Credit, Collections & Insolvency News
Business confidence in the UK’s services sector has significantly declined in the quarter to August, albeit at a somewhat slower pace, according to the latest CBI survey. Companies are facing profit squeezes due to rising costs and falling sales, leading to reduced hiring and investment. With average selling prices rising at a much slower pace…
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A record number of companies are in “critical financial distress according to latest Red Flag Alert data, which shows that there are 49,309 firms on the brink of insolvency. The figures mark a 21.4% increase from a year ago. All 22 sectors surveyed reported a rise in ‘critical’ financial distress over the previous 12 months.…
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As economic pressure mounts and further tax hikes loom, over half (54%) of small and medium-sized businesses (SMBs) say one more major cost hike could force them to shut down. The same number believe today’s economic climate is even more volatile than the Covid-19 crisis, according to research by Dext. The research shows that a year…
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A survey from the Confederation of British Industry (CBI) indicates that private sector businesses anticipate a decline in activity over the next three months. The companies expect activity to fall at a firm pace in the three months to September (weighted balance of -18%). Expectations are less negative relative to May, but extend a period…
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Business decision-makers are becoming ‘paralysed’ by constant crisis and their excessive caution is limiting growth opportunities, a new report from accountancy and business advisory firm BDO has warned. In total, 84% of international business leaders surveyed as part of BDO’s annual Global Risk Landscape Report 2025 said the global risk landscape is now, more than ever, defined…
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One in five small businesses are turning to credit cards to manage cash flow, highlighting a growing trend among entrepreneurs facing unpredictable income and rising expenses. While credit cards can offer flexibility and short-term relief, relying on them without a strategy can quickly spiral into high-interest debt and financial strain. The British Business Bank found…
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One in five (19%) UK-listed companies issued a profit warning in 2024, the third highest annual proportion in 25 years, behind only the 2020 pandemic (35%) and the impact of the dot-com bubble burst and 9/11 in 2001 (23%). EY-Parthenon’s latest Profit Warnings report found that UK-listed companies issued 274 profit warnings last year – including 71…
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The latest ‘Red Flag Alert’ report from Begbies Traynor reveals a worrying surge in the number of businesses in the UK entering ‘critical’ financial distress in the final quarter of 2024. In Quarter 4 (Q$) 2024, ‘critical’ financial distress rose by 50.2% to 46,853 companies, underscoring a deteriorating outlook. Of the 22 sectors covered by…
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New research by Intuit Quickbooks has found that 27% of small businesses relied on credit cards for operations in 2024, with 33% charging over 25% of their monthly expenses. Intuit Quickbooks says that this trend highlights a deeper issue of restricted access to affordable traditional financing, as banks become more selective in lending. In addition,…
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A poll of over 700 Institute of Directors (IoD) members following the Chancellor’s Budget Statement has found that two-thirds (67%) of business leaders feel negatively towards the Autumn Budget and two-thirds (67%) think that it does not support the Government’s growth mission. Separately the IoD Directors’ Economic Confidence Index, which was polled wholly before the…
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New analysisfrom Premium Credit has shown that the Construction sector borrows the most to fund insurance but the Wholesale and Retail Trade sector is the fastest-growing. Premium Credit’s Insurance Index, which monitors insurance buying and how it is financed, shows 55% of SMEs now use some form of credit to pay for insurance borrowing an…
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Businesses need to change the way they respond to global risks if they want to stay competitive, according to a new report from accountancy and business advisory firm BDO. The firm’s annual risk report found that business leaders are facing almost permanent disruption. Indeed, 84% of respondents to its survey said that the global risk…
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Over half (53%) of UK businesses have been forced to reject potential customers due to a lack of risk visibility, with 61% stating that excessive workload forces them into reactive firefighting instead of proactive risk management according to research by Dun & Bradstreet. The study of compliance decision makers reveal increased pressure on compliance teams,…
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