SHOCK figures which show that almost 1,000 Inverclyde businesses have closed down in the last five years have been branded a ‘tragedy’ - as local traders warn that more firms will close if the crisis is not addressed.
New data from the Office for National Statistics (ONS) shows that 980 firms have shut their doors in the region since 2020 - an average of 196 a year.
The total has included major employers and firms like EE, Amazon, Berry BPI and IBM, with the loss of hundreds of jobs.
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At the same time many smaller retailers in Inverclyde’s town and villages centres have spoken out about difficult trading conditions, with some firms being forced to close.
One long-standing shop owner on Greenock’s high street told the Telegraph that those who are struggling to stay open have already lost thousands of pounds in turnover, are reducing staff numbers, and are going without wages themselves to keep their firms afloat.
Liberal Democrat MSP Jamie Greene said: “Losing nearly a thousand firms in a mere five years is a tragedy for Inverclyde.
“When a business shuts its doors, it’s not just the owners or the staff who feel the effects. People lose their jobs, local services reduce, and the general mood takes a downturn.
“The UK and Scottish Governments must put aside their usual grievances and differences and focus on creating a business environment in Inverclyde, and across the country, that fills firms with confidence and allows them to stay in business and to thrive.
"I want to see Inverclyde booming with new businesses, and that will take some grown-up thinking and conversation."
The ONS figures show that in 2024, the number of 'business deaths' - the term used by the statistics body to refer to the permanent closure of a company - in Inverclyde hit 180.
This was the lowest total recorded since 2020, when 205 businesses shut down.
In both 2021 and 2023, the total was 190, while in 2022 it reached a peak of 215.
One of Greenock's longest serving retailers Chris Jewell, who owns baby clothes boutique Cradle Care in West Blackhall Street, said: "I am truly shocked by the number of closures. That is almost four businesses a week.
"I am not surprised, though. We are all struggling in West Blackhall Street; it really has never been worse and it is hard to see how it can get better.
"Many of us have had to let go of staff, and I know many retailers are not taking wages themselves to keep the doors open.
"People are just not coming back to West Blackhall Street. I have customers who now go to other places where there is parking."
Last year West Blackhall Street retailer Hassia Chalmers made the difficult decision to close her business, Sovereign Jewellers, after more than 30 years.
Speaking almost six months later, she said: "Covid had a massive impact on businesses and some just never recovered.
"Greenock has dramatically changed in recent years and the high street is dead.
"People shop in a different way now. The parking situation in Greenock doesn't help and the retail parks have taken business away."
A Scottish Government spokesperson said: “The Scottish Government is working with businesses to drive economic growth and put more money in people’s pockets. Latest figures show an increase in business confidence and a rise in the number of businesses in Scotland.
“However, we are doing this without the full economic powers needed to support Scotland’s economy. At the same time, the UK Government is taking decisions which are damaging to business, including increases to employers National Insurance contributions.
“The Scottish Budget 2026/27 will ensure the lowest Basic Property Rate since 2018/19 and support business and communities with a package of reliefs worth an estimated £864 million, including transitional reliefs and the Small Business Bonus Scheme which remains the most generous of its kind in the UK.”
A UK Government spokesperson said: “The budget delivered more money than ever before for Scottish public services and the Scottish Government receives over 20 per cent more funding per person than equivalent UK Government spending.
"It is for the Scottish Government to allocate this across its own public sector and meet the priorities of people in Scotland.
"It will also receive additional Barnett funding on top of this record £51 billion settlement as part of support provided in relation to changes to Employer National Insurance.”
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