Rate of business closures in the UK falls to lowest level since 2016

The rate of businesses closing their doors in the UK last year was the lowest level since 2016, recent figures show.

Data from the Office for National Statistics (ONS) reveals around 280,000 businesses across the UK closed in 2024, down from 310,000 in 2023.

It meant 9.8% of active businesses last year shut their doors, down from the so-called death rate of 10.8% in 2023.

The ONS said it was the lowest death rate recorded since 2016, when 9.7% of businesses closed.

The West Midlands had the highest death rate last year (10.6%), while Northern Ireland recorded the lowest (7.3%).

The figures also showed the number of new businesses created across the UK increased from about 316,000 in 2023 to 317,000 last year.

They accounted for 11.1% of active businesses last year, up slightly from t