New figures from the Office for National Statistics (ONS) reveal the highest number of ‘business deaths’ since records began.
The figures show that 297,000 businesses went bust in 2010 – equivalent to more than 1,170 on each working day.
Furthermore, the ONS research shows that less than 50% of companies established in 2005 were still trading at the close of 2009.
The Department for Business, Innovation and Skills was at pains to point out that it has implemented a number of measures to arrest this trend. However, a spokesman for the Forum of Private Business told the Daily Mail:
“The figures speak for themselves – 2010 was truly the private sector’s ‘annus horribilis’. It paints a gloomy picture.”
However, it seems there are some areas for optimism at present. Recent figures from Creditsafe, published yesterday on
Startups.co.uk, demonstrate that the start-up community is regaining optimism after the difficulties of 2010.
The report claims that 471,000 companies have been founded in 2011 – 20% up on the previous year.