Latest figures from the Registry Trust has shown that the number of decrees against Scottish businesses rose by 36 per cent from 268 to 365 in the second quarter of 2021 (Q1 2021).
The total value actually fell by nearly one-third from just under £2 million to £1.4 million. As a result, the average value halved, falling from £7,455 to £3,714. However, the median value rose by 32 per cent from £1,500 to £1,977. This suggests there were fewer very large judgments and fewer smaller judgments.
The number of decrees against incorporated businesses increased by 40 per cent, from 222 to 312. The total value rose slightly, up two per cent from £1.17 million to £1.2 million. The average value declined by over one quarter, 27 per cent, from £5,284 to £3,833. The median value rose by 42 per cent from £1,402 to £1,988.
Decrees against smaller businesses also rose, from 46 to 53, an increase of 15 per cent. The total value saw a large fall of 80 per cent £824,891 to £159,634. As a result, the average value saw a similar large drop of 83 per cent from £17,932 to £3,012. The median value fell by 23 per cent from £2,313 to £1,779.
Trust chair Mick McAteer said: “We saw a large rise in the number and value of decrees recorded against Scottish consumers in this quarter compared to the same period last year. At that time, interventions by government and regulators, and forbearance by creditors, in response to the Covid crisis had kept judgment numbers at historically low levels. But, as these measures were wound down, numbers began to rise again. The Covid economic crisis is far from over for financially vulnerable households.”
|Q2 2020||Q2 2021||Year on year change|
|Decrees against all businesses|
Decrees against incorporated businesses
Decrees against unincorporated businesses
*Average value refers to the ‘mean’. In some cases, the mean average can be higher or lower than the median value, as it is can be distorted by outlying high or low value cases.