is clear that the small businesses that are surviving, and indeed growing, are those that give customers what they want. In our experience that’s an easy and safe way to shop online.”