New data reveals UK’s business closure hotspots as liquidations surge
Businesses across the UK are grappling with ongoing economic challenges, with insolvencies remaining high. From April, increases to National Insurance contributions, the Minimum Wage, and the National Living Wage will add even more financial pressure.
Now, new data from the experts at Liquidation Centre has revealed the parts of the UK hit hardest by business liquidations, by analysing official figures from the Insolvency Service and ONS. The data exposes liquidation hotspots where companies are shutting their doors faster than anywhere else, revealing a divide between regions. Richard Hunt, Director at Liquidation Centre comments on what the figures mean for local economies, high streets and employment.
Key Findings:
Norwich, East of England, has the highest liquidation rate in the UK, with 2026 already showing signs of an increase.
In North West England, Chorley and Burnley rank second and third, with liquidation rates of 20.55% and 12.03%, respectively.
The North West of England has the highest regional liquidation rate overall, at 3.26%, with several towns in the region appearing in the top 10.
The UK’s Worst Places to Run a Business
New analysis shows several smaller areas experiencing some of the highest business failure rates in the UK, with Norwich topping the list for company liquidations.
Rank | Local Authority | Number of registered companies | Liquidated companies | Liquidation rate (%) |
1 | Norwich | 14,807 | 3,446 | 23.27% |
2 | Chorley | 9,284 | 1,908 | 20.55% |
3 | Burnley | 5,263 | 633 | 12.03% |
4 | Blaby | 8,249 | 690 | 8.36% |
5 | Darlington | 6,278 | 518 | 8.25% |
6 | Brentwood | 9,202 | 746 | 8.11% |
7 | Bury | 18,994 | 1,516 | 7.98% |
8 | Dundee City | 9,937 | 778 | 7.83% |
9 | Oldham | 17,773 | 1,352 | 7.61% |
10 | Swansea | 13,697 | 992 | 7.24% |
*The full data set is available to view here.
Norwich – 23.27% liquidation rate (3,446 businesses)
Norwich has the highest liquidation rate (23.27%), positioning it among the worst places to run a business, with 14,807 registered companies and 3,446 liquidated. This equates to nearly one in four businesses in the area closing through liquidation. Norwich saw its highest number of liquidations in 2025 (805), but its highest jump in liquidation figures was in 2021, likely due to the effects of the COVID pandemic. So far in 2026, 311 liquidations have already been recorded, meaning this year could become one of the worst on record.
Chorley – 20.55% liquidation rate (1,908 businesses)
Chorley follows closely behind, with the second highest liquidation rate (20.55%), and 1,908 liquidated companies. The figures suggest that businesses in smaller regional economies may be particularly vulnerable to rising costs and reduced consumer spending. 2025 was Chorley’s worst year for liquidations across all years analysed (596), and so far in 2026, the town has already seen 186 liquidations.
Burnley – 12.03% liquidation rate (633 businesses)
Burnley ranks third, with a liquidation rate of 12.03%, and 633 liquidated companies. Burnley saw 184 liquidations in 2025, and so far in 2026 39 have been recorded. If this trajectory continues, Burnley could see over 200 liquidations in 2026, making it the worst year for business closures to date.
Towns across the North West are feeling the squeeze as rising operating costs push businesses to the brink. The region now tops the UK league for business closures, with a liquidation rate of 3.26% – the highest in the country. The full table of UK regions with the most liquidated businesses can be viewed here.
Blaby – 8.36% liquidation rate (690 businesses)
Blaby ranks fourth with a liquidation rate of 8.36%. Out of 8,249 registered companies in the Leicestershire authority, 690 have entered liquidation. While the rate is noticeably lower than that of the top three, the figures still underline the financial pressures facing firms across the UK.
Richard Hunt, director at Liquidation Centre comments on what the figures mean for local economies, high streets and employment:
“These figures show just how tough the environment has become for businesses across the UK, particularly in smaller towns. When companies enter liquidation this has a real visible impact on the local economy, especially on high streets. When businesses close their doors, it creates empty shop fronts, fewer jobs, and reduced footfall for other businesses. Over time, that makes it harder for the rest of the high street to survive.”
“With costs set to rise in April, including National Insurance, the Minimum Wage, and the National Living Wage, it’s more important than ever for directors to keep a close eye on cash flow, manage overheads carefully, and act early. Many business failures happen not because the warning signs aren’t there, but because tough decisions are left too late. By regularly checking stock, pricing, and staffing, businesses can respond quickly when numbers start slipping and give themselves a better chance of staying profitable. In this uncertain climate, being proactive can make all the difference.”