|    FM Home   |    FM News   |    FM Forum   |    FM Blog   |   
10th of August 2011
|   Banking  |   Insurance  |   Property  |   Mortgages  |   Economy  |   Investments  |   Credit Cards  |   Debt  |   Loans  |   Pensions  |   Companies  |  

Sharp rise in UK firms with “critical” financial problems

Bookmark and Share

by Gill Montia
Sharp rise in UK firms with

In its latest “Red Flag” report, Begbies Traynor highlights a 12% quarter-on-quarter rise in UK businesses with “critical” financial problems, while the number firms with “significant” problems fell away, indicating that many distressed companies made a one-way transition.

At the end of June 2011, a total of 5,179 companies made up the insolvency specialist’s “critical” list, representing combined liabilities of almost £60 billion.

On a sector basis, sharp quarterly rises in “critical” firms were seen in Travel & Tourism (+ 31%), Hotels & Accommodation (+ 47%), General Retailing (+17%), Property Services (+42%) and Haulage and Logistics (+41%).

Begbies Traynor partner, Julie Palmer, comments: “Although banks remain supportive of struggling customers there are an increasing number of companies that cannot continue without significant new investment as costs cannot be reduced any further and sales demand weakens.”

Discuss this in the Finance Markets forums

Story link: Sharp rise in UK firms with “critical” financial problems



News posted: July 25, 2011

Financial Services:





Related financial stories to: Sharp rise in UK firms with “critical” financial problems:
Previous: «
Next: »

Visited 578 times, 10 so far today

No Comments »

No comments yet.

RSS feed for comments on this post.

Leave a comment

Tags: Begbies Traynor, , critical financial problems, June 2011, Red Flat report, UK businesses

 

Economy News feed Economy News

All Financial News feed All Financial News