Samantha Keen, UK Turnaround and Restructuring Strategy Partner at EY-Parthenon:
Quarterly company insolvencies reached over 6,300 for the first time since 2009 in Q2 as many businesses struggled to contend with a sustained mix of pressures.
Although company insolvencies have been steadily increasing over the last 18 months, largely driven by Creditors Voluntary Liquidations (CVLs), in Q2 there was a significant uplift in the number of compulsory liquidations which rose 67% year-on-year.
The current low-growth, high-inflation and relatively high interest rate environment has meant many businesses have faced building pressure over the last 12 months which is now translating into distress.
The increasing cost of refinancing options availab…
Read the full article at: https://www.ey.com/en_uk/news/2023/07/ey-comments-on-insolvency-statistics