Credit, Collections & Insolvency News
UK sales recorded four consecutive quarters of growth in 2017, rising by 24.91% or £1.77 trillion worth of sales in the last three months of the year. Bad debt also dropped to its lowest point at the end of 2017, with UK businesses chasing an average of £193,014 worth of unpaid invoices in Q4 2017,…
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PwC has been appointed as the special managers to troubled outsourcing giant Carillion, which has announced it is going into compulsory liquidation with immediate effect, putting thousands of jobs and major government infrastructure projects, including the new HS2 high-speed rail link, at risk This weekend saw crisis talks between the company, key financial stakeholders and…
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Britain’s complex tax system has caused a rise in the number of companies collapsing because of their debts to HMRC, according to a report. HM Revenues & Customs has emerged as the largest single creditor in 65% of cases where a business has been liquidated, a Freedom of Information request by Enterprise Tax Consultants has…
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In 2017, almost half of all small to medium UK enterprises turned down a contract or order because they couldn’t deliver the work due to a lack of available finance; a trend that is expected to continue in 2018. According to funding line data from Hitachi Capital Invoice Finance, the demand for invoice finance is…
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The Federation of Small Businesses (FSB) has warned an EU-wide ban on preventing credit card charges from being passed on to customers presents a “double-edge sword” for small businesses and called on policymakers and businesses to work together to bring down the charges. UK companies will no longer be able to pass on the fees…
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The late payment culture knows no borders according to new research by MarketInvoice. The research shows that the proportion of UK invoices being paid late – and the amount of time taken to settle them by EU and USA firms – has risen dramatically between 2016 and 2017. The findings also reveal that 73% of…
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The report of the Public Accounts Committee (PAC) into HMRC’s performance published today (12 January 2018) makes for sobering reading according to the ICAEW. The ICAEW responded to comments from the Chair Meg Hillier that highlights the risks that HMRC faces from undertaking the largest transformational programme in Europe while at the same time coping…
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New research from Deloitte has indicated that retail administrations have increased for the first time in 5 years. The research showed that: 118 retailers went into administration during 2017, up 28% from 92 in 2016 There was a significant increase (55%) in the number of large retailers that have gone into administration Total administrations across…
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New research from MarketInvoice has revealed that late payment has worsened for UK SMEs. In a survey of 80,000 invoices from UK businesses reveals that: 62% of invoices paid late in 2017, £21.1b outstanding in late payments annually Invoices paid 18 days late on average; Prompt Payment Code not delivering for UK businesses The culture…
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Bankruptcy Restriction Orders (BRO), which places sanctions against bankrupt executives and banned individuals from being a company director, forming, managing – or even give the impression of managing – a limited company, for up to 15 years, are not being enforced by authorities, leaving former millionaires free to keep assets and continue to enjoy lavish…
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Nine companies which had provided services to directors of insolvent companies, have been placed in provisional liquidation. The actions follow an investigation by the Insolvency Service The companies names Rigil Kent Acquisitions Ltd; Rigil Kent Corporate Acquisitions & Turnaround Ltd; Rigil Corporate Rescue Ltd; Rigil Kent Group Ltd; RK Acquisitions Ltd; RK Corporate Rescue Ltd;…
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SMEs could for the first time be paying a higher effective rate of tax than bigger businesses, according to research by Moore Stephens. The effective rate of corporation tax* paid by SMEs (businesses with a turnover of less than £25m) was 21.7% in 2016. This is higher than businesses with a turnover of more than £1bn,…
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English and Welsh councils are believed to have used Enforcement Agents on nearly 41,000 firms that struggled to pay higher business rates following the Government’s controversial revaluation last year. The estimate was the result of an investigation by ratings adviser Altus Group, which said tens of thousands of businesses that failed to pay higher business…
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