Scottish business decrees fell by 28% in 2020

The number of decrees and total amount of debt registered against Scottish businesses also fell, by 28 percent, from 2,804 to 1,996 according to figures released by Registry Trust.

The total value fell 24 percent from nearly £16 million to just over £12 million. The average value rose by six percent from £5,692 to £6,057.

Decrees against larger firms fell by 25 percent, from 2,241 to 1,687. The total value fell 30 percent, from £13.2 million to £9.3 million, with the average value down seven percent, from £5,929 to £5,518. Decrees against smaller businesses fell 45 percent from 563 to 309, with the total value up four percent from £2.7 million to £2.8 million, and the average value up 89 percent from £4,749 to £8,998.

But, following huge falls in the first half of the year, numbers are rising again. The total number of judgments rose by 17 percent in Q4 2020 compared to Q3 2020.

Trust Chairman Mick McAteer said “Interventions by government and regulators, and forbearance by creditors, helped Scottish consumers and businesses during the Covid-19 crisis. But, as feared, the rise in decrees suggests the economic effects of the pandemic are working their way through the system.”