The latest Insolvency Index from global information services company Experian, reported a positive picture. Businesses across Great Britain saw an improvement in their financial strength scores and the rate of insolvencies fell to 0.09% in November 2009, compared to 0.11% in November 2008. Smallest businesses showed the most resilience.
Rolf Hickmann, managing director of pH, an Experian company, said: "The overall picture shows a very gentle decline in insolvencies throughout the year.
"Despite the prolonged recession, the UK's entrepreneurial spirit continues to thrive. The number of micro-businesses, those with one to two employees, is growing rapidly. They are enjoying among the lowest rates of insolvency and are relatively secure."
Other key highlights include: As in November 2008, businesses in the South West continued to be the most robust. Although insolvency rates in the South East region fell from 0.16% in November 2008 to 0.13% in November 2009, it continues to have the highest rate of failures compared to other regions.
Scotland continues to enjoy the lowest rate of business failures at 0.04%. The financial strength of businesses in Yorkshire improved the most during November. Yorkshire was also among the regions to have the lowest rates of failure.
Businesses in Greater London saw the second highest improvement in their financial health. The largest businesses, with over 501 employees, continued to have the best financial strength score, but were the only types to see a drop, albeit marginal, in the score.
Here at Greengates Builders Merchants Accrington, Lancashire we are pleased to hear that the strength of businesses is improving and insolvencies are decreasing.