Business Closures Hits Record High

The number of UK businesses  forced to close last year hit a record high according to Office for National Statistics figures.

Some 800 businesses a day closed in the period between 2009 and 2010, and for the second year in a row  business closures exceeded new start-ups.

Approximately  297,000 businesses ceased trading, this figure represent an increase of 20,000 on the previous year. There was also a 90% increase in the number of companies closing in their first year of trade. The sectors worst hit included business administration and support services, construction , technology and science. The sector suffering the least was the health industry.

All regions of the UK have been hit with London experiencing the greatest impact, with 60,000 business closures, the North West saw the  number of business closures exceeded new start-ups by 8,000.