Gosnells will lead the state in its rate of failed businesses over the next year, according to a leading credit reporting bureau.
CreditorWatch’s chief economist Anneke Thompson has predicted that up to 7.3 percent of businesses in Gosnells could close down voluntarily or through insolvency between now and August next year.
And Serpentine-Jarrahdale will have the greatest deterioration of failed businesses in the state, with 5.7 percent of businesses forecast to fail by this time next year, up from a very low 2.9 percent at current rates.
In fact, the metro will be disproportionately affected over the next 12 months, with the regions appearing to fare a little better, according to CreditorWatch.
Other areas in Metro Perth that are forecast to see rapid rises in business failures include South Perth (5.6%), Armadale (6.7%), Melville (5.5%) and Wanneroo (6.7%).
“By August 2025, the eight areas with the lowest rates of business failures in WA are forecast to all be regional, led by Wheat Belt – South, Esperance and Albany, with the latter two forecast to record falls in the failure rate over the next year, an extremely rare forecast in the current economic circumstances,” Anneke Thompson said.
“Given regional areas are dominated by agriculture, health, education and other non-discretionary services, these areas are less impacted by the significant fall in consumer spending that has been recorded around the country. Areas with highly mortgaged households and a business makeup with a high proportion of food and beverage venues will usually have higher rates of business failure, despite their inner-city location.”
