The UK Is Still Forming Companies — But Almost as Many Are Disappearing
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The latest Companies House statistics show a UK company register that is still growing — but only just.
At the end of March 2026, the total UK register stood at 5,479,045 companies, up 28,681 on the previous quarter. The effective register, which strips out companies already in dissolution or liquidation, reached 4,930,634, up 53,653.
So far, so healthy.
But the more interesting story is the churn underneath. Between January and March 2026, the UK saw 204,612 incorporations and 190,836 dissolutions. In plain English: for every 100 companies created, roughly 93 were dissolved.
That is not a collapse in entrepreneurship. The UK is still forming companies at scale. But it does suggest a register in transition — one where new incorporations remain strong, while dormant, failed, speculative or non-compliant companies are being cleared out at almost the same pace.
This matters because Companies House is no longer just a passive filing cabinet with a postcode. Under the Economic Crime and Corporate Transparency Act 2023, it is gradually becoming a more active gatekeeper. Identity verification for directors and PSCs began on 18 November 2025, and Companies House increased incorporation and filing fees on 1 February 2026.
Both changes may have an effect. Some legitimate small businesses will struggle with new digital processes. Some dormant companies may simply be abandoned. And, one suspects, some less legitimate corporate arrangements may quietly find the new environment rather less comfortable.
The positive interpretation is that the UK register is starting to become cleaner. The less comfortable interpretation is that it needed cleaning because the old system made company formation almost too easy.
For banks, regulated firms, accountants and compliance teams, a cleaner register is not a bureaucratic luxury. It improves KYB checks, ownership verification, counterparty due diligence and economic crime controls.
The UK company register is still growing. But the real question is no longer how many companies are being formed.
It is how many of them are real, active and properly accountable.
