Credit, Collections & Insolvency News
The Chancellor, Rachel Reeves, has delivered her Spring Statement outlining the Government’s economic plans. The data showed public sector net borrowing set to fall from 4.3% this year, decreasing to 1.8% in 2029–30. The Office for Budget Responsibility lowers growth forecasts to 1.1% for 2026 but upgrades the outlook in 2027 and 2028 to 1.6%.…
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A director of a construction company has narrowly avoided jail after admitting to exaggerating his company’s turnover to claim £150,000 via three Covid Bounce Back Loans. An Insolvency Service investigation found that Adebanjo Adebayo Talabi was the director of Bebo Construction Limited when he applied for three loans, between August and November 2020, from three…
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Late payments are forcing an estimated 14,000 businesses to close every year, equivalent to 38 closures every single day, as cash-strapped firms struggle to survive unpaid invoices, according to new analysis from Funding Circle. Construction is the sector most exposed, with over 2,100 firms estimated to have closed in 2024 due to delayed payments, driven by…
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Late payments are increasingly undermining the stability of UK SMEs, threatening payroll, job security and growth potential, according to new research by Bibby Financial Services (BFS), with the data showing that late payments from customers prevented more than two-fifths (42%) of SMEs from paying staff salaries on time in the last 12 months. Meanwhile, nearly…
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The British Retail Consortium (BRC) latest survey of retail CFOs (Chief Financial Officers) and Finance Directors reveals a sharp rise in anxiety about labour costs over the next year. These concerns have shot up the agenda since the start of the implementation of the Employment Rights Act, which became law in January. With weak wage…
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The Federation of Small Businesses (FSB) is sounding a warning shot ahead of a looming cost crunch in April that could push many small firms to breaking point. In less than two months, rising energy bills, business rates hikes, spiralling employment costs and changes to Statutory Sick Pay will all rise at a record pace,…
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UK inflation fell to 3% in January, down from 3.4% in December, according to the latest data from the Office for National Statistics (ONS). This was the lowest inflation figure since March last year. The change was partly driven by lower fuel prices, lower airfares and lower food prices. Core CPI (CPI excluding energy, food,…
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A former takeaway owner who withdrew tens of thousands of pounds from his bank account and bought items from Apple and Burberry instead of settling his business’s tax bill has been ordered to pay more than £70,000. Zhang Jin Chen was handed a confiscation order for £62,755 to be paid within three months, along with…
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The Financial Conduct Authority (FCA) has fined Richard Howson £237,700 for his part in misleading statements being issued by Carillion. As Group Chief Executive, Howson was aware of serious financial troubles in Carillion’s UK construction business. He failed to reflect this in company announcements or alert its board and audit committee, leading to poor oversight.…
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Latest data from the British Retail Consortium (BRC) showed that there was cautious optimism as footfall decline slows The data (covering the four weeks 4th-31st January) showed that total UK footfall decreased by 0.6% in January (YoY), up from -2.9% in December. High Street footfall decreased by 1.9% in January (YoY), down from -0.9% in…
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Listed companies in the FTSE Construction and Materials sector issued 18 profit warnings during 2025, more than three times the five warnings recorded in 2024 and the highest annual total since 2020 (33 warnings), according to an EY-Parthenon report. The data also reveals that a third (33%) of the sector’s listed firms issued at least…
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Small businesses across the UK are now operating under pressures comparable to and in some cases exceeding those experienced during the Covid-19 pandemic, according to a major new report published today by the House of Commons Business and Trade Committee. The Committee’s inquiry finds that while emergency support was rapidly mobilised during the pandemic, there…
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Retail sales rose by 2.7% in January, according to the British Retail Consortium and KPMG, as consumers responded to heavy post-Christmas discounting. Personal electronics and children’s items led the recovery after a weak December. Despite the uplift, the Office for National Statistics reports sales remain 1.5% below pre-pandemic levels, highlighting an uneven recovery. Food sales increased…
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