Insolvency Service Statistics 2nd Quarter 2011
The lastest Insolvency figures show that things are tough, but they have been worse.
Here’s the Insolvency Service stats for the 2nd Quarter of 2011, in England & Wales:
Corporate Insolvencies
The number of liquidations (compulsory liquidation and creditors’ voluntary liquidation) increased by 3% on the previous quarter – an increase of 4% on the same period a year ago.
Overall, approximately 0.7% of all active registered companies went into liquidation.
Is this a lot?
Well, not when you compare it to a peak of 2.6% in 1993.
Personal Insolvencies
The number of individual insolvencies decreased by 12% compared to the same period last year ~ which might be a surprise to many people.
Overall, this equates to approximately 1 in 349 people becoming insolvent.
Is this a lot?
Well, compared to an annual average over the last 28 years of 1 in 1,780 people, it is a worryingly high proportion.
Other interesting Insolvency stats
Retailers
Retailers are showing more signs of stress than any other sector
40% are concerned about debt
8% say they are likely to become insolvent in the next 12 month.
Pubs
Pub insolvencies increased by 30% in the first six months of the year compared with 2010.
Construction
Construction has seen a 4% drop in the number of companies going out of business.
The future: Who knows?
For many small business owners, things aren’t expected to get better any time soon.
The current problems include:
- spending cuts
- consumers tightening their purse strings
- the economic trouble in the US and Europe
- stock market wobbles
- rioting in the UK… a frequent bi-product of economic problems
It is not easy to be optimistic – but without some business confidence, we’ll never get out of this mess.
If you feel like you need a helping hand managing your businesses debt contact Clarke Bell for business insolvency advice with a free and discreet consultation.