Stratford-upon-Avon
13 The Courtyard
Timothy's Bridge Road
Stratford-Upon-Avon
Warwickshire CV37 9NP
The Insolvency Service data for England and Wales shows monthly company insolvencies remain high by historical standards, even though they move up and down month to month. For example, November 2025 recorded 1,866 registered company insolvencies, down on October 2025 and also below the same month a year earlier. The wider context matters, monthly totals through 2025 have generally been slightly higher than 2024, but lower than 2023, which saw a 30 year high in annual insolvencies.
New company formations: still strong, but down on the prior year
On the formations side, Companies House figures show incorporation volumes have softened. In the financial year ending 2025, there were 801,864 company incorporations, down 10% compared with the financial year ending 2024. At the same time, dissolutions rose, with 726,735 dissolutions in the financial year ending 2025, up 9.6% on the prior year.
Quarterly data shows how this can translate into net shrinkage in the register for periods of time. Between July and September 2025 there were 215,982 incorporations and 234,373 dissolutions, so dissolutions outpaced incorporations in that quarter.
A practical way to read this is that the “start-up engine” is still running, but not as hot as it was, while the “clean-up” of non-viable businesses has accelerated.
Why both trends can be true at the same time
ONS business demography data helps explain the apparent contradiction. On an enterprise basis (different from Companies House incorporations, but directionally helpful), business births edged up from 316,000 to 317,000 between 2023 and 2024, while business deaths fell from 310,000 to 280,000, producing the lowest death rate since 2016.
So, depending on which lens you use, you can see: (a) high company insolvency activity, (b) lower incorporations than the prior year and (c) relatively resilient enterprise births and improved enterprise death rates. Differences in definitions and timing matter, but the shared message is that the UK is in a reallocation phase: weaker balance sheets and marginal business models are being pushed out, while new ventures keep forming, often leaner, more specialised and sometimes set up to replace old entities.
Grenfell James Technology Adoption Index
How does your business perform against others adopting financial tech? Find out with our interactive diagnostic:
1.
How does your business receive invoices?
A)
Invoices are mainly received in paper form
B)
Invoices are mainly received by email
C)
Invoices are emailed then automatically forwarded to a designated mailbox
2.
How are purchase invoices processed?
A)
Invoices are entered manually
B)
Invoices are attached to manually raised invoices
C)
Automated software (e.g. ReceiptBank, 1Tap, HubDoc etc) collates invoices
3.
How are accounts processed?
A)
Using Excel/paper-based
B)
Using Computer-based, offline software
C)
Using cloud-based accountancy software
4.
How often is business data revised?
A)
Data is updated annually
B)
Data is updated quarterly
C)
Data is updated monthly or more often
5.
How is banking updated for your business?
A)
Banking is updated manually
B)
Banking is updated by imports
C)
Banking is updated via a live feed
6.
How are bank payments made?
A)
Bank payments are manual
B)
Bank payments are made using bulk imports
C)
Bank payments are made directly via accounting software
7.
How are bank receipts reconciled?
A)
Receipts are chased and reconciled manually
B)
Receipts are chased and reconciled automatically
C)
A third-party platform is used to chase debts and collect fees
8.
How often are management reports produced?
A)
No reports are provided
B)
Reports are provided but often too late to be valuable
C)
Reports are automated with real-time information
Score 8-12:
Curious Exploration
Your financial technology phase is Curious Exploration
% of respondent businesses are in this phase too.
Switching accountancy systems may seem like an upheaval, but can be much more straightforward than most businesses imagine. From talking to our clients, they have found moving from paper invoicing and desktop-based accounting software to the cloud and apps quickly makes the transition process a worthwhile investment of time. Digital accounting solutions bring in streamlined processes, up-to-date business data and greater confidence in the accuracy of information when making financial decisions.
Grenfell James works with your team to fully assess the needs of your business and minimise the impact of any transitions for solutions we recommend.
Score 13-19:
Measured Discovery
Your financial technology phase is Measured Discovery
% of respondent businesses are in this phase too.
Once cloud accountancy software is in place, there’s still plenty of scope to improve your accountancy processes and make sure your business is maximising the benefits of adopting a digital accounting solution. Grenfell James assesses each business to understand how any implemented solutions are being used, identify areas for improvement and the needs of the business overall to support your business goals and achieve success.
Our team of experts can discuss a range of time-saving automation and get different apps and cloud-based solutions talking to create and manage a digital accountancy eco-system to help your business grow.
Score 20-24:
Bold Innovation
Your financial technology phase is Bold Innovation
% of respondent businesses are in this phase too.
You know the benefits of accounting technology and the impact it can have on your business goals. If you want to take it a step further, our team can conduct a systematic review of your processes, apps and business goals to ensure your digital accountancy ecosystem is keeping pace with the changing needs of a growing business.