The number of businesses choosing to go into liquidation has reached the highest level since the onset of the Covid crisis, new government figures show.

But data from the Insolvency Service reveals that other forms of bankruptcy are actually lower than they were previously.

There were 1,446 Creditors' Voluntary Liquidations (CVLs) company insolvencies across England and Wales in September, up from 1,349 in August and an increase of 928 or 56% on the same time last year.

CVLs are where shareholders of a company pass a resolution that it should be wound up voluntarily.

Despite the new high, the figures are 4% lower than the number registered two years previously (1,510 in September 2019).

Other types of company insolvencies, such as compulsory liquidations, remained lower.

And for individuals, there were 614 bankruptcies registered, which was 42% lower than September 2020 and 55% lower than September 2019.

Numbers of Debt Relief Orders (DROs) in September 2021 were at their highest level since the start of the Covid crisis, with 2,150 DROs registered. The upper limit of debt for a DRO has recently been increased from £20,000 to £30,000.

A DRO is a form of debt relief available to those who have a low income, low assets and debt no more than the specified value. There is no distribution to creditors, and discharge from debts takes place 12 months after the DRO is granted.

The number of DROs registered was 41% higher than September 2020 but remained lower than pre-Covid levels (12% lower than in September 2019).

The report states that overall numbers of company and individual insolvencies have remained low when compared with pre-Covid levels.

It says: "While CVL numbers are now slightly higher than pre-pandemic levels, numbers for other insolvency procedures, such as compulsory liquidations for companies and bankruptcies for individuals, remain lower. This is likely to be partly driven by government measures put in place to support businesses and individuals during the pandemic."