Enlarge imageLONDON (Reuters) - The sharp economic downturn is being reflected in a steep decline in the number of company start-ups, the Financial Times reported on Monday.
The newspaper said it had obtained data from Companies House -- the body which registers limited firms -- which showed that only 23,871 limited companies were set up in November, a drop of 34 percent since November 2006.
The figures are likely to increase tension between the government and the banks, who are already under political pressure to increase lending to small and medium-sized businesses to help them survive a looming recession..
The FT also cited a survey by the Federation of Small Businesses which it said showed that two in five small companies are considering closing down.
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It found 35 percent were considering staff redundancies, 36 percent were looking to cut staff working hours and 39 percent considering shutting up shop.
(Reporting by Kate Kelland; Editing by Richard Williams)
