The number of Scottish businesses going bust has fallen by more than a third in the last three months, according to new research.

Analysis by KPMG found that despite several high-profile cases, the number of companies entering into administration, receivership or liquidation in Scotland decreased by 34.7% in the last quarter.

 

There were 158 corporate insolvency appointments in the three months to September 30 – down from 244 in the previous quarter and 242 fewer than the same period last year. Of those cases, 140 involved liquidation, down from 232 in quarter two; 18 were administration and receivership appointments, up from 12 in the previous quarter. In addition, there were 43 cases of HMRC appointments – 50 fewer than during May to June.

The results were described at “surprising in the context of Brexit” by Blair Nimmo, KMPG’s head of restructuring.

He said: “With ongoing political and economic uncertainty increasing pressure on the UK’s retailers, there have been a number of particularly high-profile administrations and liquidations in the last quarter, but our latest insolvency data offers up some cause for optimism.

“The latest quarterly data confirms a relatively minor rise in administrations, with liquidations and HMRC cases both down.

 

“The data appears to reflect a growing sense of resilience from the business community. Companies across all industries are now proactively addressing long-term issues and attempting to place themselves on a more sure financial footing, ahead of any impending challenges that issues including Brexit could create.

“Nevertheless, these results are surprising in the context of Brexit, and the October 31 deadline, around which we are seeing an increasing level of concern across all businesses, and some specific sectors. With the outcome still unclear, the next quarter’s results should be interesting.”

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