UK’s small firms founded during pandemic face grim outlook as recession looms

Inflation, energy bills and staff shortages are causing businesses to fold in record numbers

Record numbers of people started businesses during the pandemic. Now there are record numbers winding up companies, hit by the stress of being the boss and compounded by the looming recession.

In 2020-21, 810,316 companies were set up, the highest number on record, and another 753,168 the following year, according to figures from Companies House.