Rise in business insolvencies predicted for 2019

Insolvency specialist, Begbies Traynor, expects corporate failures to continue rising next year, as continuing Brexit uncertainty and the tough high street climate take their toll.

Begbies Traynor’s made the prediction as part of their latest results announcement which indicates that profits and revenues were up in the six months to October on the back of a 6 percent increase in corporate insolvencies in the prior year.

Ric Traynor, Executive Chairman, said “Insolvencies had risen across the board, admittedly from a very low base,  but were particularly prominent in retail, construction and hospitality as well as the heavily fragmented logistics sector, where some businesses are functioning from hand to mouth”.

Traynor,  said the rise was from a “very low base” after insolvencies fell to their lowest level in 2004.

The business recovery group recorded an increase in revenue from £26m to £28m in the six months to October 2018