BUSINESS failures in the North West rose by 48 per cent during the second quarter of 1999 compared with the first three months of the year, according to shock figures published today.

Receivers were called in at 52 North West companies during the three months to June 30 - against 35 in the previous period, research by KPMG Corporate Recovery shows.

The region's figures buck a national trend which shows 241 receiverships in the second quarter compared to 303 during the first - a decrease of about 20 per cent.

Peter Terry, head of KPMG Corporate Recovery in the North said: "Despite the sharp quarter-on-quarter rise in North West receiverships, the longer-term view is more optimistic.

"There are now signs that confidence is beginning to return. Inflation has remained under control and close to the 2.5 per cent target set by the government, and unemployment remains close to its lowest level for 20 years."

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