Deloitte has warned that more
companies are expected to file for administration in the coming months due to
high debt levels and rising interest rates.
The firm said that industries such as food processing were particularly
vulnerable as they have been squeezed by rising costs of raw materials and on
their profit margins.
Highly indebted businesses in the property and construction industries may
also suffer soon as
rate rises put a squeeze on growth in property values.
‘We will see an acceleration in the rate of companies going into
administration as more marginal investments begin to buckle,’ Deloitte said.
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies