More than 200,000 businesses have closed in the last year because of Starmer’s policies

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More than 200,000 businesses have closed in the last year because of Starmer’s policies – The Expose

13 hours ago

Originally posted by: Exposé News

203,000 UK businesses have closed since the Labour government took office, marking a sharp acceleration in business failures.

Economists and industry leaders attribute this to Labour’s policies, including rising taxes, excessive regulation, labour shortages and falling consumer confidence.

The government’s actions have led to a decline in business confidence, with critics arguing that Labour’s “pro-business” rhetoric is inconsistent with its policies, which are perceived as hostile to enterprise and investment.

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203,000 UK Businesses Close Their Door Under Labour Government, Alarming Economic Trend Emerges

By Conservative & Reformer Post

Since Labour took office, a staggering 203,000 UK businesses have closed their doors – painting a bleak picture for enterprise, jobs and investment under the current government.

According to Companies House and leading business analysis firms, the data shows a sharp acceleration in business failures since Labour came to power, marking one of the worst periods for British enterprise in decades.

From small high street shops and family-run manufacturers to larger firms in retail, logistics, and hospitality, closures have rippled across every region of the country.

Economists and industry leaders have pointed to a series of Labour policies that have created a hostile environment for businesses. Among the most frequently cited issues are:

Rising taxes, including corporation tax increases and the imposition of VAT on private education and other sectors.
Excessive regulation, including new compliance requirements, red tape for employers and centralised oversight schemes.
Labour shortages, compounded by immigration policy confusion and disincentives to work.
Falling consumer confidence, with shoppers tightening their belts in the face of economic uncertainty.

To make matters worse, businesses are now bracing for a fresh financial blow from 1 April, when increased National Insurance contributions for employers are set to take effect. Under Labour’s revised fiscal rules, many firms will see a significant rise in their employment costs – penalising those who hire and employ at scale. Small and medium-sized businesses, already reeling from inflation and reduced footfall, say this latest move could be the final straw for thousands more enterprises.

“Business confidence has collapsed under this government,” said one senior figure at a national business body. “Firms need stability, incentives and a government that backs enterprise – not punishes it. Unfortunately, Labour has delivered the opposite.”

In a particularly telling statistic, the total number of UK companies has now declined for the first time in modern history, reversing years of growth under previous administrations. Start-up rates have also slowed dramatically, with many would-be entrepreneurs put off by the cost and complexity of launching a business in Labour’s Britain.

Critics of the government argue that while Labour promised to be “pro-business,” its actions have sent a very different signal. The cancellation of pro-growth initiatives, combined with an ideological tilt toward state intervention, has led many to question the government’s understanding of what businesses actually need to thrive.

Conservative voices are calling this “an economic warning siren,” urging urgent reform to restore confidence and growth before further damage is done.

As Britain stares down a potential recession, business closures at this scale are not just numbers – they represent lost livelihoods, rising unemployment, declining tax revenue and a weakened national economy.

The Labour government has so far downplayed the figures, citing global trends and economic headwinds. But for many business owners, the reality is clear: operating under Labour has become more difficult, more expensive and, in too many cases, simply unsustainable.

With over 200,000 closures in less than a year and increased National Insurance contributions looming, critics say Labour’s “pro-business” rhetoric is wearing thin – and entrepreneurs across Britain are paying the price.

Related: UK economic growth forecast to be cut in half in blow to Starmer and Reeves, Independent, 21 March 2025

About the Author

The Conservative & Reformer Post, formerly The conservative Post, was founded by and is edited by Claire Bullivant. The site aims to be the “Home of the Right,” meaning a news outlet for the British political right.

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While previously it was a hobby culminating in writing articles for Wikipedia (until things made a drastic and undeniable turn in 2020) and a few books for private consumption, since March 2020 I have become a full-time researcher and writer in reaction to the global takeover that came into full view with the introduction of covid-19. For most of my life, I have tried to raise awareness that a small group of people planned to take over the world for their own benefit. There was no way I was going to sit back quietly and simply let them do it once they made their final move.