BUSINESS insolvencies have fallen to their lowest rate since February, although the North West experienced a slight increase, new research shows today.

Experian, the business information company, said the percentage of failures among the UK business population for August was 0.8%.

That was the lowest percentage since February this year, but was slightly higher on rates a year ago when 0.7% of the UK business population was declared insolvent.

The North West rate of insolvent firms for August was 0.10% of its business population.

But the 184 North West companies which collapsed last month represented a 2.72% increase on August, 2010.

However, that compares with a 65.38% increase in insolvencies in the North East and a 51.39% rise in Scotland.

In contrast, Yorkshire achieved a 21.05% decrease and the East Midlands saw an 18.18% reduction.

Max Firth, director of Experian Business Information Services, said: “While insolvency rates in August were the lowest since February, 2011, our analysis shows that regional variances continue to underline the importance of closely monitoring the financial health of the suppliers and customers that companies do business with.”