Corporate insolvencies rose year on year, but recent stats show a slowdown in
company failures, according to PwC.
Analysis by the firm showed that on a 12 month basis the overall number of
corporate failures has increased by 5% compared to the previous year.
However, the figures provide a glimmer of hope as the first three months of
2010 had 4% fewer corporate insolvencies on the previous quarter, and 20% lower
than the same period in 2009.
Mike Jervis, partner in the business recovery services practice at PwC, said:
“While UK businesses are still suffering from the effects of the global
recession, many will be breathing a sigh of relief as more signs of a recovery
“At PwC we are seeing a fall in the number of administrations as businesses
are starting to look at other options before insolvency is used as a last
resort. Financial restructuring, company voluntary arrangements and schemes of
arrangement are now being used as businesses are now starting to realise that
the sooner problems are identified, the quicker a solution can be found.”
PwC’s research concluded the sectors which are most affected are:
construction, manufacturing, retail and real estate.
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
Smith & Williamson has been appointed administrators of charity 4Children