Feeds

IT firms drown as rising tide buoys rest of UK plc

Techy Brit biz collapse rate leaps a third

Intelligent flash storage arrays

The number of British business failures eased back in April, however IT firms bucked the trend with insolvencies up by a third compared to last year.

Credit ratings giant Experian said that 1,564 businesses failed in April, compared to 1,808 company collapses in the same month last year. Put another way, this was 0.08 per cent of the business population collapsing in 2012, compared to 0.10 in 2011.

Experian said the average health of British companies had improved: the likelihood a firm staying afloat within the next 12 months was 83.24 per cent last last year, on average, compared to 83.76 per cent this year.

“Since January 2009, when the average financial strength score of UK firms had fallen to its lowest level recorded, there has been a definite and positive upward trend," Max Firth, UK managing director for Experian’s Business Information Services division.  "Combined, these two valuable indicators show how UK businesses are faring and highlight areas where there are opportunities, as well as risks.”

However, while the picture improved overall, the IT sector in particular was one of the black spots, with 68 failures, an increase of 33.3 per cent year-on-year.

Other sectors - including leisure and hotels, wholesaling, construction, banking and the financial services - had higher numbers of companies going titsup. However, most of these sectors actually saw a fall in the rate of failures.

The figures showed that while medium-sized firms were usually the most likely to struggle, things had improved in April, with just 0.1 per cent of companies with 50 to 100 employees failing, compared to 0.22 in that month last year. ®

Internet Security Threat Report 2014

More from The Register

next story
Bladerunner sequel might actually be good. Harrison Ford is in it
Go ahead, you're all clear, kid... Sorry, wrong film
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
Euro Parliament VOTES to BREAK UP GOOGLE. Er, OK then
It CANNA do it, captain.They DON'T have the POWER!
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
Forget Hillary, HP's ex CARLY FIORINA 'wants to be next US Prez'
Former CEO has political ambitions again, according to Washington DC sources
prev story

Whitepapers

10 ways wire data helps conquer IT complexity
IT teams can automatically detect problems across the IT environment, spot data theft, select unique pieces of transaction payloads to send to a data source, and more.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.