ADMINISTRATIONS ARE at their lowest since the financial crisis struck.
There were 553 administrations from April to June, a 14% decline on Q1 and 13% lower year on year, according to the latest figures from Baker Tilly.
The figures, obtained from appointments in the London Gazette, show a decline across all regions bar the north-east, which saw a modest increase – in total they are at their lowest since Q4 2007.
The drop contrasts with the number of high profile collapses seen in recent weeks, including Focus DIY, Oddbins, plus the retrenchment of Thorntons.
“The latest administration figures show that if businesses can maximise their available resources during difficult times, there are plenty of options available and insolvency can be avoided,” said Matt Haw, partner at Baker Tilly Restructuring and Recovery LLP.
“Detailed management of cashflow is vital in such a tight environment where cash remains king in navigating through trading fluctuations.
“For some businesses, flexibility in their financial planning will be essential to their survival. Looking at alternatives to traditional bank lending such as asset-based lenders and private equity can offer new opportunities and, for the right businesses, additional working capital should allow them to manoeuvre through this stagnant economic phase.”
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