"Businesses across the UK are battling unprecedented challenges in 2025. Economic uncertainty, soaring material costs, rising energy bills, and increased taxes are pushing companies to breaking point. The hospitality and retail sectors, already stretched thin from post-pandemic recovery, are bearing the brunt of this financial squeeze as consumer spending tightens. Now, a comprehensive new study has identified exactly which UK regions are being hit hardest by business insolvencies, revealing stark geographical differences in how companies are weathering the economic storm."
"Helix Law's research team analysed government data on company insolvencies, business survival rates, and growth patterns to create a comprehensive picture of corporate distress across UK regions. Using 2024 insolvency estimates combined with active company counts, they developed a Business Insolvencies Impact Score, a benchmark that ranks regions from 0 to 100 based on how severely closures are affecting local economies. The methodology accounts for insolvency rates per 10,000 businesses, survival rates over five years, and growth trends since 2022."
UK businesses face unprecedented financial pressures in 2025 driven by economic uncertainty, soaring material and energy costs, and higher taxes. Hospitality and retail sectors are particularly affected as consumer spending tightens. Helix Law analysed government insolvency and business data to map regional distress and created a Business Insolvencies Impact Score ranking regions 0–100. The methodology used 2024 insolvency estimates, active company counts, insolvencies per 10,000 businesses, five-year survival rates, and growth trends since 2022. Results reveal national problems with concentrated hotspots; London and the South East show surprising prevalence of insolvencies.
Read at London Business News | Londonlovesbusiness.com
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