New data from Kidderminster-based haulier Breakwells Transport delivers a glimmer of hope for the UK’s haulage industry, revealing that new business closure rates decreased between 2023 and 2024.
Breakwells analysed data from Companies House to find the number of new companies within the haulage and shipping industry incorporated between January 2019 and December 2023 and between January 2020 and December 2024. It then compared the number that have gone into administration, liquidation, or are now dissolved.
The analysis also looked at businesses operating in key sectors of the industry, including cargo handling, freight transport by road and warehousing and storage, showing that the five-year failure rate has dropped from 49.24% for the period 2019-2023 to 45.57% for 2020-2024.
The family run company said that, while still high, the reduction in the five-year failure rate offers a positive indication of improving market conditions.
All three sectors analysed showed individual decreases in their closure rates.
Nature of Business | Closed | Opened | Percentage Closed | |
---|---|---|---|---|
Cargo handling for land transport activities (52243) | 2,138 | 3,931 | 54.38819639 | |
Freight transport by road (49410) | 41,697 | 82,839 | 50.33498714 | |
Operation of warehousing and storage facilities for land transport activities (52103) | 6,944 | 16,359 | 42.44758237 | |
Total | 50,779 | 103,129 | 49.23833257 |
In response to the findings, a Breakwells spokesperson said: “This data point towards increased stability and resilience within the UK haulage industry.
“Despite ongoing challenges, the industry is navigating through some of the headwinds that have contributed to business closures in previous years, such as high costs, fierce competition, and fluctuating fuel prices.
“While it is too early to say definitively whether this signifies a long-term trend, the decrease in closure rates provides a much-needed boost to the sector.”