Credit, Collections & Insolvency News
Profit warnings issued by UK-listed companies in Quarter 3 2022 reached their highest third-quarter total since 2008, according to EY-Parthenon’s latest Profit Warnings report. In total, 86 profit warnings were issued between July and September 2022, compared to 51 in the same period of 2021, an increase of 69% and a 34% increase from Q2…
Read more
Research from spend management cloud provider, Ivalua has revealed that more than a third of UK businesses (36%) have extended payment terms for suppliers in the last 12 months, due to the impact of COVID-19 (62%), Brexit (39%), and rising energy costs (38%). The research reveals the true impact of late payments on the supply…
Read more
New research from insolvency and restructuring trade body R3 reveals Scottish firms had almost 1.7 million overdue invoices on their books in the last quarter. R3’s analysis of data provided by Creditsafe shows 1,696,445 invoices were overdue in Scotland in Q3 – an increase of 7.1% from Q2’s total of 1,583,353. Scotland and the West…
Read more
More than 600,000 UK companies are in critical financial distress, according to a Red Flag report by Begbies Traynor. The latest data reveals that the number of companies rated as being in ‘critical financial distress’ continued to rise rapidly in the third quarter of 2022, jumping by 25% compared with the same period in 2021…
Read more
The cost of borrowing money has reached its highest level since 2010, according to a survey of 87 Chief Financial Officers (CFOs) by Deloitte. Over half of CFOs (56%) rate credit as costly while over a third of finance leaders (39%) note that new credit is not easily available. The financial market impact of the…
Read more
The latest report from the National Audit Office (NAo) into the Covid-19 business support schemes criticizes the Government for not doing more to prevent mistakes and fraudulent claims when rolling out the programs. The NAO said a total of £4.5 billion or nearly 4.6% of the total cost of the Government’s £96.9bn emergency Covid-19 support…
Read more
The British Business Bank (BBB), which helps small businesses access finance, has warned that smaller firms face a challenging few years on the back of the economic downturn. The BBB said lending to start-ups and the smallest businesses could be particularly vulnerable to the impact of economic uncertainty as they often do not have collateral.…
Read more
Britain’s small and medium-sized businesses (SMEs) are owed on average £147,141 in late payments, nearly £74,000 more than in 2019, according to research by Dun & Bradstreet. Following the fallout from Covid-19 and Brexit, plus late payments and rising inflation, it comes as no surprise that 61% of SMEs are struggling to pay back loans, according…
Read more
The Government has announced a new scheme that will see energy prices for non-domestic energy customers such as businesses, charities and public sector organisations cut – protecting them from rising energy costs. Through a new Government Energy Bill Relief Scheme, the Government will provide a discount on wholesale gas and electricity prices for all non-domestic…
Read more
New Prime Minister Liz Truss has announced that businesses will get help with their energy bill with prices capped for six months. Responding to the announcement, National Chair of the Federation of Small Businesses (FSB) Martin McTague said “It’s a huge relief for millions of small businesses to hear confirmation they will be part of…
Read more
European small and medium enterprises (SMEs) are suffering from significant payment issues, but lack a thorough understanding of the processes involved, new research Vodeno. The company commissioned an independent survey among 2,004 senior decision-makers in SMEs across the UK (504), Belgium (500), France (500) and the Netherlands (500). It found that just 37% of respondents…
Read more
The average amount owed to small businesses with at least one overdue invoice has risen 6% year on year to £22.7k in May 2022, up from £21.4k the previous year – which is 65% of the average small business’ typical monthly turnover according to new data from the Intuit QuickBooks Late Payments Bulletin. The research has…
Read more
Ofgem has announced the energy price cap will increase to £3,549 per year for dual fuel for an average household from 1st October 2022. The increase is up 80% from the current cap of £1,971, and up 178% from the £1,277 cap in March this year. The Federation of Small Business (FSB) says that energy…
Read more