Decrease in Business Failure Levels in Manufacturing

According to the Equifax Business failure reports, there is a decrease in number of businesses failing, but it is not as far as the pre-recession levels. It also reports that there is 19.1 percent year-on-year drop for the second quarter of this year. On comparison with the first 3 months of this year, there was a decrease of 7 percent in businesses going under in the second quarter of 2010.

FD fanOn the whole about 6,409 businesses ruined in the second quarter of 2008. Largest drop was reported in failures in Scotland, falling 31 percent. This was followed by the North East at 25 percent and the East Midlands being at 20 percent.

In the business sector, the manufacturing industry had the highest reduction in failures quarter-on-quarter at 14.9 percent. At 13.9 percent, even the Transport and Communications sectors also performed well. Though there was decrease in failures in other sectors, there was an increase of 1.3 percent in failures compared to first quarter of 2010.