Financial recovery in companies slows
Latest stats show slowdown in improvement of UK companies' financial position
Latest stats show slowdown in improvement of UK companies' financial position
More than 123,000 UK companies face serious financial distress, owing £58bn.
The latest statistics from
Begbies
Traynor’s Red Flag Alert show a 10% fall in companies in distress
for Q3 2010 compared to a year earlier. However, the rate of recovery is the
slowest for five quarters and compares to a 31% decline in financial distress in
Q2 2010 compared to Q2 2009.
The taxman is toughening up its attitude to debtors. The figures show HM
Revenue & Customs’ winding up petitions up 39% between August and September.
“The decline in the numbers of businesses in distress reflects a combination
of lenient creditor attitudes and the effects of temporary government support
initiatives, including quantitative easing, the time to pay scheme and low
interest rates,” said executive chairman Ric Traynor.
“However, the marked slowdown in the rate of recovery points to the renewed
challenges facing UK corporates, as reflected by a recent significant weakening
in corporate confidence, and there is some early evidence that creditors such as
HMRC are adopting a harder line in collecting debts.”
More about:
The numbers you crunch tell a story. Your expertis...
14yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleCompanies will have more trouble raising funds with floating charges as HMRC’s preferential status puts off lenders Read More...
View articleThe Bank’s interest rate cut to 0.25 percent comes amid a list of incentives for SMEs Read More...
View articleThe second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from...
View articleBegbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restora...
View articleHMRC filed 3,484 winding up petitions in 2015, up from the 3,074 applications filed the previous year Read More...
View articleTop 50+50 firm Begbies Traynor recorded pre-tax profits of £4.5m for the year, boosted by its property services unit, despite seeing insolvencies drop...
View articleSuggestion R3 has 'rolled over' in face of government pressure is false, incoming president Andrew Tate tells Accountancy Age Read More...
View articleWinding-up order against Montpelier Professional withdrawn, CEO tells Accountancy Age Read More...
View article