Sandwell Council Leader Darren Cooper today said he was delighted the borough had a higher than average start up rate for new businesses.
A survey has also shown that the borough is also an ideal location to start a manufacturing business due to its location and skill base.
Many firms are expanding leading to new jobs being created despite a new survey that has showed the borough is one of the worst places in the UK for business insolvencies.
Councillor Cooper said: “Sandwell is full of hard working and honest people, but they are being let down by the Government. Its ecomomic policies are failing.
“This survey is proof beyond doubt that it is these genuine people who are the ones who who are being hit the hardest.
“They are losing their jobs, cannot afford to pay their mortgages and are in danger of losing their homes. It is terrible.
“We at the council are suffering draconian cuts which is making it harder for everyone. It should be remembered that Sandwell is the 12th most deprived area in the country, yet the Government is doing nothing to help.”
Councillor Cooper said that was why the council announced last week that it was embarking on a new affordable house-building programme in a bid to help people who are struggling.
And he said the council has frozen council tax and rent in an attempt to ease the financial pain and burden on residents.
He added: “This is at a time where we are seeing petrol prices and inflation going up.
“There really is no light for people to look forward to at the end of the tunnel with the policies that are being introduced by this Government. Everone is strugglong big time,” added Councillor Cooper.