Record jump in number of firms in financial distress

27th January 2025 Commercial Collections and Recoveries | #business risk

The latest ‘Red Flag Alert’ report from Begbies Traynor reveals a worrying surge in the number of businesses in the UK entering ‘critical’ financial distress in the final quarter of 2024. In Quarter 4 (Q$) 2024, ‘critical’ financial distress rose by 50.2% to 46,853 companies, underscoring a deteriorating outlook. Of the 22 sectors covered by…

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Two in five people expect their financial position to worsen this year

27th January 2025 Arrears and Recoveries | #debt#finances

New Censuswide polling from StepChange Debt Charity finds that just over two in five (41%) GB adults – equivalent to 21.3 million people – expect their financial situation to worsen over the next 12 months. The findings show that meeting the cost of living and higher energy bills this month is a major factor driving…

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Consumer confidence hits lowest point in over a year

27th January 2025 Consumer Collections | #consumer confidence

Consumer confidence has fallen to its lowest level in over a year, as shown by figures from GfK’s consumer confidence index. The index fell five points to minus 22 in January and puts confidence at its lowest level since the end of 2023. The component of the index that measures sentiment towards the general economic…

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Growth in earning makes home purchasing more affordable for first-time buyers

27th January 2025 Consumer Lending | #mortgage affordability

New research by Nationwide has found that strong earnings growth has made home purchasing slightly more affordable for first-time buyers. The data shows that a typical buyer with a 20% deposit now spends 36% of their monthly take-home pay on mortgage payments, down from 2023 but still above the long-run average of 30%. Earnings growth remains…

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