Credit, Collections & Insolvency News
Responding to this year’s Queen’s Speech the Federation of Small Businesses (FSB) has urged the need for late payment reform. Federation of Small Businesses (FSB) National Chair Martin McTague said “A worsening late payment crisis is currently threatening the futures of more than 400,000 small firms. The Audit Reform Bill creates space to take forward…
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The Financial Stability Board (FSB) has published a Thematic Review on Out-of-Court Corporate Debt Workouts. The objective of the peer review is to support Covid-19 response and recovery efforts by examining FSB member jurisdictions’ practices, experiences and lessons from out-of-court workouts as a less costly and more flexible alternative to full, formal insolvency proceedings. The…
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New data from Sidetrade has found that the UK and Ireland are among the top five worst in Europe for payment delays. The company statistics are based on the payment behaviour of 20.7 million buying companies worldwide. The data reveals the best and worst markets and industries for late payments over the last three years…
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Begbies Traynor has reported a 19% rise in businesses in critical financial distress compared to the start of 2021. The research found that 1,891 firms were now in critical financial distress, in the first quarter of 2022, which is almost a fifth higher than the same period last year. The company says that the 19%…
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New analysis of over 8 million invoices sent to the top 100 construction firms in the UK reveals that 10 percent are routinely being rejected, resulting in serious payment delays which are hindering the financial recovery of construction product and service suppliers across the sector. The research by Causeway Technologies looked at a sample of 8,052,300 invoices…
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Global demand for pharmaceuticals remains strong, but the UK will need to reassess impending risks, according to leading credit insurer, Atradius. Throughout 2020, the UK’s pharmaceutical industry surged its value-added output by 13.6% – leading to a 13% boost above the 2019 pre-pandemic level. And although year-on-year growth in this sector levelled off in 2021,…
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Faced with a more uncertain economic climate, 98% of Chief Finance Officers (CFOs) anticipate operating costs to rise in the year ahead, according to a survey by Deloitte with almost half of CFOs (46%) expecting these rises to be significant. Deloitte says that in light of cost increases, there has also been a sharp deterioration…
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An economic research report by Atradius has found that many developing countries are facing a triple crisis in 2022 with the impact of the pandemic is being felt across the globe, particularly in small island economies which have historically been heavily reliant on tourism. Existing debt vulnerabilities were only aggravated by the pandemic. With global…
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Small businesses are under increasing pressure, with delays in payments and staff shortages on the rise, according to research by accountancy software firm Xero. The data reveals that late payment times continue to surge. In February, small businesses had to wait an average of 30.5 days to be paid by their customers from when an…
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A study by energy analysts Cornwall Insight shows that SMEs have already seen average gas bills climb more than 250% between the first three months of 2021 and Q1 2022. Analysts looked at delivered gas prices businesses pay on a 1-year acquisition fixed tariff, calculating how much they may pay in future if energy prices…
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The government must do more to recover taxes that went unpaid during the pandemic, a group of MPs has said. The Public Accounts Committee (PAC) says the Covid-19 pandemic has changed the nature and scale of tax debt creating an enormous task for HMRC to bring tax debt back from the current mountain of £39…
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Business Minister Paul Scully has announced the launch of a new law to help resolve remaining commercial rent debts accrued because of the pandemic. The ‘Commercial Rent (Coronavirus) Act 2022’ received Royal Assent means that a legally binding arbitration process will be available for eligible commercial landlords and tenants who have not already reached an…
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Restaurant insolvencies increases by a fifth to reach highest levels since pandemic began according to new research by UHY Hacker Young. The data shows that restaurant insolvencies rose to 354 in the last quarter of 2021, up from 296 in the previous three-month period. UHY Hacker Young says that restaurants will also have to contend…
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