BDO: business busts at record high since 2002
BDO research predicts business busts will reach a record high since the dot-com crash in 2002
The credit crunch will push more than 17,800 businesses over the edge this
year and 19,100 will become insolvent next year, according to
Stoy Hayward forecasts.
The figure compares with the 19,928 businesses which failed in 2002, when the
dot-com bubble burst, The Times reports.
BDO said its forecasts has been revised sharply up on six months ago as
prices spiralled and consumer confidence and house prices kept plunging.
Shay Bannon, BDO Stoy Hayward business restructuring partner, said the credit
crunch was going to have a more profound effect than expected on UK business.
‘Companies need to batten down the hatches for the next 18 months,’ he said.