The number of new businesses being established around the world has declined due to the global recession, according to data released by the annual Global Entrepreneurship Monitor (GEM).

There were 10% fewer new start-ups last year in the 20 richest countries in the world. The decline was the most severe in America, where it fell 24%. By contrast, the UK only saw a 6% drop.

"Throughout the world, would-be entrepreneurs reported greater difficulty in obtaining financial backing for their start-up activities, especially from informal investors - families, friends, and strangers," said Professor Bill Bygrave of Babson College, one of the founders of GEM.