Business failures fall in East Midlands
A STUDY of the latest insolvency figures shows a significant drop in the rate of business failures in January.
Nottingham-based Experian said failures were at their lowest level since June 2007.
The data shows that 0.06 per cent of the business population (1,271 companies) failed in January 2013.
They reveal 77 firms failed in the East Midlands in January compared to 114 in January 2012.
Nationally, the figures show a fall from 0.07 per cent in January 2012 and down from 0.08 per cent at the end of last year.
The UK's mid-sized firms saw the biggest fall in insolvency rates in January.
The largest firms, with more than 501 employees, and the smallest businesses, with up to two people, saw a slight fall in the insolvency rates, while the picture for businesses with less than ten employees remains broadly flat.
Max Firth, managing director of Experian's business information services, said: "Although January is typically a slow month for business insolvencies, the figures for January 2013 show a marked decline in the insolvency rate, which hit its lowest level for more than five years. This follows a relatively stable 2012, which itself was an improvement on the previous year.
"High-profile insolvencies so far this year show that it is still a challenging climate and businesses across all sectors and sizes need to adapt to changes in their environment."