Business failures have fallen to the lowest level since the start of the recession, according to figures released by global information services company Experian.

The research revealed that 0.09% of UK businesses failed during August this year, the lowest number of monthly failures so far in 2009. Compared to July the total number of insolvencies fell by 23% in August to a total of 1,796.

“Although it is too early to tell whether this is an indication of a more positive outlook, one thing is for sure: businesses are distinctly aware of the current environment and the need to be cautious in any business dealings," said Rolf Hickman, managing director of pH, an Experian company.