""Unfortunately for UK businesses, inflation is going nowhere, putting further pressure on companies at a time when wage, tax, and financing costs are already high. Many firms have no room to manoeuvre, and instead of investing for growth, are scaling back just to survive - the opposite of what the economy needs, if it's going to recover and grow.""
""The insolvency specialist has revealed there has been a whopping 78% rise in the number of businesses in "critical" financial distress, the number now stands at 55,530 in the third quarter of this year. The Red Flag Alert report shows there has been a 12.6% increase in the quarter to June, this shows that more than 6,000 companies are in a far worse position than in 2024.""
More than 55,000 businesses are in critical financial distress, rising 78% to 55,530 in the third quarter. Financial distress increased 12.6% in the quarter to June, leaving over 6,000 companies worse off than in 2024. Leisure and cultural sectors show severe strain with 96.7% in critical condition; hotels rose 92.5% and retailers 85.6%. Total companies in financial difficulty climbed 14.8% year-on-year to 726,594. Inflation combined with high wage, tax and financing costs is intensifying pressure, forcing many firms to scale back investment and increasing the risk of business failures without urgent fiscal support.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]