Around one in seven UK companies say they were at risk of collapse, according to a new report from the Office for National Statistics (ONS).

The study saw 14% of UK companies say they have “low or no confidence” that they will survive the next three months. While 40% had moderate confidence that their business would survive the next three months, another 40% had high confidence of making it through the period.

Pessimism was most apparent among hotels and restaurants where 34% of businesses said they would struggle to make it through the next 12 weeks. It was also found that across all industries, 7% of businesses expect to temporarily or permanently close a site in the next fortnight., with 25% of businesses in the accommodation and food service activities industry expecting to close a business site.

Half of the businesses experienced a decrease in turnover, with the accommodation and food service activities industry having the highest percentage experiencing a decrease, at 79%

Whilst 47% of businesses experienced a decrease in profits, with the accommodation and food service activities industry having the highest percentage experiencing a decrease, at 73%, 31% experienced no impact on profit and. 8% experienced an increase in profits compared with what is normally expected for this time of year

Similarly to the impact on turnover, the same four industries had more than 50% of their businesses experiencing a decrease in profits:

  • accommodation and food service activities industry, at 73%
  • arts, entertainment and recreation industry, at 63%
  • education industry (private sector and higher education businesses only), at 56%
  • administrative and support service activities industry, at 54%